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Granite Real Estate Investment Trust

NYSE:GRP.U
Snowflake Description

Good value average dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
GRP.U
NYSE
CA$3B
Market Cap
  1. Home
  2. US
  3. Real Estate
Company description

Granite is a Canadian based REIT engaged in the acquisition, development, ownership and management of industrial, warehouse and logistics properties in North America and Europe. The last earnings update was 17 days ago. More info.


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GRP.U Share Price and Events
7 Day Returns
0.3%
NYSE:GRP.U
-0.3%
US REITs
0.2%
US Market
1 Year Returns
13.7%
NYSE:GRP.U
13.3%
US REITs
2.9%
US Market
GRP.U Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Granite Real Estate Investment Trust (GRP.U) 0.3% 0.9% -1.1% 13.7% 52.4% 24.3%
US REITs -0.3% 3.5% 3.2% 13.3% 11.3% 24.8%
US Market 0.2% -1.6% 2.4% 2.9% 36.1% 41%
1 Year Return vs Industry and Market
  • GRP.U outperformed the Market in United States of America which returned 2.9% over the past year.
Price Volatility
GRP.U
Industry
5yr Volatility vs Market
Related Companies

Value

 Is Granite Real Estate Investment Trust undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Granite Real Estate Investment Trust to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Granite Real Estate Investment Trust.

NYSE:GRP.U Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity using Adjusted Funds From Operations
Levered Adjusted Funds From Operations Average of 3 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.5%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:GRP.U
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
REITs Unlevered Beta Simply Wall St/ S&P Global 0.53
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.529 (1 + (1- 26.5%) (40.92%))
0.791
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.8 * 5.96%)
7.5%

Discounted Cash Flow Calculation for NYSE:GRP.U using 2 Stage Free Cash Flow to Equity using Adjusted Funds From Operations Model

The calculations below outline how an intrinsic value for Granite Real Estate Investment Trust is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Granite Real Estate Investment Trust is a Real Estate Investment Trust (REIT), we use funds from operations (FFO) or adjusted funds from operations (AFFO) instead of levered free cash flow for REITs. This excludes depreciation and borrowing. Ideally analysts estimates of AFFO are used, where these aren't available we use FFO.

NYSE:GRP.U DCF 1st Stage: Next 10 year cash flow forecast
Adjusted Funds From Operations (AFFO) (CAD, Millions) Source Present Value
Discounted (@ 7.5%)
2019 157.90 Analyst x3 146.89
2020 177.83 Analyst x3 153.89
2021 182.40 Analyst x1 146.83
2022 192.95 Est @ 5.78% 144.49
2023 202.34 Est @ 4.87% 140.95
2024 210.88 Est @ 4.23% 136.66
2025 218.85 Est @ 3.78% 131.93
2026 226.43 Est @ 3.46% 126.98
2027 233.77 Est @ 3.24% 121.95
2028 240.99 Est @ 3.09% 116.95
Present value of next 10 years cash flows CA$1,367.52
NYSE:GRP.U DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= CA$240.99 × (1 + 2.73%) ÷ (7.5% – 2.73%)
CA$5,192.35
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CA$5,192.35 ÷ (1 + 7.5%)10
CA$2,519.76
NYSE:GRP.U Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CA$1,367.52 + CA$2,519.76
CA$3,887.28
Equity Value per Share
(CAD)
= Total value / Shares Outstanding
= CA$3,887.28 / 49.44
CA$78.19
NYSE:GRP.U Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in NYSE:GRP.U represents 0.73845x of TSX:GRT.UN
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.73845x
Value per Share
(Listing Adjusted, USD)
= Value per Share (CAD) x Listing Adjustment Factor
= CA$ 78.19 x 0.73845
$57.74
Value per share (USD) From above. $57.74
Current discount Discount to share price of $46.05
= -1 x ($46.05 - $57.74) / $57.74
20.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Granite Real Estate Investment Trust is available for.
Intrinsic value
20%
Share price is $46.05 vs Future cash flow value of $57.74
Current Discount Checks
For Granite Real Estate Investment Trust to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Granite Real Estate Investment Trust's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Granite Real Estate Investment Trust's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Granite Real Estate Investment Trust's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Granite Real Estate Investment Trust's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:GRP.U PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in CAD CA$10.31
TSX:GRT.UN Share Price ** TSX (2019-05-23) in CAD CA$62.36
United States of America REITs Industry PE Ratio Median Figure of 155 Publicly-Listed REITs Companies 32.92x
United States of America Market PE Ratio Median Figure of 3,085 Publicly-Listed Companies 17.79x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Granite Real Estate Investment Trust.

NYSE:GRP.U PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSX:GRT.UN Share Price ÷ EPS (both in CAD)

= 62.36 ÷ 10.31

6.05x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Granite Real Estate Investment Trust is good value based on earnings compared to the US REITs industry average.
  • Granite Real Estate Investment Trust is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Granite Real Estate Investment Trust's expected growth come at a high price?
Raw Data
NYSE:GRP.U PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 6.05x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts
-15.3%per year
United States of America REITs Industry PEG Ratio Median Figure of 141 Publicly-Listed REITs Companies 2.41x
United States of America Market PEG Ratio Median Figure of 2,123 Publicly-Listed Companies 1.54x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Granite Real Estate Investment Trust, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Granite Real Estate Investment Trust's assets?
Raw Data
NYSE:GRP.U PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in CAD CA$55.02
TSX:GRT.UN Share Price * TSX (2019-05-23) in CAD CA$62.36
United States of America REITs Industry PB Ratio Median Figure of 191 Publicly-Listed REITs Companies 1.89x
United States of America Market PB Ratio Median Figure of 5,201 Publicly-Listed Companies 1.84x
NYSE:GRP.U PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSX:GRT.UN Share Price ÷ Book Value per Share (both in CAD)

= 62.36 ÷ 55.02

1.13x

* Primary Listing of Granite Real Estate Investment Trust.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Granite Real Estate Investment Trust is good value based on assets compared to the US REITs industry average.
X
Value checks
We assess Granite Real Estate Investment Trust's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the REITs industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the REITs industry average (and greater than 0)? (1 check)
  5. Granite Real Estate Investment Trust has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Granite Real Estate Investment Trust expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

  • No analysts cover Granite Real Estate Investment Trust, future earnings growth has been estimated based on fundamentals.
The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-15.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Granite Real Estate Investment Trust expected to grow at an attractive rate?
  • Granite Real Estate Investment Trust's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Granite Real Estate Investment Trust's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.
  • Granite Real Estate Investment Trust's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:GRP.U Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:GRP.U Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts -15.3%
NYSE:GRP.U Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 3 Analysts 13.7%
United States of America REITs Industry Earnings Growth Rate Market Cap Weighted Average 5.8%
United States of America REITs Industry Revenue Growth Rate Market Cap Weighted Average 4.4%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.7%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:GRP.U Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
All numbers in CAD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:GRP.U Future Estimates Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31
2020-12-31 315 194 3
2019-12-31 275 174 3
NYSE:GRP.U Past Financials Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income *
2019-03-31 249 160 471
2018-12-31 246 158 465
2018-09-30 249 161 613
2018-06-30 245 161 506
2018-03-31 243 150 400
2017-12-31 243 159 358
2017-09-30 235 151 154
2017-06-30 232 151 253
2017-03-31 228 157 268
2016-12-31 223 160 281
2016-09-30 224 165 297
2016-06-30 223 169 193

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Granite Real Estate Investment Trust's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Granite Real Estate Investment Trust's revenue is expected to grow by 13.7% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:GRP.U Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below

All data from Granite Real Estate Investment Trust Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:GRP.U Future Estimates Data
Date (Data in CAD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31
2020-12-31
2019-12-31
NYSE:GRP.U Past Financials Data
Date (Data in CAD Millions) EPS *
2019-03-31 10.31
2018-12-31 10.19
2018-09-30 13.40
2018-06-30 11.07
2018-03-31 8.71
2017-12-31 7.63
2017-09-30 3.27
2017-06-30 5.36
2017-03-31 5.68
2016-12-31 5.96
2016-09-30 6.30
2016-06-30 4.11

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Granite Real Estate Investment Trust will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Granite Real Estate Investment Trust's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Granite Real Estate Investment Trust has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Granite Real Estate Investment Trust performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Granite Real Estate Investment Trust's growth in the last year to its industry (REITs).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Granite Real Estate Investment Trust has delivered over 20% year on year earnings growth in the past 5 years.
  • Granite Real Estate Investment Trust's 1-year earnings growth is less than its 5-year average (17.9% vs 38.7%)
  • Granite Real Estate Investment Trust's earnings growth has exceeded the US REITs industry average in the past year (17.9% vs 16%).
Earnings and Revenue History
Granite Real Estate Investment Trust's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Granite Real Estate Investment Trust Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:GRP.U Past Revenue, Cash Flow and Net Income Data
Date (Data in CAD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 248.99 471.24 29.79
2018-12-31 246.49 465.36 29.40
2018-09-30 249.24 613.04 28.83
2018-06-30 244.56 506.22 26.96
2018-03-31 242.95 399.86 27.40
2017-12-31 243.08 357.75 26.07
2017-09-30 234.75 153.68 27.20
2017-06-30 231.95 252.88 27.78
2017-03-31 227.81 267.56 27.19
2016-12-31 223.40 280.69 27.96
2016-09-30 224.05 296.60 27.75
2016-06-30 222.56 193.41 25.05
2016-03-31 219.64 184.12 25.29
2015-12-31 216.30 195.54 24.82
2015-09-30 212.38 171.47 25.63
2015-06-30 208.82 128.13 28.07
2015-03-31 207.51 106.30 27.25
2014-12-31 207.41 63.66 28.06
2014-09-30 207.63 38.45 27.76
2014-06-30 203.90 54.06 27.68
2014-03-31 197.89 66.56 27.25
2013-12-31 189.90 143.44 27.07
2013-09-30 183.98 161.79 29.39
2013-06-30 181.10 208.30 31.34
2013-03-31 180.40 210.63 31.60
2012-12-31 181.12 149.83 30.71
2012-09-30 182.16 138.95 28.01
2012-06-30 182.96 88.39 27.06

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Granite Real Estate Investment Trust has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Granite Real Estate Investment Trust used its assets more efficiently than the US REITs industry average last year based on Return on Assets.
  • Granite Real Estate Investment Trust's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Granite Real Estate Investment Trust's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the REITs industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Granite Real Estate Investment Trust has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Granite Real Estate Investment Trust's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Granite Real Estate Investment Trust's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Granite Real Estate Investment Trust is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Granite Real Estate Investment Trust's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Granite Real Estate Investment Trust's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.4x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Granite Real Estate Investment Trust Company Filings, last reported 1 month ago.

NYSE:GRP.U Past Debt and Equity Data
Date (Data in CAD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 2,515.58 1,261.65 500.99
2018-12-31 2,496.99 1,303.17 658.25
2018-09-30 2,386.90 715.96 193.95
2018-06-30 2,289.50 817.60 50.14
2018-03-31 2,172.98 745.70 273.77
2017-12-31 2,137.86 741.32 69.02
2017-09-30 1,940.00 691.46 190.92
2017-06-30 1,964.30 682.74 196.47
2017-03-31 1,959.26 651.23 189.68
2016-12-31 1,949.74 657.41 246.22
2016-09-30 1,979.53 572.02 175.18
2016-06-30 1,838.72 561.78 158.51
2016-03-31 1,827.03 582.29 143.40
2015-12-31 1,858.79 589.28 119.16
2015-09-30 1,820.68 605.86 139.62
2015-06-30 1,722.23 580.16 112.73
2015-03-31 1,694.11 585.84 113.46
2014-12-31 1,636.24 579.60 116.23
2014-09-30 1,628.61 512.88 112.55
2014-06-30 1,665.46 567.53 205.75
2014-03-31 1,716.21 573.78 75.66
2013-12-31 1,676.51 568.11 95.52
2013-09-30 1,652.25 362.30 76.96
2013-06-30 1,662.04 333.38 63.17
2013-03-31 1,589.80 302.94 63.64
2012-12-31 1,515.85 263.59 51.07
2012-09-30 865.29 263.50 53.69
2012-06-30 889.02 263.41 59.94
  • Granite Real Estate Investment Trust's level of debt (50.2%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (33.4% vs 50.2% today).
  • Debt is not well covered by operating cash flow (12.7%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 8.9x coverage).
X
Financial health checks
We assess Granite Real Estate Investment Trust's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Granite Real Estate Investment Trust has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Granite Real Estate Investment Trust's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
4.48%
Current annual income from Granite Real Estate Investment Trust dividends. Estimated to be 4.52% next year.
If you bought $2,000 of Granite Real Estate Investment Trust shares you are expected to receive $90 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Granite Real Estate Investment Trust's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.45%).
  • Granite Real Estate Investment Trust's dividend is above the markets top 25% of dividend payers in United States of America (3.7%).
Upcoming dividend payment

Purchase Granite Real Estate Investment Trust before the 'Buy Limit' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:GRP.U Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
United States of America REITs Industry Average Dividend Yield Market Cap Weighted Average of 184 Stocks 3.9%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2005 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:GRP.U Future Dividends Estimate Data
Date (Data in CA$) Dividend per Share (annual) Avg. No. Analysts
2021-12-31
2020-12-31 2.84 7.00
2019-12-31 2.80 7.00
NYSE:GRP.U Past Annualized Dividends Data
Date (Data in CA$) Dividend per share (annual) Avg. Yield (%)
2019-05-17 2.796 4.474
2019-04-17 2.796 4.549
2019-03-18 2.796 4.408
2019-02-15 2.796 4.496
2019-01-17 2.796 4.711
2018-11-07 2.796 5.088
2018-10-17 2.724 4.998
2018-09-17 2.724 4.965
2018-08-17 2.724 4.902
2018-07-17 2.724 5.019
2018-06-18 2.724 5.015
2018-05-17 2.724 5.146
2018-04-17 2.724 5.348
2018-03-16 2.724 5.413
2018-02-16 2.724 5.468
2018-01-17 2.724 5.452
2017-12-18 2.724 5.514
2017-11-17 2.604 5.170
2017-10-17 2.604 5.178
2017-09-18 2.604 5.149
2017-08-17 2.604 5.190
2017-07-17 2.604 5.142
2017-06-16 2.604 5.052
2017-05-17 2.604 5.085
2017-04-17 2.604 5.234
2017-03-17 2.604 5.584
2017-02-16 2.604 5.689
2017-01-17 2.604 5.863
2016-12-16 2.604 5.854
2016-11-17 2.436 5.560
2016-10-17 2.436 5.762
2016-09-16 2.436 5.977
2016-08-17 2.436 5.889
2016-07-18 2.436 6.040
2016-06-17 2.436 6.283
2016-05-17 2.436 6.220
2016-04-18 2.436 6.414
2016-03-17 2.436 6.553
2016-02-17 2.304 6.126
2016-01-18 2.304 6.196
2015-12-17 2.304 6.045
2015-11-17 2.304 5.794
2015-10-16 2.304 6.042
2015-09-17 2.304 6.111
2015-08-17 2.304 5.988
2015-07-17 2.304 5.675
2015-06-16 2.304 5.401
2015-05-15 2.304 5.608
2015-04-17 2.304 5.514
2015-03-17 2.304 5.267
2015-02-17 2.304 5.253
2015-01-16 2.304 5.163
2014-12-10 2.304 5.471
2014-11-17 2.196 5.450
2014-10-16 2.196 5.458
2014-09-17 2.196 5.698
2014-08-18 2.196 5.362
2014-07-17 2.196 5.385
2014-06-17 2.196 5.561
2014-05-16 2.196 5.533
2014-04-17 2.196 5.304
2014-03-17 2.196 5.495
2014-02-18 2.196 5.719
2014-01-17 2.196 5.821
2013-12-17 2.196 5.804
2013-11-18 2.100 5.914
2013-10-17 2.100 5.818
2013-09-17 2.100 5.719
2013-08-16 2.100 5.876
2013-07-17 2.100 5.884
2013-06-17 2.100 5.745
2013-05-16 2.100 5.524
2013-04-18 2.100 5.325
2013-03-15 2.100 5.376
2012-11-07 2.000 5.275
2012-08-08 2.000 5.540
2012-05-09 2.000 5.771
2012-03-12 1.962 5.730
2011-10-25 1.971 5.976
2011-08-11 0.390 1.450
2011-05-12 0.377 1.345
2011-03-10 0.380 1.383
2010-11-11 0.388 1.768
2010-08-12 0.400 3.180
2010-05-07 0.608 4.695
2010-03-29 0.597 4.477
2009-11-11 0.605 4.721
2009-08-13 0.617 4.428

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Granite Real Estate Investment Trust's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.3x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Granite Real Estate Investment Trust's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Granite Real Estate Investment Trust afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Granite Real Estate Investment Trust has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Granite Real Estate Investment Trust's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Kevan Gorrie
AGE 49
TENURE AS CEO 0.8 years
CEO Bio

Mr. Kevan S. Gorrie, P. Eng, ICD.D, has been President, Chief Executive Officer and Trustee/Director at Granite REIT and and Granite REIT Inc. since August 01, 2018. He was the President of Pure Industrial Real Estate Trust since October 14, 2012 and its Chief Executive Officer since May 12, 2015. Mr. Gorrie served as Interim Chief Financial Officer of Pure Industrial Real Estate Trust since September 12, 2016 until September 26, 2016. With over 20 years of experience, Mr. Gorrie is a seasoned real estate executive who is well known in the Canadian capital markets and on both sides of the border in the industrial real estate market. He served as the Co-Chief Executive Officer of Pure Industrial Real Estate Trust from January 8, 2014 to May 2015 and has been its Non-Independent Trustee since May 8, 2013 Mr. Gorrie served as the Vice President of Industrial at Oxford Properties, where he led Oxford's $900 million industrial business, comprising 13 million square feet of income-producing properties and development projects across key Canadian industrial markets. Mr. Gorrie's role encompassed acquisition, asset management, leasing, operations and development. Prior to joining Oxford, he was a Vice President of a leading domestic real estate firm, where he was involved in acquisitions totaling nearly $500 million. He has been Director of Pure Industrial Real Estate Trust since May 13, 2013. Mr. Gorrie has been involved with real estate in Canada for over fifteen years. Mr. Gorrie is a graduate of the Civil Engineering program at the University of Toronto.

CEO Compensation
  • Insufficient data for Kevan to compare compensation growth.
  • Insufficient data for Kevan to establish whether their remuneration is reasonable compared to companies of similar size in United States of America.
Management Team Tenure

Average tenure of the Granite Real Estate Investment Trust management team in years:

0.8
Average Tenure
  • The average tenure for the Granite Real Estate Investment Trust management team is less than 2 years, this suggests a new team.
Management Team

Ilias Konstantopoulos

TITLE
Chief Financial Officer
COMPENSATION
CA$1M
TENURE
2.7 yrs

Kevan Gorrie

TITLE
President
AGE
49
TENURE
0.8 yrs

Michael Ramparas

TITLE
Senior VP of Global Real Estate & Head of Investments
TENURE
0.3 yrs

Lawrence Clarfield

TITLE
Senior VP & Legal Counsel
TENURE
0.3 yrs

Lyle Strachan

TITLE
Executive Vice President of Finance of the Racing & Gaming Division
TENURE
8.5 yrs

Sonia Gismondi

TITLE
Senior Vice President of Accounting & Financial Reporting
TENURE
0.3 yrs

Don Mathew

TITLE
VP, Real Estate Investment

Witsard Schaper

TITLE
Head of Europe
TENURE
0.3 yrs

George Haines

TITLE
Interim President of Santa Anita Park & Golden Gate Fields
TENURE
9 yrs

Greg Avioli

TITLE
CEO of the Racing & Gaming Division and President of the Racing & Gaming Division
TENURE
8.2 yrs
Board of Directors Tenure

Average tenure and age of the Granite Real Estate Investment Trust board of directors in years:

1.9
Average Tenure
52
Average Age
  • The average tenure for the Granite Real Estate Investment Trust board of directors is less than 3 years, this suggests a new board.
Board of Directors

Kelly Marshall

TITLE
Chairman
COMPENSATION
CA$105K
AGE
52
TENURE
1.9 yrs

Kevan Gorrie

TITLE
President
AGE
49
TENURE
0.8 yrs

Gerry Miller

TITLE
Independent Trustee
COMPENSATION
CA$174K
AGE
63
TENURE
7.9 yrs

Al Mawani

TITLE
Independent Trustee
COMPENSATION
CA$88K
AGE
66
TENURE
1.9 yrs

Don Clow

TITLE
Independent Trustee
COMPENSATION
CA$165K
AGE
56
TENURE
2.5 yrs

Remco Daal

TITLE
Independent Trustee
COMPENSATION
CA$80K
AGE
52
TENURE
1.9 yrs

Peter Aghar

TITLE
Independent Trustee
COMPENSATION
CA$78K
AGE
50
TENURE
1.9 yrs

Samir Manji

TITLE
Independent Trustee
COMPENSATION
CA$67K
AGE
49
TENURE
1.9 yrs

Jennifer Warren

TITLE
Independent Trustee
AGE
53
TENURE
0.9 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Granite Real Estate Investment Trust insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
10. May 19 Buy Kevan Gorrie Individual 10. May 19 10. May 19 2,000 $45.19 $90,378
17. Sep 18 Sell Sandpiper Asset Management, Inc Company 12. Sep 18 13. Sep 18 -125,000 $44.05 $-5,502,336
28. Mar 19 Sell Sandpiper Asset Management, Inc Company 28. Mar 19 28. Mar 19 -28,752 $47.78 $-1,373,778
27. Mar 19 Sell Sandpiper Asset Management, Inc Company 22. Mar 19 27. Mar 19 -226,473 $48.19 $-10,844,247
22. Mar 19 Buy Kevan Gorrie Individual 21. Mar 19 21. Mar 19 1,000 $47.51 $47,511
15. Mar 19 Buy Remco Daal Individual 13. Mar 19 14. Mar 19 10,000 $46.95 $469,443
13. Dec 18 Buy Lorne Kumer Individual 10. Dec 18 11. Dec 18 1,850 $40.33 $74,579
11. Dec 18 Buy Kevan Gorrie Individual 10. Dec 18 10. Dec 18 1,300 $40.74 $52,966
04. Dec 18 Buy Kevan Gorrie Individual 04. Dec 18 04. Dec 18 800 $41.70 $33,356
15. Nov 18 Buy Ilias Konstantopoulos Individual 12. Nov 18 13. Nov 18 3,275 $42.62 $138,719
13. Nov 18 Buy Ilias Konstantopoulos Individual 09. Nov 18 09. Nov 18 1,725 $42.46 $73,210
17. Aug 18 Buy Sandpiper Asset Management, Inc Company 13. Aug 18 15. Aug 18 1,694 $41.22 $69,705
17. Aug 18 Buy Kevan Gorrie Individual 17. Aug 18 17. Aug 18 3,000 $41.99 $125,972
07. Aug 18 Buy Kevan Gorrie Individual 03. Aug 18 03. Aug 18 10,000 $42.32 $422,684
01. Jun 18 Buy Crux Capital Corporation Company 30. May 18 31. May 18 4,000 $40.01 $159,211
01. Jun 18 Buy Crux Capital Corporation Company 30. May 18 31. May 18 4,000 $40.01 $159,211
X
Management checks
We assess Granite Real Estate Investment Trust's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Granite Real Estate Investment Trust has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Granite is a Canadian based REIT engaged in the acquisition, development, ownership and management of industrial, warehouse and logistics properties in North America and Europe. Granite owns over 80 investment properties representing approximately 34 million square feet of leasable area.

Details
Name: Granite Real Estate Investment Trust
GRP.U
Exchange: NYSE
Founded: 1998
CA$2,289,484,672
49,443,103
Website: http://www.granitereit.com
Address: Granite Real Estate Investment Trust
Toronto-Dominion Centre,
Suite 4010,
Toronto,
Ontario, M5K 1H1,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX GRT.UN Stapled Units The Toronto Stock Exchange CA CAD 20. Aug 2003
NYSE GRP.U Stapled Units New York Stock Exchange US USD 20. Aug 2003
Number of employees
Current staff
Staff numbers
44
Granite Real Estate Investment Trust employees.
Industry
Industrial REITs
Real Estate
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/24 00:32
End of day share price update: 2019/05/23 00:00
Last estimates confirmation: 2019/05/21
Last earnings filing: 2019/05/07
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.