Spirit Realty Capital
Market Cap
US$5.3b
Last Updated
2021/05/18 03:54 UTC
Data Sources
Company Financials +
Executive Summary
Spirit Realty Capital, Inc. (NYSE: SRC) is a premier net-lease REIT that primarily invests in single-tenant, operationally essential real estate assets, subject to long-term leases. More Details
Rewards
Risk Analysis
+ 2 more risks
Snowflake Analysis
Reasonable growth potential and fair value.
Similar Companies
Share Price & News
How has Spirit Realty Capital's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SRC is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: SRC's weekly volatility (3%) has been stable over the past year.
Market Performance
7 Day Return
-1.9%
SRC
-1.3%
US REITs
-0.6%
US Market
1 Year Return
59.8%
SRC
34.1%
US REITs
46.0%
US Market
Return vs Industry: SRC exceeded the US REITs industry which returned 34.1% over the past year.
Return vs Market: SRC exceeded the US Market which returned 46% over the past year.
Shareholder returns
| SRC | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.9% | -1.3% | -0.6% |
| 30 Day | 3.4% | 1.1% | -1.8% |
| 90 Day | 11.1% | 9.4% | 0.2% |
| 1 Year | 70.8%59.8% | 39.6%34.1% | 48.4%46.0% |
| 3 Year | 45.4%6.4% | 43.8%26.5% | 60.5%50.4% |
| 5 Year | 28.4%-19.3% | 54.0%23.1% | 125.9%100.9% |
Long-Term Price Volatility Vs. Market
How volatile is Spirit Realty Capital's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 days ago | Simply Wall St
Increases to Spirit Realty Capital, Inc.'s (NYSE:SRC) CEO Compensation Might Cool off for now6 days ago | Simply Wall St
If You Had Bought Spirit Realty Capital (NYSE:SRC) Stock A Year Ago, You Could Pocket A 66% Gain TodayValuation
Is Spirit Realty Capital 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: SRC ($45.87) is trading below our estimate of fair value ($99.49)
Significantly Below Fair Value: SRC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SRC is poor value based on its PE Ratio (163.9x) compared to the US REITs industry average (43.7x).
PE vs Market: SRC is poor value based on its PE Ratio (163.9x) compared to the US market (19.8x).
Price to Earnings Growth Ratio
PEG Ratio: SRC is poor value based on its PEG Ratio (7x)
Price to Book Ratio
PB vs Industry: SRC is good value based on its PB Ratio (1.6x) compared to the US REITs industry average (1.8x).
Future Growth
How is Spirit Realty Capital forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
23.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SRC's forecast earnings growth (23.4% per year) is above the savings rate (2%).
Earnings vs Market: SRC's earnings (23.4% per year) are forecast to grow faster than the US market (14.6% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: SRC's revenue (9% per year) is forecast to grow faster than the US market (9% per year).
High Growth Revenue: SRC's revenue (9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SRC's Return on Equity is forecast to be low in 3 years time (3.8%).
Past Performance
How has Spirit Realty Capital performed over the past 5 years?
2.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SRC has a large one-off loss of $61.2M impacting its March 31 2021 financial results.
Growing Profit Margin: SRC's current net profit margins (6.1%) are lower than last year (19.9%).
Past Earnings Growth Analysis
Earnings Trend: SRC's earnings have grown by 2.1% per year over the past 5 years.
Accelerating Growth: SRC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: SRC had negative earnings growth (-71.3%) over the past year, making it difficult to compare to the REITs industry average (-10.5%).
Return on Equity
High ROE: SRC's Return on Equity (1.2%) is considered low.
Financial Health
How is Spirit Realty Capital's financial position?
Financial Position Analysis
Short Term Liabilities: SRC's short term assets ($416.4M) exceed its short term liabilities ($126.5M).
Long Term Liabilities: SRC's short term assets ($416.4M) do not cover its long term liabilities ($3.0B).
Debt to Equity History and Analysis
Debt Level: SRC's debt to equity ratio (82.6%) is considered high.
Reducing Debt: SRC's debt to equity ratio has reduced from 117.2% to 82.6% over the past 5 years.
Debt Coverage: SRC's debt is not well covered by operating cash flow (10.7%).
Interest Coverage: SRC's interest payments on its debt are not well covered by EBIT (2x coverage).
Balance Sheet
Dividend
What is Spirit Realty Capital current dividend yield, its reliability and sustainability?
5.45%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SRC's dividend (5.45%) is higher than the bottom 25% of dividend payers in the US market (1.25%).
High Dividend: SRC's dividend (5.45%) is in the top 25% of dividend payers in the US market (3.41%)
Stability and Growth of Payments
Stable Dividend: SRC has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: SRC has only been paying a dividend for 8 years, and since then payments have fallen.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (103.7%), SRC's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SRC's dividends in 3 years are forecast to be covered by earnings (78.3% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.7yrs
Average management tenure
CEO
Jackson Hsieh (59 yo)
4yrs
Tenure
US$8,243,447
Compensation
Mr. Jackson Hsieh has been the President, Chief Executive Officer & Director of Spirit Realty Capital since 2019. Mr. Hsieh has been the President and Chief Executive Officer of Spirit Realty Capital, Inc....
CEO Compensation Analysis
Compensation vs Market: Jackson's total compensation ($USD8.24M) is about average for companies of similar size in the US market ($USD6.51M).
Compensation vs Earnings: Jackson's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: SRC's management team is considered experienced (2.7 years average tenure).
Board Members
Experienced Board: SRC's board of directors are considered experienced (7.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SRC insiders have only sold shares 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 11.7%.
Top Shareholders
Company Information
Spirit Realty Capital, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Spirit Realty Capital, Inc.
- Ticker: SRC
- Exchange: NYSE
- Founded: 2003
- Industry: Retail REITs
- Sector: Real Estate
- Market Cap: US$5.273b
- Shares outstanding: 114.96m
- Website: https://www.spiritrealty.com
Number of Employees
Location
- Spirit Realty Capital, Inc.
- 2727 North Harwood Street
- Suite 300
- Dallas
- Texas
- 75201
- United States
Listings
Biography
Spirit Realty Capital, Inc. (NYSE: SRC) is a premier net-lease REIT that primarily invests in single-tenant, operationally essential real estate assets, subject to long-term leases. As of September 30, 202...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/05/18 03:54 |
| End of Day Share Price | 2021/05/17 00:00 |
| Earnings | 2021/03/31 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.