Monmouth Real Estate Investment
Market Cap
US$1.1b
Last Updated
2020/04/08 04:31 UTC
Data Sources
Company Financials +
Executive Summary
Monmouth Real Estate Investment Corporation, founded in 1968, is one of the oldest public equity REITs in the world.
Rewards
Risk Analysis
+ 1 more risk
Snowflake Analysis
6 star dividend payer with reasonable growth potential.
Similar Companies
Share Price & News
How has Monmouth Real Estate Investment's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MNR's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
2.3%
MNR
0.3%
US REITs
2.4%
US Market
1 Year Return
-14.4%
MNR
-20.3%
US REITs
-10.0%
US Market
Return vs Industry: MNR exceeded the US REITs industry which returned -20.3% over the past year.
Return vs Market: MNR underperformed the US Market which returned -10% over the past year.
Shareholder returns
| MNR | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.3% | 0.3% | 2.4% |
| 30 Day | -10.3% | -22.2% | -11.0% |
| 90 Day | -18.1% | -24.2% | -19.4% |
| 1 Year | -10.2%-14.4% | -16.9%-20.3% | -8.1%-10.0% |
| 3 Year | -8.7%-20.3% | -2.8%-15.0% | 17.3%9.6% |
| 5 Year | 40.6%10.0% | 15.9%-7.9% | 36.1%21.1% |
Price Volatility Vs. Market
How volatile is Monmouth Real Estate Investment's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall St
What Type Of Shareholder Owns Monmouth Real Estate Investment Corporation's (NYSE:MNR)?1 month ago | Simply Wall St
If You Had Bought Monmouth Real Estate Investment (NYSE:MNR) Stock Five Years Ago, You Could Pocket A 31% Gain Today2 months ago | Simply Wall St
Is Monmouth Real Estate Investment Corporation's (NYSE:MNR) CEO Overpaid Relative To Its Peers?Valuation
Is Monmouth Real Estate Investment undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: MNR ($11.69) is trading below our estimate of fair value ($27.36)
Significantly Below Fair Value: MNR is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: MNR is poor value based on its PE Ratio (23.7x) compared to the REITs industry average (23.6x).
PE vs Market: MNR is poor value based on its PE Ratio (23.7x) compared to the US market (13x).
Price to Earnings Growth Ratio
PEG Ratio: MNR is poor value based on its PEG Ratio (1.3x)
Price to Book Ratio
PB vs Industry: MNR is overvalued based on its PB Ratio (1.7x) compared to the US REITs industry average (1.3x).
Next Steps
Future Growth
How is Monmouth Real Estate Investment forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
18.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MNR's forecast earnings growth (18.4% per year) is above the savings rate (1.7%).
Earnings vs Market: MNR's earnings (18.4% per year) are forecast to grow faster than the US market (13.3% per year).
High Growth Earnings: MNR's earnings are forecast to grow, but not significantly.
Revenue vs Market: MNR's revenue (26.5% per year) is forecast to grow faster than the US market (7% per year).
High Growth Revenue: MNR's revenue (26.5% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if MNR's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Monmouth Real Estate Investment performed over the past 5 years?
5.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MNR has a large one-off gain of $13.5M impacting its December 31 2019 financial results.
Growing Profit Margin: MNR became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: MNR's earnings have grown by 5% per year over the past 5 years.
Accelerating Growth: MNR has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: MNR has become profitable in the last year, making it difficult to compare its past year earnings growth to the REITs industry (4.3%).
Return on Equity
High ROE: MNR's Return on Equity (6.4%) is considered low.
Next Steps
Financial Health
How is Monmouth Real Estate Investment's financial position?
Financial Position Analysis
Short Term Liabilities: MNR's short term assets ($47.6M) do not cover its short term liabilities ($139.8M).
Long Term Liabilities: MNR's short term assets ($47.6M) do not cover its long term liabilities ($749.8M).
Debt to Equity History and Analysis
Debt Level: MNR's debt to equity ratio (81.7%) is considered high.
Reducing Debt: MNR's debt to equity ratio has reduced from 86.1% to 81.7% over the past 5 years.
Debt Coverage: MNR's debt is not well covered by operating cash flow (11.4%).
Interest Coverage: MNR's interest payments on its debt are well covered by EBIT (3.3x coverage).
Balance Sheet
Next Steps
Dividend
What is Monmouth Real Estate Investment's current dividend yield, its reliability and sustainability?
5.82%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: MNR's dividend (5.82%) is higher than the bottom 25% of dividend payers in the US market (1.93%).
High Dividend: MNR's dividend (5.82%) is in the top 25% of dividend payers in the US market (5.46%)
Stability and Growth of Payments
Stable Dividend: MNR's dividends per share have been stable in the past 10 years.
Growing Dividend: MNR's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (86%), MNR's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: MNR's dividends in 3 years are forecast to be thoroughly covered by earnings (0.8% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
7.0yrs
Average management tenure
CEO
Michael Landy (57yo)
7s
Tenure
US$1,483,000
Compensation
Mr. Michael P. Landy has been the Chief Executive Officer and President of Monmouth Real Estate Investment Corporation since April 9, 2013 and has been its Director since July 2007 and previously served as ...
CEO Compensation Analysis
Compensation vs Market: Michael's total compensation ($USD1.48M) is below average for companies of similar size in the US market ($USD3.18M).
Compensation vs Earnings: Michael's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Founder & Chairman | 52.25yrs | US$662.00k | 1.49% $17.1m | |
| CEO, President & Executive Director | 7yrs | US$1.48m | 0.73% $8.4m | |
| CFO, Chief Accounting Officer | 2.83yrs | US$748.00k | 0.055% $627.4k | |
| Secretary & General Counsel | 0.33yr | no data | 0.0021% $23.7k | |
| Vice President of Asset Management | no data | no data | 0.0038% $43.5k | |
| Controller | no data | no data | 0.011% $129.5k | |
| Assistant Controller | no data | no data | no data | |
| Vice President of Investor Relations | 1.25yrs | no data | no data |
7.0yrs
Average Tenure
49yo
Average Age
Experienced Management: MNR's management team is seasoned and experienced (7 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Founder & Chairman | 52.25yrs | US$662.00k | 1.49% $17.1m | |
| CEO, President & Executive Director | 7yrs | US$1.48m | 0.73% $8.4m | |
| CFO, Chief Accounting Officer | 2.83yrs | US$748.00k | 0.055% $627.4k | |
| Non-Executive Non-Independent Director | 31.25yrs | US$73.00k | 0.35% $4.0m | |
| Independent Director | 31.25yrs | US$73.00k | 0.18% $2.1m | |
| Independent Director | 19.75yrs | US$79.00k | 0.081% $930.8k | |
| Independent Director | 16yrs | US$73.00k | 0.024% $277.8k | |
| Independent Director | 16.67yrs | US$77.00k | 0.074% $848.6k | |
| Independent Director | 12.5yrs | US$78.00k | 0.017% $198.0k | |
| Lead Independent Director | no data | US$79.00k | 0.017% $189.8k |
16.7yrs
Average Tenure
59.5yo
Average Age
Experienced Board: MNR's board of directors are seasoned and experienced ( 16.7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: MNR insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 15.6%.
Top Shareholders
Company Information
Monmouth Real Estate Investment Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Monmouth Real Estate Investment Corporation
- Ticker: MNR
- Exchange: NYSE
- Founded: 1968
- Industry: Industrial REITs
- Sector: Real Estate
- Market Cap: US$1.145b
- Shares outstanding: 97.97m
- Website: https://www.mreic.reit
Number of Employees
Location
- Monmouth Real Estate Investment Corporation
- Bell Works Complex
- Suite 1405
- Holmdel
- New Jersey
- 7733
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| MNR | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Dec 1972 |
| MNR.PRC | NYSE (New York Stock Exchange) | PFD SER C | US | USD | Sep 2016 |
Biography
Monmouth Real Estate Investment Corporation, founded in 1968, is one of the oldest public equity REITs in the world. We specialize in single tenant, net-leased industrial properties, subject to long-term leases, primarily to investment-grade tenants. Monmouth Real Estate is a fully integrated and self-managed real estate company, whose property portfolio consists of 115 properties containing a total of approximately 22.9 million rentable square feet, geographically diversified across 30 states. In addition, we own a portfolio of REIT securities.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/08 04:31 |
| End of Day Share Price | 2020/04/07 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/09/30 |
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.