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Spirit Realty Capital

NYSE:SRC.PRA
Snowflake Description

Average dividend payer with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
SRC.PRA
NYSE
$4B
Market Cap
  1. Home
  2. US
  3. Real Estate
Company description

Spirit Realty Capital, Inc. (NYSE: SRC) is a premier net-lease REIT that primarily invests in high-quality, operationally essential real estate, subject to long-term, net leases. The last earnings update was 18 days ago. More info.


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SRC.PRA Share Price and Events
7 Day Returns
0.5%
NYSE:SRC.PRA
1.8%
US REITs
-0.7%
US Market
1 Year Returns
17.7%
NYSE:SRC.PRA
16.3%
US REITs
3%
US Market
SRC.PRA Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Spirit Realty Capital (SRC.PRA) 0.5% 2.6% 5.8% 17.7% - -
US REITs 1.8% 2.4% 3.1% 16.3% 13.8% 26.4%
US Market -0.7% -2% 2.4% 3% 39.2% 42%
1 Year Return vs Industry and Market
  • SRC.PRA outperformed the REITs industry which returned 16.3% over the past year.
  • SRC.PRA outperformed the Market in United States of America which returned 3% over the past year.
Price Volatility
SRC.PRA
Industry
5yr Volatility vs Market

Value

 Is Spirit Realty Capital 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 Spirit Realty Capital 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 Spirit Realty Capital.

NYSE:SRC.PRA 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 4 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.8%
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:SRC.PRA
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))
= 0.531 (1 + (1- 21%) (56.18%))
0.844
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.84
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.844 * 5.96%)
7.76%

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

The calculations below outline how an intrinsic value for Spirit Realty Capital 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.

Spirit Realty Capital 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:SRC.PRA DCF 1st Stage: Next 10 year cash flow forecast
Adjusted Funds From Operations (AFFO) (USD, Millions) Source Present Value
Discounted (@ 7.76%)
2019 295.40 Analyst x5 274.13
2020 286.96 Analyst x6 247.13
2021 309.59 Analyst x3 247.42
2022 338.10 Analyst x1 250.75
2023 364.30 Analyst x1 250.73
2024 387.76 Est @ 6.44% 247.66
2025 408.41 Est @ 5.33% 242.07
2026 426.98 Est @ 4.55% 234.86
2027 444.07 Est @ 4% 226.67
2028 460.14 Est @ 3.62% 217.97
Present value of next 10 years cash flows $2,439.39
NYSE:SRC.PRA DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $460.14 × (1 + 2.73%) ÷ (7.76% – 2.73%)
$9,401.09
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $9,401.09 ÷ (1 + 7.76%)10
$4,453.22
NYSE:SRC.PRA Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $2,439.39 + $4,453.22
$6,892.61
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $6,892.61 / 87.34
$45.09
NYSE:SRC.PRA Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in NYSE:SRC.PRA represents 0.57138x of NYSE:SRC
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.57138x
Value per Share
(Listing Adjusted, USD)
= Value per Share (USD) x Listing Adjustment Factor
= $ 45.09 x 0.57138
$25.77
Value per share (USD) From above. $25.77
Current discount Discount to share price of $24.60
= -1 x ($24.60 - $25.77) / $25.77
4.5%

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

Current Discount
Amount off the current price Spirit Realty Capital is available for.
Intrinsic value
5%
Share price is $24.6 vs Future cash flow value of $25.77
Current Discount Checks
For Spirit Realty Capital to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Spirit Realty Capital's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Spirit Realty Capital'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 Spirit Realty Capital's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Spirit Realty Capital's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:SRC.PRA PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $1.67
NYSE:SRC Share Price ** NYSE (2019-05-17) in USD $43.05
United States of America REITs Industry PE Ratio Median Figure of 156 Publicly-Listed REITs Companies 32.79x
United States of America Market PE Ratio Median Figure of 3,088 Publicly-Listed Companies 17.89x

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

** Primary Listing of Spirit Realty Capital.

NYSE:SRC.PRA PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:SRC Share Price ÷ EPS (both in USD)

= 43.05 ÷ 1.67

25.8x

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

  • Spirit Realty Capital is good value based on earnings compared to the US REITs industry average.
  • Spirit Realty Capital is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Spirit Realty Capital's expected growth come at a high price?
Raw Data
NYSE:SRC.PRA PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 25.8x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts
-1.2%per year
United States of America REITs Industry PEG Ratio Median Figure of 141 Publicly-Listed REITs Companies 2.4x
United States of America Market PEG Ratio Median Figure of 2,117 Publicly-Listed Companies 1.56x

*Line of best fit is calculated by linear regression .

NYSE:SRC.PRA PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 25.8x ÷ -1.2%

-20.99x

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

  • Spirit Realty Capital earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Spirit Realty Capital's assets?
Raw Data
NYSE:SRC.PRA PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $30.55
NYSE:SRC Share Price * NYSE (2019-05-17) in USD $43.05
United States of America REITs Industry PB Ratio Median Figure of 191 Publicly-Listed REITs Companies 1.86x
United States of America Market PB Ratio Median Figure of 5,195 Publicly-Listed Companies 1.83x
NYSE:SRC.PRA PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:SRC Share Price ÷ Book Value per Share (both in USD)

= 43.05 ÷ 30.55

1.41x

* Primary Listing of Spirit Realty Capital.

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

  • Spirit Realty Capital is good value based on assets compared to the US REITs industry average.
X
Value checks
We assess Spirit Realty Capital'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. Spirit Realty Capital has a total score of 2/6, 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 Spirit Realty Capital expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

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
-1.2%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Spirit Realty Capital expected to grow at an attractive rate?
  • Spirit Realty Capital'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
  • Spirit Realty Capital's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.
  • Spirit Realty Capital's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:SRC.PRA Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:SRC.PRA Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts -1.2%
NYSE:SRC.PRA Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 4 Analysts 5.9%
United States of America REITs Industry Earnings Growth Rate Market Cap Weighted Average 5.7%
United States of America REITs Industry Revenue Growth Rate Market Cap Weighted Average 4.3%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.9%
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:SRC.PRA Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:SRC.PRA Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 551 135 1
2022-12-31 516 123 1
2021-12-31 482 112 1
2020-12-31 453 110 4
2019-12-31 436 129 4
NYSE:SRC.PRA Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 410 315 143
2018-12-31 408 336 137
2018-09-30 643 321 156
2018-06-30 649 345 134
2018-03-31 426 390 79
2017-12-31 430 394 37
2017-09-30 492 402 4
2017-06-30 551 386 24
2017-03-31 609 369 67
2016-12-31 426 388 28
2016-09-30 668 360 102
2016-06-30 667 381 90

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Spirit Realty Capital's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Spirit Realty Capital's revenue is expected to grow by 5.9% 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:SRC.PRA 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 4 Analyst Estimates (S&P Global) See Below

All data from Spirit Realty Capital Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:SRC.PRA Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 1.25 1.25 1.25 1.00
2022-12-31 1.17 1.17 1.17 1.00
2021-12-31 1.13 1.14 1.11 2.00
2020-12-31 1.15 1.53 0.93 4.00
2019-12-31 1.42 1.50 1.34 3.00
NYSE:SRC.PRA Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 1.67
2018-12-31 1.59
2018-09-30 1.78
2018-06-30 1.51
2018-03-31 0.86
2017-12-31 0.39
2017-09-30 0.04
2017-06-30 0.25
2017-03-31 0.70
2016-12-31 0.30
2016-09-30 1.13
2016-06-30 1.00

*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.
  • Spirit Realty Capital is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Spirit Realty Capital'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.
Spirit Realty Capital has a total score of 0/6, 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 Spirit Realty Capital 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 Spirit Realty Capital'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.
  • Spirit Realty Capital has delivered over 20% year on year earnings growth in the past 5 years.
  • Spirit Realty Capital's 1-year earnings growth exceeds its 5-year average (80.1% vs 40.8%)
  • Spirit Realty Capital's earnings growth has exceeded the US REITs industry average in the past year (80.1% vs 16%).
Earnings and Revenue History
Spirit Realty Capital'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 Spirit Realty Capital Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:SRC.PRA Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 410.06 142.60 52.94
2018-12-31 407.58 136.99 51.15
2018-09-30 643.26 155.89 51.22
2018-06-30 648.99 134.18 52.93
2018-03-31 426.41 79.17 43.12
2017-12-31 429.68 36.96 43.90
2017-09-30 492.24 3.81 47.51
2017-06-30 551.04 24.50 48.37
2017-03-31 608.70 66.76 49.51
2016-12-31 426.14 28.02 45.02
2016-09-30 668.34 102.19 45.96
2016-06-30 666.86 89.90 44.52
2016-03-31 666.44 92.67 44.58
2015-12-31 660.08 91.83 47.73
2015-09-30 647.11 117.03 47.49
2015-06-30 633.19 109.60 45.71
2015-03-31 615.82 -30.08 44.17
2014-12-31 598.12 -41.74 42.64
2014-09-30 581.95 -66.06 40.96
2014-06-30 567.26 -96.68 40.53
2014-03-31 490.54 -16.98 39.25
2013-12-31 417.54 -34.46 35.15
2013-09-30 348.12 -41.36 28.20
2013-06-30 275.47 -70.67 38.80
2013-03-31 274.38 -67.63 32.94
2012-12-31 272.62 -72.96 32.22
2012-09-30 271.40 -89.45 35.71
2012-06-30 275.56 -51.99 25.11

*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.
  • Spirit Realty Capital has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Spirit Realty Capital used its assets less efficiently than the US REITs industry average last year based on Return on Assets.
  • Spirit Realty Capital's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Spirit Realty Capital'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.
Spirit Realty Capital 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 Spirit Realty Capital'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 Spirit Realty Capital's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Spirit Realty Capital is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Spirit Realty Capital's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Spirit Realty Capital'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 0.1x 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 Spirit Realty Capital Company Filings, last reported 1 month ago.

NYSE:SRC.PRA Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 2,818.64 2,112.41 9.38
2018-12-31 2,801.75 2,061.80 14.49
2018-09-30 2,805.36 2,064.27 7.58
2018-06-30 2,829.29 1,832.13 9.29
2018-03-31 3,168.72 3,741.02 10.99
2017-12-31 3,319.61 1,712.85 8.79
2017-09-30 3,259.17 3,863.15 11.95
2017-06-30 3,355.83 3,846.62 11.25
2017-03-31 3,608.84 3,657.86 9.31
2016-12-31 3,682.11 3,664.63 10.06
2016-09-30 3,765.94 3,709.86 13.18
2016-06-30 3,775.06 3,636.34 29.41
2016-03-31 3,422.07 4,020.67 8.99
2015-12-31 3,461.87 4,093.72 21.79
2015-09-30 3,532.31 4,006.65 28.21
2015-06-30 3,611.34 3,996.90 39.67
2015-03-31 3,353.15 4,320.87 108.13
2014-12-31 3,311.66 4,324.42 176.18
2014-09-30 3,204.24 4,008.59 50.13
2014-06-30 3,262.35 3,911.46 120.98
2014-03-31 3,072.96 3,874.50 29.98
2013-12-31 3,118.03 3,779.01 66.59
2013-09-30 3,134.59 3,607.51 42.38
2013-06-30 1,185.21 1,932.42 38.03
2013-03-31 1,220.46 1,923.06 55.36
2012-12-31 1,253.44 1,895.65 73.57
2012-09-30 1,224.54 1,904.94 45.40
2012-06-30 507.13 2,633.23 71.74
  • Spirit Realty Capital's level of debt (74.9%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (126% vs 74.9% today).
  • Debt is not well covered by operating cash flow (14.9%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 2x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess Spirit Realty Capital'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. Spirit Realty Capital 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 Spirit Realty Capital'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
5.81%
Current annual income from Spirit Realty Capital dividends. Estimated to be 5.94% next year.
If you bought $2,000 of Spirit Realty Capital shares you are expected to receive $116 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?
  • Spirit Realty Capital's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).
  • Spirit Realty Capital's dividend is above the markets top 25% of dividend payers in United States of America (3.69%).
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:SRC.PRA 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 4 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 2000 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:SRC.PRA Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31 2.50 1.00
2022-12-31 2.50 1.00
2021-12-31 2.68 4.00
2020-12-31 2.57 9.00
2019-12-31 2.50 8.00
NYSE:SRC.PRA Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-05-02 2.500 5.915
2018-12-06 2.500 6.515
2018-08-30 2.500 6.309
2018-06-05 3.600 8.730
2018-03-05 3.600 8.893
2017-12-08 3.600 8.878
2017-09-15 3.600 8.511
2017-06-15 3.600 8.953
2017-05-03 3.600 9.721
2016-12-15 3.600 6.867
2016-09-14 3.500 5.963
2016-06-15 3.500 5.377
2016-03-15 3.500 6.115
2015-12-15 3.500 6.875
2015-09-15 3.400 6.971
2015-06-16 3.400 6.793
2015-03-16 3.400 5.962
2014-12-15 3.400 5.535
2014-09-16 3.325 5.801
2014-06-16 3.325 5.758
2014-03-18 3.325 6.042
2013-12-17 3.325 6.348
2013-09-05 3.281 6.797

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

  • Spirit Realty Capital has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • Spirit Realty Capital has only been paying a dividend for 6 years, and since then dividends per share have fallen.
Current Payout to shareholders
What portion of Spirit Realty Capital's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be thoroughly covered by earnings (115.7x coverage).
X
Income/ dividend checks
We assess Spirit Realty Capital'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 Spirit Realty Capital afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Spirit Realty Capital 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 Spirit Realty Capital'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
Jackson Hsieh
COMPENSATION $12,103,234
AGE 57
TENURE AS CEO 2 years
CEO Bio

Mr. Jackson Hsieh has been the President, Chief Executive Officer & Director of Spirit Realty Capital since 2019. Mr. Hsieh has been the President and Chief Executive Officer of Spirit Realty Capital, Inc. since September 7, 2016 and May 8, 2017 respectively. Mr. Hsieh is responsible for Spirit’s credit underwriting, new investments and portfolio and asset management. He serves as Chairman of Spirit MTA REIT and also has been its Trustee since November 2017. He served as President of Spirit MTA REIT until May 15, 2018. He is an accomplished leader with more than 25 years of relevant real estate industry experience. He served as Chief Operating Officer of Spirit Realty Capital, Inc. from September 7, 2016 to May 8, 2017. He served as Global Head of Real Estate Investment Banking at UBS Investment Bank. As President and Chief Operating Officer, Mr. Hsieh work directly for Chairman and Chief Executive Officer Tom Nolan and have oversight responsibility for credit underwriting, new investments and portfolio and asset management. He joined Spirit from Morgan Stanley, where he served as Managing Director and a Vice Chairman of Investment Banking, primarily focusing on its real estate clients. Prior to rejoining Morgan Stanley, he was Vice Chairman and Sole/Co-Global Head of UBS's Real Estate Investment Banking Group, managing a team of over 70 professionals in six offices worldwide. Mr. Hsieh has been a Trustee of Hersha Hospitality Trust since June 1, 2017. He has been a Director of Spirit Realty Capital, Inc. since May 8, 2017. Mr. Hsieh is a graduate of the University of California at Berkeley (1983), and earned a Master's Degree from Harvard University (1987).

CEO Compensation
  • Jackson's compensation has been consistent with company performance over the past year.
  • Jackson's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Spirit Realty Capital management team in years:

2.1
Average Tenure
45.5
Average Age
  • The tenure for the Spirit Realty Capital management team is about average.
Management Team

Jackson Hsieh

TITLE
President
COMPENSATION
$12M
AGE
57
TENURE
2 yrs

Michael Hughes

TITLE
Executive VP & CFO
COMPENSATION
$3M
AGE
43
TENURE
1.1 yrs

Jay Young

TITLE
Executive VP
COMPENSATION
$2M
AGE
48
TENURE
3.1 yrs

Ken Heimlich

TITLE
Executive VP & Head of Asset Management
COMPENSATION
$2M
AGE
52
TENURE
2.2 yrs

Prakash Parag

TITLE
Senior VP & Chief Accounting Officer
AGE
43
TENURE
3 yrs

Pierre Revol

TITLE
Senior VP and Head of Strategic Planning & Investor Relations

Daniel Rosenberg

TITLE
Senior VP & Head of Acquisitions
AGE
40
TENURE
2.4 yrs

Rochelle Thomas

TITLE
Senior VP & Deputy General Counsel
TENURE
0.3 yrs

Kmeal Winters

TITLE
Vice President of Asset Management
TENURE
0.1 yrs
Board of Directors Tenure

Average tenure and age of the Spirit Realty Capital board of directors in years:

5.8
Average Tenure
59
Average Age
  • The tenure for the Spirit Realty Capital board of directors is about average.
Board of Directors

Rick Gilchrist

TITLE
Chairman of the Board & Lead Independent Director
COMPENSATION
$308K
AGE
72
TENURE
2 yrs

Jackson Hsieh

TITLE
President
COMPENSATION
$12M
AGE
57
TENURE
2 yrs

Kevin Charlton

TITLE
Director
COMPENSATION
$189K
AGE
52
TENURE
10.3 yrs

Nick Shepherd

TITLE
Director
COMPENSATION
$183K
AGE
59
TENURE
6.7 yrs

Diana Laing

TITLE
Director
COMPENSATION
$158K
AGE
63
TENURE
0.8 yrs

Todd Dunn

TITLE
Director
COMPENSATION
$189K
AGE
55
TENURE
6.7 yrs

Tom Senkbeil

TITLE
Director
COMPENSATION
$179K
AGE
68
TENURE
5.8 yrs

Sheli Rosenberg

TITLE
Director
COMPENSATION
$184K
AGE
76
TENURE
5.8 yrs

Elizabeth Frank

TITLE
Director
AGE
49
TENURE
0.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess Spirit Realty Capital'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. Spirit Realty Capital 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

Spirit Realty Capital, Inc. (NYSE: SRC) is a premier net-lease REIT that primarily invests in high-quality, operationally essential real estate, subject to long-term, net leases. Over the past decade, Spirit has become an industry leader and owner of income-producing, strategically located retail, industrial, office and data center properties. As of March 31, 2019, our diversified portfolio was comprised of 1,528 properties, including properties securing mortgage loans made by the Company. Our owned properties, with an aggregate gross leasable area of 28.6 million square feet, are leased to 256 tenants across 49 states and 32 industries.

Details
Name: Spirit Realty Capital, Inc.
SRC.PRA
Exchange: NYSE
Founded: 2003
$3,759,910,026
87,338,212
Website: http://www.spiritrealty.com
Address: Spirit Realty Capital, Inc.
2727 North Harwood Street,
Suite 300,
Dallas,
Texas, 75201,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE SRC New Common stock New York Stock Exchange US USD 18. Jul 2013
DB 21S1 New Common stock Deutsche Boerse AG DE EUR 18. Jul 2013
LSE 0A1M New Common stock London Stock Exchange GB EUR 18. Jul 2013
NYSE SRC.PRA 6% PFD SER A New York Stock Exchange US USD 27. Sep 2017
Number of employees
Current staff
Staff numbers
89
Spirit Realty Capital employees.
Industry
Retail REITs
Real Estate
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/20 03:27
End of day share price update: 2019/05/17 00:00
Last estimates confirmation: 2019/05/17
Last earnings filing: 2019/05/02
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.