NYSE:ALX

Stock Analysis Report

Executive Summary

Alexander’s, Inc. is a real estate investment trust which has seven properties in the greater New York City metropolitan area.

Rewards

Trading at 34.7% below its fair value

Risk Analysis

Earnings have declined by -3.57% per year over past 5 years

Unstable dividend track record

Large one-off items impacting financial results



Snowflake Analysis

Average dividend payer and fair value.

Share Price & News

How has Alexander's's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ALX has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.5%

ALX

-1.3%

US REITs

0.8%

US Market


1 Year Return

3.0%

ALX

13.0%

US REITs

17.8%

US Market

Return vs Industry: ALX underperformed the US REITs industry which returned 13% over the past year.

Return vs Market: ALX underperformed the US Market which returned 17.8% over the past year.


Shareholder returns

ALXIndustryMarket
7 Day-1.5%-1.3%0.8%
30 Day-1.6%0.1%1.8%
90 Day-14.1%-0.9%4.1%
1 Year8.5%3.0%17.7%13.0%20.4%17.8%
3 Year-15.9%-27.0%35.2%18.2%45.9%36.4%
5 Year-3.6%-22.3%52.5%20.9%68.1%49.6%

Price Volatility Vs. Market

How volatile is Alexander's's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Alexander's undervalued compared to its fair value and its price relative to the market?

34.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ALX ($319.47) is trading below our estimate of fair value ($489.42)

Significantly Below Fair Value: ALX is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ALX is good value based on its PE Ratio (29.4x) compared to the REITs industry average (37.8x).

PE vs Market: ALX is poor value based on its PE Ratio (29.4x) compared to the US market (18.4x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ALX's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ALX is overvalued based on its PB Ratio (6.2x) compared to the US REITs industry average (2x).


Next Steps

Future Growth

How is Alexander's forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

7.4%

Forecasted Real Estate industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Alexander's has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Alexander's performed over the past 5 years?

-3.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ALX has a large one-off loss of $15.1M impacting its September 30 2019 financial results.

Growing Profit Margin: ALX's current net profit margins (24.4%) are lower than last year (27.7%).


Past Earnings Growth Analysis

Earnings Trend: ALX's earnings have declined by -3.6% per year over the past 5 years.

Accelerating Growth: ALX's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: ALX had negative earnings growth (-13.9%) over the past year, making it difficult to compare to the REITs industry average (8.3%).


Return on Equity

High ROE: Whilst ALX's Return on Equity (21.22%) is high, this metric is skewed due to their high level of debt.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Alexander's's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: ALX has a high level of physical assets or inventory.

Debt Coverage by Assets: ALX's debt is not covered by short term assets (assets are 0.5x debt).


Financial Institutions Analysis

Asset Level: ALX's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if ALX has a sufficient allowance for bad loans.

Low Risk Liabilities: ALX reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if ALX has an acceptable proportion of non-loan assets held.

Low Risk Deposits: ALX has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if ALX has an appropriate level of bad loans.


Next Steps

Dividend

What is Alexander's's current dividend yield, its reliability and sustainability?

5.63%

Current Dividend Yield


Dividend Yield vs Market

company5.6%marketbottom25%1.4%markettop25%3.7%industryaverage3.8%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: ALX's dividend (5.63%) is higher than the bottom 25% of dividend payers in the US market (1.43%).

High Dividend: ALX's dividend (5.63%) is in the top 25% of dividend payers in the US market (3.72%)


Stability and Growth of Payments

Stable Dividend: ALX's dividend payments have been volatile in the past 10 years.

Growing Dividend: ALX's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (92.9%), ALX's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

What is the CEO of Alexander's's salary, the management and board of directors tenure and is there insider trading?

24.6yrs

Average board tenure


CEO

Steve Roth (77yo)

24.8yrs

Tenure

US$311,982

Compensation

Mr. Steven Roth, also known as Steve, has been the Chairman of the Board and Chief Executive Officer at Vornado Realty Trust General Partner of Vornado Realty L.P. since May 1989 and April 15, 2013 respect ...


Board Age and Tenure

24.6yrs

Average Tenure

79yo

Average Age

Experienced Board: ALX's board of directors are seasoned and experienced ( 24.6 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

SellUS$780,21220 May 19
Wight Foundation, Endowment Arm
EntityCompany
Shares2,000
Max PriceUS$390.59

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Joe Macnow (73yo)

    Treasurer

    • Tenure: 0yrs
  • Steve Roth (77yo)

    Chairman of the Board & CEO

    • Tenure: 24.8yrs
    • Compensation: US$311.98k
  • Alan Rice

    Secretary

    • Tenure: 0yrs
  • Matthew Iocco (48yo)

    Chief Financial Officer

    • Tenure: 2.7yrs
  • Steve Theriot (59yo)

    Assistant Treasurer

    • Tenure: 0yrs

Board Members

  • David Mandelbaum (83yo)

    Independent Director

    • Tenure: 24.6yrs
    • Compensation: US$161.99k
  • Russ Wight (79yo)

    Independent Director

    • Tenure: 24.6yrs
    • Compensation: US$160.99k
  • Steve Roth (77yo)

    Chairman of the Board & CEO

    • Tenure: 24.8yrs
    • Compensation: US$311.98k
  • Thomas DiBenedetto (70yo)

    Independent Director

    • Tenure: 35.6yrs
    • Compensation: US$181.99k
  • Arthur Sonnenblick (87yo)

    Independent Director

    • Tenure: 35.6yrs
    • Compensation: US$175.99k
  • Richard West (81yo)

    Independent Director

    • Tenure: 35.6yrs
    • Compensation: US$191.99k
  • Wendy Silverstein (58yo)

    Director

    • Tenure: 4.7yrs
    • Compensation: US$157.55k

Company Information

Alexander's, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Alexander's, Inc.
  • Ticker: ALX
  • Exchange: NYSE
  • Founded: 1955
  • Industry: Retail REITs
  • Sector: Real Estate
  • Market Cap: US$1.660b
  • Shares outstanding: 5.11m
  • Website: https://www.alx-inc.com

Number of Employees


Location

  • Alexander's, Inc.
  • 210 Route 4 East
  • Paramus
  • New Jersey
  • 7652
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ALXNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1969
AXEDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1969
AXEBST (Boerse-Stuttgart)YesCommon StockDEEURJan 1969

Biography

Alexander’s, Inc. is a real estate investment trust which has seven properties in the greater New York City metropolitan area. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/11 23:31
End of Day Share Price2019/12/11 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.