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Tejon Ranch

NYSE:TRC
Snowflake Description

Moderate growth potential with mediocre balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
TRC
NYSE
$456M
Market Cap
  1. Home
  2. US
  3. Real Estate
Company description

Tejon Ranch Co. operates as a diversified real estate development and agribusiness company. The last earnings update was 74 days ago. More info.


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TRC Share Price and Events
7 Day Returns
-1.2%
NYSE:TRC
-0.4%
US Real Estate
-1.2%
US Market
1 Year Returns
-27.5%
NYSE:TRC
-14.6%
US Real Estate
3.4%
US Market
TRC Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Tejon Ranch (TRC) -1.2% 4.7% 2% -27.5% -34% -37.9%
US Real Estate -0.4% 3.7% -2.8% -14.6% 22.2% 1.8%
US Market -1.2% 1.2% 1.7% 3.4% 35.5% 41.6%
1 Year Return vs Industry and Market
  • TRC underperformed the Real Estate industry which returned -14.6% over the past year.
  • TRC underperformed the Market in United States of America which returned 3.4% over the past year.
Price Volatility
TRC
Industry
5yr Volatility vs Market

TRC Value

 Is Tejon Ranch 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 Tejon Ranch 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 Tejon Ranch.

NYSE:TRC Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 9.4%
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:TRC
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Real Estate Unlevered Beta Simply Wall St/ S&P Global 1.05
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.052 (1 + (1- 21%) (14.34%))
1.114
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.11
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.114 * 5.96%)
9.37%

Discounted Cash Flow Calculation for NYSE:TRC using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Tejon Ranch 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.

NYSE:TRC DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 9.37%)
2020 1.99 Est @ -1.03% 1.82
2021 2.00 Est @ 0.1% 1.67
2022 2.01 Est @ 0.89% 1.54
2023 2.04 Est @ 1.44% 1.43
2024 2.08 Est @ 1.83% 1.33
2025 2.12 Est @ 2.1% 1.24
2026 2.17 Est @ 2.29% 1.16
2027 2.23 Est @ 2.42% 1.09
2028 2.28 Est @ 2.51% 1.02
2029 2.34 Est @ 2.58% 0.96
Present value of next 10 years cash flows $13.25
NYSE:TRC DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $2.34 × (1 + 2.73%) ÷ (9.37% – 2.73%)
$36.19
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $36.19 ÷ (1 + 9.37%)10
$14.77
NYSE:TRC Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $13.25 + $14.77
$28.02
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $28.02 / 25.95
$1.08
NYSE:TRC Discount to Share Price
Calculation Result
Value per share (USD) From above. $1.08
Current discount Discount to share price of $17.59
= -1 x ($17.59 - $1.08) / $1.08
-1528.8%

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

  • The current share price of Tejon Ranch is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
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 Tejon Ranch's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Tejon Ranch's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:TRC PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $0.11
NYSE:TRC Share Price ** NYSE (2019-07-19) in USD $17.59
United States of America Real Estate Industry PE Ratio Median Figure of 27 Publicly-Listed Real Estate Companies 16.96x
United States of America Market PE Ratio Median Figure of 3,080 Publicly-Listed Companies 17.88x

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

** Primary Listing of Tejon Ranch.

NYSE:TRC PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

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

= 17.59 ÷ 0.11

156.59x

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

  • Tejon Ranch is overvalued based on earnings compared to the US Real Estate industry average.
  • Tejon Ranch is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Tejon Ranch's expected growth come at a high price?
Raw Data
NYSE:TRC PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 156.59x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
41.3%per year
United States of America Real Estate Industry PEG Ratio Median Figure of 12 Publicly-Listed Real Estate Companies 0.86x
United States of America Market PEG Ratio Median Figure of 2,119 Publicly-Listed Companies 1.57x

*Line of best fit is calculated by linear regression .

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

  • Unable to calculate PEG ratio for Tejon Ranch, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Tejon Ranch's assets?
Raw Data
NYSE:TRC PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $16.11
NYSE:TRC Share Price * NYSE (2019-07-19) in USD $17.59
United States of America Real Estate Industry PB Ratio Median Figure of 51 Publicly-Listed Real Estate Companies 1.35x
United States of America Market PB Ratio Median Figure of 5,245 Publicly-Listed Companies 1.79x
NYSE:TRC PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

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

= 17.59 ÷ 16.11

1.09x

* Primary Listing of Tejon Ranch.

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

  • Tejon Ranch is good value based on assets compared to the US Real Estate industry average.
X
Value checks
We assess Tejon Ranch'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 Real Estate 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 Real Estate industry average (and greater than 0)? (1 check)
  5. Tejon Ranch has a total score of 1/6, 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.

TRC Future Performance

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

  • No analysts cover Tejon Ranch, future earnings growth has been estimated based on fundamentals.
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
41.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Tejon Ranch expected to grow at an attractive rate?
  • Tejon Ranch's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Tejon Ranch's earnings growth is expected to exceed the United States of America market average.
  • Unable to compare Tejon Ranch's revenue growth to the United States of America market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
NYSE:TRC Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:TRC Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts 41.3%
United States of America Real Estate Industry Earnings Growth Rate Market Cap Weighted Average 10.8%
United States of America Real Estate Industry Revenue Growth Rate Market Cap Weighted Average 6.3%
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 7.4%

*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:TRC Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:TRC Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 43 6 3
2018-12-31 46 14 4
2018-09-30 46 11 4
2018-06-30 43 16 1
2018-03-31 43 17 2
2017-12-31 35 10 -2
2017-09-30 36 12 -2
2017-06-30 37 8 -2
2017-03-31 38 6 -3
2016-12-31 46 6 1
2016-09-30 48 17 3
2016-06-30 47 12 1

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Tejon Ranch's earnings are expected to grow significantly at over 20% yearly.
  • Unable to determine if Tejon Ranch is high growth as no revenue estimate data is available.
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:TRC Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from Tejon Ranch Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:TRC Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 0.11
2018-12-31 0.16
2018-09-30 0.18
2018-06-30 0.04
2018-03-31 0.07
2017-12-31 -0.08
2017-09-30 -0.11
2017-06-30 -0.10
2017-03-31 -0.12
2016-12-31 0.04
2016-09-30 0.12
2016-06-30 0.07

*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.
  • Unable to establish if Tejon Ranch will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Tejon Ranch'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.
Tejon Ranch has a total score of 3/6, 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.

TRC Past Performance

  How has Tejon Ranch 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 Tejon Ranch's growth in the last year to its industry (Real Estate).
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.
  • Tejon Ranch's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • Tejon Ranch's 1-year earnings growth exceeds its 5-year average (86.7% vs -24.1%)
  • Tejon Ranch's earnings growth has exceeded the US Real Estate industry average in the past year (86.7% vs -25.4%).
Earnings and Revenue History
Tejon Ranch'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 Tejon Ranch Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:TRC 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 42.81 2.92 9.45
2018-12-31 45.62 4.26 9.71
2018-09-30 46.06 4.49 9.72
2018-06-30 42.53 0.98 9.90
2018-03-31 43.02 1.56 9.69
2017-12-31 35.26 -1.80 9.71
2017-09-30 36.27 -2.39 11.00
2017-06-30 37.44 -2.04 11.82
2017-03-31 38.33 -2.55 12.30
2016-12-31 45.98 0.80 11.81
2016-09-30 48.45 2.56 11.69
2016-06-30 47.32 1.45 11.52
2016-03-31 47.47 2.54 11.20
2015-12-31 51.15 2.95 12.27
2015-09-30 50.14 3.15 11.57
2015-06-30 51.85 5.69 11.58
2015-03-31 53.17 6.16 11.00
2014-12-31 51.07 5.66 10.65
2014-09-30 49.49 2.91 13.24
2014-06-30 50.96 3.45 12.69
2014-03-31 50.11 4.66 11.08
2013-12-31 45.00 4.17 11.83
2013-09-30 45.91 5.02 10.71
2013-06-30 46.90 6.75 10.91
2013-03-31 47.27 4.78 13.97
2012-12-31 47.09 4.44 12.56
2012-09-30 53.36 9.65 13.46

*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.
  • Tejon Ranch has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Tejon Ranch used its assets less efficiently than the US Real Estate industry average last year based on Return on Assets.
  • It is difficult to establish if Tejon Ranch improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Tejon Ranch'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 Real Estate 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.
Tejon Ranch has a total score of 2/6, 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.

TRC Health

 How is Tejon Ranch'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 Tejon Ranch's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Tejon Ranch is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Tejon Ranch's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Tejon Ranch'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 covered by short term assets, assets are 1.3x 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 Tejon Ranch Company Filings, last reported 3 months ago.

NYSE:TRC Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 434.69 65.44 68.17
2018-12-31 434.67 65.80 79.66
2018-09-30 434.49 66.82 79.56
2018-06-30 429.60 67.80 80.56
2018-03-31 429.21 68.41 90.59
2017-12-31 426.81 70.71 90.98
2017-09-30 336.10 89.47 24.15
2017-06-30 335.01 93.56 23.23
2017-03-31 333.17 90.26 27.71
2016-12-31 334.47 83.27 27.93
2016-09-30 333.63 90.49 31.04
2016-06-30 331.74 91.13 33.52
2016-03-31 331.86 81.16 34.03
2015-12-31 331.31 76.94 34.75
2015-09-30 328.04 87.04 37.22
2015-06-30 329.02 80.13 39.40
2015-03-31 325.21 81.68 45.61
2014-12-31 324.33 83.34 47.78
2014-09-30 325.77 84.72 50.87
2014-06-30 323.39 14.78 54.74
2014-03-31 321.58 4.64 57.10
2013-12-31 320.19 4.69 64.47
2013-09-30 313.00 4.75 73.57
2013-06-30 309.63 0.23 75.39
2013-03-31 308.99 0.24 70.19
2012-12-31 308.26 0.25 72.27
2012-09-30 307.39 0.26 75.04
  • Tejon Ranch's level of debt (15.1%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (1.5% vs 15.1% today).
  • Debt is not well covered by operating cash flow (9.4%, less than 20% of total debt).
  • Unable to confirm if the interest payments on Tejon Ranch's debt are well covered by earnings due to lack of past financial data.
X
Financial health checks
We assess Tejon Ranch'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. Tejon Ranch has a total score of 3/6, 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.

TRC Dividends

 What is Tejon Ranch'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
0%
Current annual income from Tejon Ranch dividends.
If you bought $2,000 of Tejon Ranch shares you are expected to receive $0 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?
  • Unable to evaluate Tejon Ranch's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Tejon Ranch's dividend against the top 25% market benchmark as the company has not reported any payouts.
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:TRC 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 0 Analyst Estimates (S&P Global) See Below
United States of America Real Estate Industry Average Dividend Yield Market Cap Weighted Average of 16 Stocks 2.7%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2016 Stocks 2.4%
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 3.8%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

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

  • Unable to perform a dividend volatility check as Tejon Ranch has not reported any payouts.
  • Unable to verify if Tejon Ranch's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Tejon Ranch's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Tejon Ranch has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Tejon Ranch'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 Tejon Ranch afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Tejon Ranch has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

TRC Management

 What is the CEO of Tejon Ranch'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
Greg Bielli
COMPENSATION $2,252,946
AGE 58
TENURE AS CEO 5.6 years
CEO Bio

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 President of Western Region at American Newland Communities LLC and American Newland Communities LP. Mr. Bielli served as Regional President of West Region at Newland Real Estate Group, LLC. He served as the Chief Operating Officer of Tejon Ranch Co. from September 2013 to November 2013. Prior to joining Newland in June 2006, Mr. Bielli served as an Executive Vice President of Development at Medallist Developments Pty. Ltd. since May 2005. He was President of MCO Properties in Fountain Hills, Arizona where he led all aspects of its real estate projects and associated businesses, including development, golf and realty. He spent 17 years with MCO/Maxxam properties. He served as the Vice Mayor and Councilman for the City of Scottsdale from 1990 to 1998. He has been a Director of Tejon Ranch Co. since 2013. He is a graduate of the University of Arizona, Tucson and a Member of the Urban Land Institute (ULI) Community Development Council and the Executive Committee of the Arizona District Council of ULI.

CEO Compensation
  • Greg 's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Greg 's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Tejon Ranch management team in years:

4
Average Tenure
52.5
Average Age
  • The tenure for the Tejon Ranch management team is about average.
Management Team

Greg Bielli

TITLE
President
COMPENSATION
$2M
AGE
58
TENURE
5.6 yrs

Allen Lyda

TITLE
Executive VP
COMPENSATION
$999K
AGE
61
TENURE
0.5 yrs

Michael R. Houston

TITLE
Senior VP & General Counsel
COMPENSATION
$638K
AGE
44
TENURE
3.2 yrs

Hugh McMahon

TITLE
Executive Vice President of Real Estate
COMPENSATION
$733K
AGE
52
TENURE
4.6 yrs

Joe Rentfro

TITLE
Executive Vice President of Real Estate
COMPENSATION
$680K
AGE
50
TENURE
4.3 yrs

Robert Velasquez

TITLE
Senior VP of Finance & CFO
AGE
53
TENURE
0.5 yrs

Barry Zoeller

TITLE
Senior Vice President of Corporate Communication & Investor Relations
TENURE
15.5 yrs

Michael Campeau

TITLE
Senior Vice President of Ranch Operations

Trey Irwin

TITLE
Senior Vice President of Agriculture

Tim Li

TITLE
VP & Controller
TENURE
3.7 yrs
Board of Directors Tenure

Average tenure and age of the Tejon Ranch board of directors in years:

6.8
Average Tenure
65
Average Age
  • The tenure for the Tejon Ranch board of directors is about average.
Board of Directors

Norman Metcalfe

TITLE
Chairman of the Board
COMPENSATION
$106K
AGE
76
TENURE
5.5 yrs

Greg Bielli

TITLE
President
COMPENSATION
$2M
AGE
58
TENURE
6.5 yrs

Geoffrey Stack

TITLE
Independent Director
COMPENSATION
$96K
AGE
75
TENURE
21.5 yrs

Mike Winer

TITLE
Independent Director
COMPENSATION
$96K
AGE
63
TENURE
18.5 yrs

Anthony Leggio

TITLE
Independent Director
COMPENSATION
$96K
AGE
67
TENURE
7.2 yrs

Steve Betts

TITLE
Independent Director
COMPENSATION
$96K
AGE
61
TENURE
4.8 yrs

Dan Tisch

TITLE
Independent Director
COMPENSATION
$81K
AGE
68
TENURE
7.3 yrs

Jean Fuller

TITLE
Director
AGE
61
TENURE
0.5 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Tejon Ranch individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
01. Jul 19 Buy Daniel Tisch Individual 28. Jun 19 28. Jun 19 70,097 $16.50 $1,156,601
27. Jun 19 Buy Daniel Tisch Individual 26. Jun 19 26. Jun 19 39,453 $16.36 $645,451
06. Jun 19 Buy Towerview LLC Company 06. Jun 19 06. Jun 19 2,426 $16.05 $38,937
04. Jun 19 Buy Towerview LLC Company 03. Jun 19 03. Jun 19 4,900 $16.10 $78,890
03. Jun 19 Buy Towerview LLC Company 31. May 19 31. May 19 6,508 $16.16 $105,169
30. May 19 Buy Towerview LLC Company 29. May 19 29. May 19 1,000 $16.20 $16,200
24. May 19 Buy Towerview LLC Company 23. May 19 23. May 19 4,933 $16.20 $79,915
X
Management checks
We assess Tejon Ranch'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. Tejon Ranch 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.

TRC News

Simply Wall St News

Here's Why Tejon Ranch (NYSE:TRC) Might Be Better Off Without Debt

You can click the graphic below for the historical numbers, but it shows that Tejon Ranch had US$65.4m of debt in March 2019, down from US$68.4m, one year before But on the other hand it also has US$68.2m in cash, leading to a US$2.74m net cash position. … NYSE:TRC Historical Debt, July 1st 2019 How Healthy Is Tejon Ranch's Balance Sheet? … Tejon Ranch boasts net cash, so it's fair to say it does not have a heavy debt load!

Simply Wall St -

Should You Be Worried About Tejon Ranch Co.'s (NYSE:TRC) 0.7% Return On Equity?

The formula for return on equity is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Tejon Ranch: 0.7% = US$2.9m ÷ US$435m (Based on the trailing twelve months to March 2019.) Most know that net profit is the total earnings after all expenses, but the concept of shareholders' equity is a little more complicated. … Does Tejon Ranch Have A Good Return On Equity? … Combining Tejon Ranch's Debt And Its 0.7% Return On Equity Tejon Ranch has a debt to equity ratio of 0.15, which is far from excessive.

Simply Wall St -

If You Had Bought Tejon Ranch (NYSE:TRC) Stock Five Years Ago, You'd Be Sitting On A 45% Loss, Today

So we wouldn't blame long term Tejon Ranch Co. … One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price. … Most would consider that to be a good thing, so it's counter-intuitive to see the share price declining.

Simply Wall St -

How Much is Tejon Ranch Co.'s (NYSE:TRC) CEO Getting Paid?

First, this article will compare CEO compensation with compensation at similar sized companies. … How Does Greg Bielli's Compensation Compare With Similar Sized Companies. … has a market capitalization of US$466m, and pays its CEO total annual compensation worth US$3.3m.

Simply Wall St -

A Closer Look At Tejon Ranch Co.'s (NYSE:TRC) Uninspiring ROE

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … One way to conceptualize this, is that for each $1 of shareholders' equity it has, the company made $0.010 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

What You Must Know About Tejon Ranch Co.'s (NYSE:TRC) Financial Strength

While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health. … Assessing first and foremost the financial health is. … Here are a few basic checks that are good enough to have a broad overview of the company’s financial strength.

Simply Wall St -

What Percentage Of Tejon Ranch Co (NYSE:TRC) Shares Do Insiders Own?

Every investor in Tejon Ranch Co (NYSE:TRC) should be aware of the most powerful shareholder groups. … With a market capitalization of US$466m, Tejon Ranch is a small cap stock, so it might not be well known by many institutional investors. … Check out our latest analysis for Tejon Ranch

Simply Wall St -

Is Tejon Ranch Co's (NYSE:TRC) 1.0% Worse Than Average?

This article is for those who would like to learn about Return On Equity (ROE). … One way to conceptualize this, is that for each $1 of shareholders' equity it has, the company made $0.010 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Should You Worry About Tejon Ranch Co's (NYSE:TRC) CEO Pay?

This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. … How Does Greg Bielli's Compensation Compare With Similar Sized Companies. … As you can see, Greg Bielli is paid more than the median CEO pay at companies of a similar size, in the same market

Simply Wall St -

Is Tejon Ranch Co's (NYSE:TRC) Balance Sheet A Threat To Its Future?

While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health. … Assessing first and foremost the financial health is. … Here are few basic financial health checks you should consider before taking the plunge.

Simply Wall St -

TRC Company Info

Description

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 Development, Mineral Resources, Farming, and Ranch Operations. The Commercial/Industrial Real Estate Development segment engages in the entitling, planning, and permitting of land for development; construction of infrastructure; construction of pre-leased buildings, and buildings to be leased or sold; and sale of land to third parties for their own development. It is also involved in the activities related to communications leases, and landscape maintenance. This segment leases land to 2 auto service stations with convenience stores, 13 fast-food operations, 2 full-service restaurants, a motel, an antique shop, and a post office; various microwave repeater locations, radio and cellular transmitter sites, and fiber optic cable routes; and 32 acres of land for an electric power plant. The Resort/Residential Real Estate Development segment engages in the land entitlement, land planning and pre-construction engineering, land stewardship, and conservation activities. The Mineral Resources segment includes oil and gas royalties, rock and aggregate royalties, and royalties from a cement operation leased to National Cement Company of California, Inc.; and the management of water assets and water infrastructure. The Farming segment farms permanent crops, including wine grapes in 1,197 acres, almonds in 1,966 acres, and pistachios in 1,062 acres. It also manages the farming of alfalfa and forage mix on 775 acres in the Antelope Valley; and leases 1,000 acres of land for growing vegetables, as well as permanent crops. The Ranch Operations segment offers game management and ancillary land services comprising grazing leases and filming, as well as various guided hunts. The company was founded in 1843 and is headquartered in Lebec, California.

Details
Name: Tejon Ranch Co.
TRC
Exchange: NYSE
Founded: 1843
$456,456,964
25,949,799
Website: http://tejonranch.com
Address: Tejon Ranch Co.
4436 Lebec Road,
Lebec,
California, 93243,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE TRC Common Stock New York Stock Exchange US USD 05. Jul 1973
DB 2TJ Common Stock Deutsche Boerse AG DE EUR 05. Jul 1973
BST 2TJ Common Stock Boerse-Stuttgart DE EUR 05. Jul 1973
Number of employees
Current staff
Staff numbers
122
Tejon Ranch employees.
Industry
Diversified Real Estate Activities
Real Estate
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/20 23:46
End of day share price update: 2019/07/19 00:00
Last earnings filing: 2019/05/07
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.