NYSE:TRC

Stock Analysis Report

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Executive Summary

Tejon Ranch Co. operates as a diversified real estate development and agribusiness company.

Rewards

Earnings grew by 90.7% over the past year

Risk Analysis

No risks detected for TRC from our risk checks.


Snowflake Analysis

Solid track record with adequate balance sheet.


Similar Companies

Share Price & News

How has Tejon Ranch's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: TRC has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.2%

TRC

9.0%

US Real Estate

-0.04%

US Market


1 Year Return

-8.9%

TRC

-12.7%

US Real Estate

17.1%

US Market

Return vs Industry: TRC exceeded the US Real Estate industry which returned -16.2% over the past year.

Return vs Market: TRC underperformed the US Market which returned 16.8% over the past year.


Shareholder returns

TRCIndustryMarket
7 Day-0.2%9.0%-0.04%
30 Day13.5%11.8%5.1%
90 Day18.6%38.0%19.5%
1 Year-8.9%-8.9%-12.1%-12.7%19.6%17.1%
3 Year-23.1%-23.1%-7.6%-9.5%42.5%33.3%
5 Year-37.6%-37.6%-18.2%-20.7%75.1%56.2%

Price Volatility Vs. Market

How volatile is Tejon Ranch's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Tejon Ranch undervalued compared to its fair value and its price relative to the market?

45.87x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: TRC ($15.35) is trading above our estimate of fair value ($8.13)

Significantly Below Fair Value: TRC is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: TRC is poor value based on its PE Ratio (45.9x) compared to the US Real Estate industry average (33.9x).

PE vs Market: TRC is poor value based on its PE Ratio (45.9x) compared to the US market (19.2x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate TRC's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: TRC is good value based on its PB Ratio (0.9x) compared to the US Real Estate industry average (1.1x).


Next Steps

Future Growth

How is Tejon Ranch forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

31.8%

Forecasted Real Estate industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Tejon Ranch has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Tejon Ranch performed over the past 5 years?

29.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TRC has high quality earnings.

Growing Profit Margin: TRC's current net profit margins (19.4%) are higher than last year (9.8%).


Past Earnings Growth Analysis

Earnings Trend: TRC's earnings have grown significantly by 29.4% per year over the past 5 years.

Accelerating Growth: TRC's earnings growth over the past year (90.7%) exceeds its 5-year average (29.4% per year).

Earnings vs Industry: TRC earnings growth over the past year (90.7%) exceeded the Real Estate industry -28.5%.


Return on Equity

High ROE: TRC's Return on Equity (2%) is considered low.


Next Steps

Financial Health

How is Tejon Ranch's financial position?


Financial Position Analysis

Short Term Liabilities: TRC's short term assets ($64.4M) exceed its short term liabilities ($12.4M).

Long Term Liabilities: TRC's short term assets ($64.4M) do not cover its long term liabilities ($79.8M).


Debt to Equity History and Analysis

Debt Level: TRC's debt to equity ratio (14.9%) is considered satisfactory.

Reducing Debt: TRC's debt to equity ratio has reduced from 24.4% to 14.9% over the past 5 years.

Debt Coverage: TRC's debt is well covered by operating cash flow (26.3%).

Interest Coverage: Insufficient data to determine if TRC's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is Tejon Ranch current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate TRC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate TRC's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if TRC's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if TRC's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TRC's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

5.1yrs

Average management tenure


CEO

Greg Bielli (59 yo)

6.67yrs

Tenure

US$2,308,986

Compensation

Mr. Gregory S. Bielli, also known as Greg, has been the President and Chief Executive Officer of Tejon Ranch Co. since September 2013 and December 17, 2013 respectively. Mr. Bielli served as Regional Presi ...


CEO Compensation Analysis

Compensation vs Market: Greg 's total compensation ($USD2.31M) is about average for companies of similar size in the US market ($USD2.02M).

Compensation vs Earnings: Greg 's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Gregory Bielli
President6.67yrsUS$2.31m0.74%
$ 3.0m
Robert Velasquez
Senior VP of Finance & CFO1.58yrsUS$592.88k0.057%
$ 231.5k
Allen Lyda
COO & Executive VP1.58yrsUS$1.37m0.53%
$ 2.1m
Michael R. Houston
Senior VP & General Counsel4.25yrsUS$626.38k0.062%
$ 251.3k
Hugh McMahon
Executive Vice President of Real Estate5.67yrsUS$815.57k0.10%
$ 402.9k
Barry Zoeller
Senior Vice President of Corporate Communication & Investor Relations16.58yrsno datano data
Joseph Rentfro
Executive Vice President of Real Estate5.42yrsUS$679.54k0.15%
$ 598.5k
Michael Campeau
Senior Vice President of Ranch Operationsno datano datano data
Fredrick Irwin
Senior Vice President of Agricultureno datano datano data
Tim Li
VP & Controller4.75yrsno datano data

5.1yrs

Average Tenure

53.5yo

Average Age

Experienced Management: TRC's management team is seasoned and experienced (5.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Gregory Bielli
President6.67yrsUS$2.31m0.74%
$ 3.0m
Norman Metcalfe
Independent Chairman of the Board6.58yrsUS$101.77k0.071%
$ 285.8k
Geoffrey Stack
Independent Director22.58yrsUS$91.77k0.12%
$ 465.7k
Michael Winer
Independent Director19.58yrsUS$91.77k0.046%
$ 185.4k
Daniel Tisch
Independent Director8.42yrsUS$76.78k4.36%
$ 17.6m
Steven Betts
Independent Director5.92yrsUS$91.78k0.096%
$ 387.8k
Anthony Leggio
Independent Director8.25yrsUS$91.78k0.13%
$ 521.4k
Jeannie Fuller
Independent Director1.58yrsUS$76.78k0.016%
$ 65.9k

7.9yrs

Average Tenure

66yo

Average Age

Experienced Board: TRC's board of directors are considered experienced (7.9 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Tejon Ranch Co.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tejon Ranch Co.
  • Ticker: TRC
  • Exchange: NYSE
  • Founded: 1843
  • Industry: Diversified Real Estate Activities
  • Sector: Real Estate
  • Market Cap: US$402.620m
  • Shares outstanding: 26.23m
  • Website: https://tejonranch.com

Number of Employees


Location

  • Tejon Ranch Co.
  • 4436 Lebec Road
  • Lebec
  • California
  • 93243
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TRCNYSE (New York Stock Exchange)YesCommon StockUSUSDJul 1973
2TJDB (Deutsche Boerse AG)YesCommon StockDEEURJul 1973

Biography

Tejon Ranch Co. operates as a diversified real estate development and agribusiness company. It operates through five segments: Commercial/Industrial Real Estate Development, Resort/Residential Real Estate ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/12 00:18
End of Day Share Price2020/08/11 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.