company background image
STAR

iStar NYSE:STAR Stock Report

Last Price

US$10.63

Market Cap

US$918.1m

7D

-16.0%

1Y

-57.9%

Updated

23 Sep, 2022

Data

Company Financials +
STAR fundamental analysis
Snowflake Score
Valuation4/6
Future Growth2/6
Past Performance0/6
Financial Health5/6
Dividends3/6

STAR Stock Overview

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.

iStar Competitors

Price History & Performance

Summary of all time highs, changes and price drops for iStar
Historical stock prices
Current Share PriceUS$10.63
52 Week HighUS$27.75
52 Week LowUS$10.25
Beta1.09
1 Month Change-31.06%
3 Month Change-24.34%
1 Year Change-57.88%
3 Year Change-18.61%
5 Year Change-9.92%
Change since IPO-90.74%

Recent News & Updates

Aug 18

iStar declares $0.125 dividend

iStar (NYSE:STAR) declares $0.125/share quarterly dividend, in line with previous. Forward yield 3.02% Payable Sept. 15; for shareholders of record Sept. 1; ex-div Aug. 31. See STAR Dividend Scorecard, Yield Chart, & Dividend Growth.

Shareholder Returns

STARUS REITsUS Market
7D-16.0%-6.2%-5.2%
1Y-57.9%-18.6%-23.1%

Return vs Industry: STAR underperformed the US REITs industry which returned -18.4% over the past year.

Return vs Market: STAR underperformed the US Market which returned -21.6% over the past year.

Price Volatility

Is STAR's price volatile compared to industry and market?
STAR volatility
STAR Average Weekly Movement6.1%
REITs Industry Average Movement3.7%
Market Average Movement6.9%
10% most volatile stocks in US Market15.9%
10% least volatile stocks in US Market2.8%

Stable Share Price: STAR is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: STAR's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1993144Jay Sugarmanhttps://www.istar.com

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.

iStar Fundamentals Summary

How do iStar's earnings and revenue compare to its market cap?
STAR fundamental statistics
Market CapUS$918.15m
Earnings (TTM)-US$90.17m
Revenue (TTM)US$372.31m

2.5x

P/S Ratio

-10.2x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
STAR income statement (TTM)
RevenueUS$372.31m
Cost of RevenueUS$219.95m
Gross ProfitUS$152.37m
Other ExpensesUS$242.53m
Earnings-US$90.17m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-1.04
Gross Margin40.92%
Net Profit Margin-24.22%
Debt/Equity Ratio112.4%

How did STAR perform over the long term?

See historical performance and comparison

Dividends

4.7%

Current Dividend Yield

116%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is STAR undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for STAR?

Other financial metrics that can be useful for relative valuation.

STAR key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue3.7x
Enterprise Value/EBITDA15x
PEG Ration/a

Price to Sales Ratio vs Peers

How does STAR's PS Ratio compare to its peers?

STAR PS Ratio vs Peers
The above table shows the PS ratio for STAR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average2.5x
ALEX Alexander & Baldwin
2.9x-1.5%US$1.2b
AHH Armada Hoffler Properties
2.4x1.0%US$1.0b
ESBA Empire State Realty OP
2.9xn/aUS$1.9b
ESRT Empire State Realty Trust
1.7x1.9%US$1.9b
STAR iStar
2.5x-16.6%US$918.1m

Price-To-Sales vs Peers: STAR is good value based on its Price-To-Sales Ratio (2.5x) compared to the peer average (2.5x).


Price to Earnings Ratio vs Industry

How does STAR's PE Ratio compare vs other companies in the US REITs Industry?

Price-To-Sales vs Industry: STAR is good value based on its Price-To-Sales Ratio (2.5x) compared to the US REITs industry average (5x)


Price to Sales Ratio vs Fair Ratio

What is STAR's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

STAR PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio2.5x
Fair PS Ratio1.3x

Price-To-Sales vs Fair Ratio: STAR is expensive based on its Price-To-Sales Ratio (2.5x) compared to the estimated Fair Price-To-Sales Ratio (1.3x).


Share Price vs Fair Value

What is the Fair Price of STAR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: STAR ($10.63) is trading below our estimate of fair value ($84.22)

Significantly Below Fair Value: STAR 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: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


Discover undervalued companies

Future Growth

How is iStar forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-20.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: STAR's earnings are forecast to decline over the next 3 years (-20.5% per year).

Earnings vs Market: STAR is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: STAR is expected to become profitable in the next 3 years.

Revenue vs Market: STAR's revenue is expected to decline over the next 3 years (-16.6% per year).

High Growth Revenue: STAR's revenue is forecast to decline over the next 3 years (-16.6% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if STAR's Return on Equity is forecast to be high in 3 years time


Discover growth companies

Past Performance

How has iStar performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-22.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: STAR is currently unprofitable.

Growing Profit Margin: STAR is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: STAR is unprofitable, and losses have increased over the past 5 years at a rate of 22.5% per year.

Accelerating Growth: Unable to compare STAR's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: STAR is unprofitable, making it difficult to compare its past year earnings growth to the REITs industry (45.8%).


Return on Equity

High ROE: STAR has a negative Return on Equity (-4.08%), as it is currently unprofitable.


Discover strong past performing companies

Financial Health

How is iStar's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: STAR's short term assets ($1.5B) exceed its short term liabilities ($109.2M).

Long Term Liabilities: STAR's short term assets ($1.5B) do not cover its long term liabilities ($1.9B).


Debt to Equity History and Analysis

Debt Level: STAR's net debt to equity ratio (26.5%) is considered satisfactory.

Reducing Debt: STAR's debt to equity ratio has reduced from 289% to 112.4% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable STAR has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: STAR is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 22.1% per year.


Discover healthy companies

Dividend

What is iStar current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


4.70%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: STAR's dividend (4.7%) is higher than the bottom 25% of dividend payers in the US market (1.62%).

High Dividend: STAR's dividend (4.7%) is in 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, STAR has been paying a dividend for less than 10 years.

Growing Dividend: STAR's dividend payments have increased, but the company has only paid a dividend for 4 years.


Earnings Payout to Shareholders

Earnings Coverage: With its high payout ratio (116%), STAR's dividend payments are not well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: At its current cash payout ratio (83%), STAR's dividend payments are covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

4.6yrs

Average management tenure


CEO

Jay Sugarman (59 yo)

25.67yrs

Tenure

US$2,327,438

Compensation

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 ($USD2.33M) is below average for companies of similar size in the US market ($USD4.08M).

Compensation vs Earnings: Jay's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: STAR's management team is considered experienced (4.6 years average tenure).


Board Members

Experienced Board: STAR's board of directors are considered experienced (5.3 years average tenure).


Ownership

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.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 20.5%.


Top Shareholders

Top 25 shareholders own 70.95% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
15.53%
BlackRock, Inc.
13,410,748$142.6m1.12%no data
14.03%
The Vanguard Group, Inc.
12,113,878$128.8m10.34%no data
5.63%
NewEdge Wealth LLC
4,861,044$51.7m-1.08%2.6%
3.43%
Jay Sugarman
2,958,354$31.4m7.6%no data
3.35%
State Street Global Advisors, Inc.
2,895,356$30.8m10.27%no data
2.65%
Jet Capital Investors, LP
2,285,000$24.3m7.28%20.72%
2.55%
Hood River Capital Management LLC
2,204,670$23.4m129.26%0.93%
2.32%
FMR LLC
2,002,210$21.3m-63.83%no data
2.32%
Nut Tree Capital Management, LP
2,000,000$21.3m0%5.96%
1.88%
Aristotle Capital Boston, LLC
1,627,214$17.3m8.9%0.55%
1.75%
Millennium Management LLC
1,513,453$16.1m80.73%0.02%
1.7%
Geode Capital Management, LLC
1,467,438$15.6m5.69%no data
1.65%
Balyasny Asset Management L.P.
1,428,479$15.2m-37.23%0.07%
1.39%
Charles Schwab Investment Management, Inc.
1,203,068$12.8m12.06%no data
1.21%
Citigroup Inc.,Banking and Securities Investments
1,047,230$11.1m-10.88%0.01%
1.2%
Anson Group
1,038,565$11.0m985.23%2.21%
1.12%
UBS Asset Management
969,263$10.3m-8.63%no data
1.07%
Douglas Lane & Associates, LLC
920,058$9.8m1.3%0.18%
1.02%
Private Management Group, Inc.
877,912$9.3m-0.65%0.46%
0.93%
Morgan Stanley, Investment Banking and Brokerage Investments
800,942$8.5m16.99%no data
0.91%
Northern Trust Global Investments
786,519$8.4m-2.36%no data
0.9%
BNY Mellon Asset Management
778,538$8.3m5.72%no data
0.86%
Goldman Sachs Group, Investment Banking and Securities Investments
745,909$7.9m18.91%0.01%
0.79%
B&I Capital AG
685,402$7.3m48.76%1.1%
0.76%
Invesco Capital Management LLC
659,939$7.0m158.74%0.01%

Company Information

iStar Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: iStar Inc.
  • Ticker: STAR
  • Exchange: NYSE
  • Founded: 1993
  • Industry: Diversified REITs
  • Sector: Real Estate
  • Implied Market Cap: US$918.147m
  • Shares outstanding: 86.37m
  • Website: https://www.istar.com

Number of Employees


Location

  • iStar Inc.
  • 1114 Avenue of the Americas
  • 39th Floor
  • New York
  • New York
  • 10036
  • United States


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
STARNYSE (New York Stock Exchange)YesCommon StockUSUSDNov 1989
OLZDB (Deutsche Boerse AG)YesCommon StockDEEURNov 1989
STAR.PRDNYSE (New York Stock Exchange)PFD SER DUSUSDOct 1997
STAR.PRGNYSE (New York Stock Exchange)PFD G 7.65%USUSDDec 2003
STAR.PRINYSE (New York Stock Exchange)PFD SER IUSUSDFeb 2004

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/23 00:00
End of Day Share Price2022/09/23 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.