JOE Stock Overview
The St. Joe Company, together with its subsidiaries, operates as a real estate development, asset management, and operating company in Northwest Florida.
St. Joe Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$32.35|
|52 Week High||US$62.21|
|52 Week Low||US$31.75|
|1 Month Change||-18.98%|
|3 Month Change||-19.75%|
|1 Year Change||-23.03%|
|3 Year Change||87.97%|
|5 Year Change||71.62%|
|Change since IPO||114.48%|
Recent News & Updates
Estimating The Intrinsic Value Of The St. Joe Company (NYSE:JOE)
Today we'll do a simple run through of a valuation method used to estimate the attractiveness of The St. Joe Company...
The St. Joe Company: Long Term Beneficiary Of The Interstate Exodus
The St. Joe Company has benefited from the exodus out of the Northeast and places like Chicago since the pandemic, given its large land holdings in Florida. However, the shares have lost a third of their value as the housing market has cooled substantially as mortgage rates have spiked. There was small insider buying in the stock in May and June. Signs of a rebound? An investment analysis follows in the paragraphs below. "Desperation is the raw material of drastic change. Only those who can leave behind everything they have ever believed in can hope to escape." - William S. Burroughs Today, we take a look at The St. Joe Company (JOE). The company has been the beneficiary of the large-scale migration from the northeast as well as places like Chicago, where people have sent an influx of emigres to the Sunshine State over the past decade. This migration accelerated during the pandemic. Through its large land holdings in Northwest Florida, the company has reaped the benefits of increased land prices this exodus has driven. The shares have been weak this year thanks to the slowdown of the housing market thanks to much higher interest rates. However, the company is well positioned to continue to profit from this intrastate migration. The shares attracted some small insider buying in June as well on the equity's pull back. An analysis follows below. Seeking Alpha Company Overview: The St. Joe Company is based in Panama City, FL. The company owns approximately 170,000 acres of land in Northwest Florida. St. Joe has three business segments. The first 'Residential' plans and develops residential communities of various sizes for homebuilders or retail consumers by primarily sells developed homesites and parcels of entitled or undeveloped land. The second 'Hospitality' owns and operates a private membership club, golf courses, beach clubs, retail outlets, marinas, and other entertainment assets. The final segment 'Commercial' engages in leasing of commercial property, multi-family, a senior living community, and other assets as well as grow and sell pulpwood, sawtimber, and other forest products. The stock currently trades just above forty bucks a share and sports an approximate market capitalization of $2.4 billion. The company's multi-family and senior living portfolio now has over 1,000 units, with a current occupancy rate of 93%. Three more multi-family and senior living projects under construction. Its commercial leasing portfolio consists of approximately 981,000 square feet, which also is 93% leased currently. New village centers under construction could add an additional one million square feet to that portion of the company's portfolio. The company opened a Homewood Suites hotel in March and has six other hotels under construction. Most of the value of the company is via its land bank holdings and that is what we primarily concentrate on in this article. May 2018 Company Presentation Second Quarter Results: On July 27th, the company posted second quarter results. The company had GAAP earnings of 29 cents a share as revenues slipped just over five percent from the same period a year ago to $68.2 million. It is important to note because the bulk of revenue is due to the timing of homesite sales and a mix of sales from different residential communities, it can be 'lumpy.' In the first quarter, the company had just under $65 million worth of revenues, which was up 57% from 1Q2021. Leasing revenue increased by 45% and hospitality revenue increased by 31% from 2Q2021. In the first six months of this year, revenues have increased 17% from the same period a year ago to $133.1 million. Analyst Commentary & Balance Sheet: The company gets next to no analyst coverage, and I cannot find one analyst firm rating on the stock over the last year. Only approximately four percent of the outstanding shares are currently held short. The CEO bought 3,200 shares worth of stock in three transactions in May and June. These were the first insider buys in the stock in over a year. Via the last balance sheet snapshot from Seeking Alpha, the company ended the second quarter with approximately $135 million of cash and marketable securities against roughly $470 million worth of long-term debt on its balance sheet. Verdict: The hardest part of the St. Joe story is management doesn't make a lot of data available. The last investor presentation was in 2018, and other than the quarterly earnings press release, there are no conference call transcripts to dig into. One can't value the company via its sales or earnings as its core asset is its 170,000 acres as well as building and facility holdings. Dividing the stock's market cap by its acreage puts a value on each acre of just over $14,000. All acreage is not created the same, and an acre can yield multiple home sites. In the second quarter of this year, each homesite averaged $83,000 whereas each homesite in the same quarter a year ago yielded an average of $164,000 per homesite. In 2020, the company depleted only 2% of its land bank to generate $143 million of revenue, and land values have gone up substantially since then. Some 280,000 net New Yorkers migrated to Florida over the decade that ended prior to the pandemic. They were joined by their brethren from the Northeast looking for warmer weather, a lower cost of living and no state income tax. The Midwest and other parts of the country have also migrated to the Sunshine State over the past decade.
|JOE||US Real Estate||US Market|
Return vs Industry: JOE exceeded the US Real Estate industry which returned -45.4% over the past year.
Return vs Market: JOE underperformed the US Market which returned -21.6% over the past year.
|JOE Average Weekly Movement||4.4%|
|Real Estate Industry Average Movement||7.6%|
|Market Average Movement||6.9%|
|10% most volatile stocks in US Market||15.9%|
|10% least volatile stocks in US Market||2.8%|
Stable Share Price: JOE is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: JOE's weekly volatility (4%) has been stable over the past year.
About the Company
The St. Joe Company, together with its subsidiaries, operates as a real estate development, asset management, and operating company in Northwest Florida. It operates through three segments: Residential, Hospitality, and Commercial. The Residential segment plans and develops residential communities of various sizes for homebuilders or retail consumers.
St. Joe Fundamentals Summary
|JOE fundamental statistics|
Is JOE overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|JOE income statement (TTM)|
|Cost of Revenue||US$146.94m|
Last Reported Earnings
Jun 30, 2022
Next Earnings Date
|Earnings per share (EPS)||1.32|
|Net Profit Margin||27.07%|
How did JOE perform over the long term?See historical performance and comparison
1.2%Current Dividend Yield
Is JOE undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score 2/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Key Valuation Metric
Which metric is best to use when looking at relative valuation for JOE?
Other financial metrics that can be useful for relative valuation.
|What is JOE's n/a Ratio?|
Price to Earnings Ratio vs Peers
How does JOE's PE Ratio compare to its peers?
|JOE PE Ratio vs Peers|
|Company||PE||Estimated Growth||Market Cap|
RMR RMR Group
TRC Tejon Ranch
BBXI.A BBX Capital
NMRK Newmark Group
JOE St. Joe
Price-To-Earnings vs Peers: JOE is expensive based on its Price-To-Earnings Ratio (24.6x) compared to the peer average (18.9x).
Price to Earnings Ratio vs Industry
How does JOE's PE Ratio compare vs other companies in the US Real Estate Industry?
Price-To-Earnings vs Industry: JOE is expensive based on its Price-To-Earnings Ratio (24.6x) compared to the US Real Estate industry average (7.7x)
Price to Earnings Ratio vs Fair Ratio
What is JOE's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
|Current PE Ratio||24.6x|
|Fair PE Ratio||n/a|
Price-To-Earnings vs Fair Ratio: Insufficient data to calculate JOE's Price-To-Earnings Fair Ratio for valuation analysis.
Share Price vs Fair Value
What is the Fair Price of JOE when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: JOE ($32.35) is trading below our estimate of fair value ($49.36)
Significantly Below Fair Value: JOE is trading below fair value by more than 20%.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Insufficient data to show price forecast.
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How is St. Joe forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
Future Growth Score0/6
Future Growth Score 0/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
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 St. Joe 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.
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How has St. Joe performed over the past 5 years?
Past Performance Score4/6
Past Performance Score 4/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: JOE has high quality earnings.
Growing Profit Margin: JOE's current net profit margins (27.1%) are higher than last year (25%).
Past Earnings Growth Analysis
Earnings Trend: JOE's earnings have grown by 13.1% per year over the past 5 years.
Accelerating Growth: JOE's earnings growth over the past year (41.2%) exceeds its 5-year average (13.1% per year).
Earnings vs Industry: JOE earnings growth over the past year (41.2%) underperformed the Real Estate industry 41.2%.
Return on Equity
High ROE: JOE's Return on Equity (11.9%) is considered low.
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How is St. Joe's financial position?
Financial Health Score2/6
Financial Health Score 2/6
Short Term Liabilities
Long Term Liabilities
Financial Position Analysis
Short Term Liabilities: JOE's short term assets ($192.4M) exceed its short term liabilities ($77.2M).
Long Term Liabilities: JOE's short term assets ($192.4M) do not cover its long term liabilities ($595.2M).
Debt to Equity History and Analysis
Debt Level: JOE's net debt to equity ratio (51.5%) is considered high.
Reducing Debt: JOE's debt to equity ratio has increased from 35.3% to 72.5% over the past 5 years.
Debt Coverage: JOE's debt is not well covered by operating cash flow (20%).
Interest Coverage: JOE's interest payments on its debt are well covered by EBIT (13.9x coverage).
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What is St. Joe current dividend yield, its reliability and sustainability?
Dividend Score 2/6
Cash Flow Coverage
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: JOE's dividend (1.24%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.62%).
High Dividend: JOE's dividend (1.24%) is low compared to the top 25% of dividend payers in the US market (4.45%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, JOE has been paying a dividend for less than 10 years.
Growing Dividend: JOE's dividend payments have increased, but the company has only paid a dividend for 2 years.
Earnings Payout to Shareholders
Earnings Coverage: With its reasonably low payout ratio (27.3%), JOE's dividend payments are well covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: With its reasonably low cash payout ratio (26.7%), JOE's dividend payments are well covered by cash flows.
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How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Jorge Gonzalez (57 yo)
Mr. Jorge Luis Gonzalez has been the Chief Executive Officer and President of The St. Joe Company since November 2015 and serves as its Chief Operating Officer. Mr. Gonzalez served as Senior Vice President...
CEO Compensation Analysis
Compensation vs Market: Jorge's total compensation ($USD1.38M) is below average for companies of similar size in the US market ($USD5.58M).
Compensation vs Earnings: Jorge's compensation has been consistent with company performance over the past year.
Experienced Management: JOE's management team is seasoned and experienced (7.5 years average tenure).
Experienced Board: JOE's board of directors are seasoned and experienced ( 11.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
|14 Jun 22||BuyUS$49,584||Jorge Gonzalez||Individual||1,200||US$41.32|
|12 May 22||BuyUS$46,150||Jorge Gonzalez||Individual||1,000||US$46.15|
|05 May 22||BuyUS$50,710||Jorge Gonzalez||Individual||1,000||US$50.71|
|05 May 22||SellUS$5,294,065||Fairholme Capital Management, L.L.C.||Company||100,500||US$52.68|
|03 May 22||SellUS$2,472,830||Fairholme Capital Management, L.L.C.||Company||46,300||US$55.00|
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
|Ownership||Name||Shares||Current Value||Change %||Portfolio %|
The St. Joe Company's employee growth, exchange listings and data sources
- Name: The St. Joe Company
- Ticker: JOE
- Exchange: NYSE
- Founded: 1936
- Industry: Diversified Real Estate Activities
- Sector: Real Estate
- Implied Market Cap: US$1.906b
- Shares outstanding: 58.91m
- Website: https://www.joe.com
Number of Employees
- The St. Joe Company
- 130 Richard Jackson Boulevard
- Suite 200
- Panama City Beach
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|JOE||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Mar 1976|
|JOE||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Mar 1976|
|0A7U||LSE (London Stock Exchange)||Yes||Common Stock||GB||USD||Mar 1976|
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/09/23 00:00|
|End of Day Share Price||2022/09/23 00:00|
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.