iStar Inc. (NYSE: STAR) is focused on reinventing the ground lease sector, unlocking value for real estate owners throughout the country by providing modern, more efficient ground leases on all types of properties.
+ 2 more risks
Undervalued with questionable track record.
Share Price & News
How has iStar's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: STAR.PRD's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: STAR.PRD exceeded the US REITs industry which returned -9.7% over the past year.
Return vs Market: STAR.PRD underperformed the US Market which returned 9.3% over the past year.
Price Volatility Vs. Market
How volatile is iStar's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Is iStar undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: STAR.PRD ($24.26) is trading below our estimate of fair value ($40.77)
Significantly Below Fair Value: STAR.PRD is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: STAR.PRD is good value based on its PE Ratio (2.6x) compared to the REITs industry average (27.7x).
PE vs Market: STAR.PRD is good value based on its PE Ratio (2.6x) compared to the US market (15.7x).
Price to Earnings Growth Ratio
PEG Ratio: STAR.PRD's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: STAR.PRD is good value based on its PB Ratio (0.9x) compared to the US REITs industry average (1.3x).
How is iStar forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: STAR.PRD's earnings are forecast to decline over the next 3 years (-62.4% per year).
Earnings vs Market: STAR.PRD's earnings are forecast to decline over the next 3 years (-62.4% per year).
High Growth Earnings: STAR.PRD's earnings are forecast to decline over the next 3 years.
Revenue vs Market: STAR.PRD's revenue is expected to decline over the next 3 years (-11.1% per year).
High Growth Revenue: STAR.PRD's revenue is forecast to decline over the next 3 years (-11.1% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if STAR.PRD's Return on Equity is forecast to be high in 3 years time
How has iStar performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: STAR.PRD has a large one-off gain of $208.3M impacting its March 31 2020 financial results.
Growing Profit Margin: STAR.PRD became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: STAR.PRD has become profitable over the past 5 years, growing earnings by 59.8% per year.
Accelerating Growth: STAR.PRD has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: STAR.PRD has become profitable in the last year, making it difficult to compare its past year earnings growth to the REITs industry (5.3%).
Return on Equity
High ROE: Whilst STAR.PRD's Return on Equity (28.31%) is high, this metric is skewed due to their high level of debt.
How is iStar's financial position?
Financial Position Analysis
Short Term Liabilities: STAR.PRD's short term assets ($940.0M) exceed its short term liabilities ($208.2M).
Long Term Liabilities: STAR.PRD's short term assets ($940.0M) do not cover its long term liabilities ($3.9B).
Debt to Equity History and Analysis
Debt Level: STAR.PRD's debt to equity ratio (312.1%) is considered high.
Reducing Debt: STAR.PRD's debt to equity ratio has reduced from 346.6% to 312.1% over the past 5 years.
Debt Coverage: STAR.PRD's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: STAR.PRD's interest payments on its debt are not well covered by EBIT (0.7x coverage).
What is iStar's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: STAR.PRD's dividend (3.92%) is higher than the bottom 25% of dividend payers in the US market (1.69%).
High Dividend: STAR.PRD's dividend (3.92%) is low compared to the top 25% of dividend payers in the US market (4.55%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, STAR.PRD has been paying a dividend for less than 10 years.
Growing Dividend: STAR.PRD's dividend payments have increased, but the company has only paid a dividend for 2 years.
Current Payout to Shareholders
Dividend Coverage: STAR.PRD is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Jay Sugarman (56yo)
Mr. Jay S. Sugarman has been the Executive Chairman of the Board and Chief Executive Officer of iStar Inc. since founded in 1997. Mr. Sugarman serves as Chief Executive Officer of iStar Marlin LLC. He has ...
CEO Compensation Analysis
Compensation vs Market: Jay's total compensation ($USD4.37M) is above average for companies of similar size in the US market ($USD3.20M).
Compensation vs Earnings: Jay's compensation has been consistent with company performance over the past year.
|Executive Chairman & CEO||23.42yrs||US$4.37m||3.38% $29.0m|
|President & Chief Investment Officer||1.92yrs||US$4.90m||0.050% $425.3k|
|Chief Financial Officer||0.25yr||no data||no data|
|Chief Accounting Officer||no data||no data||no data|
|Senior Vice President of Investor Relations & Marketing||no data||no data||no data|
|Senior VP||no data||no data||no data|
|Chief Legal Officer||1.25yrs||no data||no data|
|Senior Vice President of Marketing||2.67yrs||no data||no data|
|Executive Vice President of Net Lease Investments||20.25yrs||US$1.24m||no data|
|Executive VP & Co-Head of Investments||3.17yrs||no data||no data|
Experienced Management: STAR.PRD's management team is considered experienced (2.7 years average tenure).
|Executive Chairman & CEO||23.42yrs||US$4.37m||3.38% $29.0m|
|Independent Director||4.92yrs||US$274.03k||0.075% $640.2k|
|Independent Director||8.83yrs||US$277.78k||0.13% $1.1m|
|Lead Independent Director||13.08yrs||US$345.82k||0.23% $1.9m|
|Independent Director||1.08yrs||US$207.15k||0.036% $312.9k|
|Independent Director||0.33yr||no data||0.022% $189.9k|
Experienced Board: STAR.PRD's board of directors are considered experienced (6.9 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.
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 18.2%.
iStar Inc.'s company bio, employee growth, exchange listings and data sources
- Name: iStar Inc.
- Ticker: STAR.PRD
- Exchange: NYSE
- Founded: 1993
- Industry: Diversified REITs
- Sector: Real Estate
- Market Cap: US$859.033m
- Shares outstanding: 76.49m
- Website: https://www.istar.com
Number of Employees
- iStar Inc.
- 1114 Avenue of the Americas
- 39th Floor
- New York
- New York
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|STAR||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Nov 1989|
|OLZ||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Nov 1989|
|STAR.PRD||NYSE (New York Stock Exchange)||PFD SER D||US||USD||Oct 1997|
|STAR.PRG||NYSE (New York Stock Exchange)||PFD G 7.65%||US||USD||Dec 2003|
|STAR.PRI||NYSE (New York Stock Exchange)||PFD SER I||US||USD||Feb 2004|
iStar Inc. (NYSE: STAR) is focused on reinventing the ground lease sector, unlocking value for real estate owners throughout the country by providing modern, more efficient ground leases on all types of properties. As the founder, investment manager and largest shareholder of Safehold Inc. (NYSE: SAFE), the first publicly traded company to focus on modern ground leases, iStar is helping create a logical new approach to the way real estate is owned, and continues to use its historic strengths in finance and net lease to expand this unique platform. Recognized as a consistent innovator in the real estate markets, iStar specializes in identifying and scaling newly discovered opportunities and has completed more than $40 billion of transactions over the past two decades.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/06/02 03:18|
|End of Day Share Price||2020/06/01 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.