NYSE:TRNO

Stock Analysis Report

Executive Summary

Terreno Realty Corporation acquires, owns and operates industrial real estate in six major coastal U.S.

Snowflake

Fundamentals

Mediocre balance sheet second-rate dividend payer.


Similar Companies

Share Price & News

How has Terreno Realty's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.9%

TRNO

1.8%

US REITs

-0.6%

US Market


1 Year Return

36.4%

TRNO

12.7%

US REITs

0.6%

US Market

TRNO outperformed the REITs industry which returned 12.8% over the past year.

TRNO outperformed the Market in United States of America which returned 1.1% over the past year.


Share holder returns

TRNOIndustryMarket
7 Day1.9%1.8%-0.6%
30 Day1.1%1.5%2.2%
90 Day6.9%2.9%1.1%
1 Year39.6%36.4%17.8%12.7%2.9%0.6%
3 Year97.0%82.6%26.8%10.4%44.6%35.2%
5 Year207.6%168.3%70.6%35.0%61.9%44.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Terreno Realty undervalued based on future cash flows and its price relative to the stock market?

1%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Terreno Realty's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Terreno Realty's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Terreno Realty is overvalued based on earnings compared to the US REITs industry average.

Terreno Realty is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Terreno Realty is poor value based on expected growth next year.


Price Based on Value of Assets

Terreno Realty is overvalued based on assets compared to the US REITs industry average.


Next Steps

Future Growth

How is Terreno Realty expected to perform in the next 1 to 3 years based on estimates from 10 analysts?

5.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Terreno Realty's revenue is expected to grow by 14.6% yearly, however this is not considered high growth (20% yearly).

Terreno Realty's earnings are expected to grow by 5% yearly, however this is not considered high growth (20% yearly).

Terreno Realty's revenue growth is expected to exceed the United States of America market average.

Terreno Realty's earnings growth is positive but not above the United States of America market average.

Terreno Realty's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Terreno Realty will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Terreno Realty performed over the past 5 years?

49.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Terreno Realty has delivered over 20% year on year earnings growth in the past 5 years.

Terreno Realty's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Terreno Realty's 1-year earnings growth is negative, it can't be compared to the US REITs industry average.


Return on Equity

Terreno Realty has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Terreno Realty used its assets less efficiently than the US REITs industry average last year based on Return on Assets.


Return on Capital Employed

Terreno Realty has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Terreno Realty's financial position?


Financial Position Analysis

Terreno Realty is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Terreno Realty's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Terreno Realty's level of debt (30.8%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (27.7% vs 30.8% today).

Debt is not well covered by operating cash flow (19.4%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 3.9x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.4x debt.


Next Steps

Dividend

What is Terreno Realty's current dividend yield, its reliability and sustainability?

2.15%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase Terreno Realty before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

Terreno Realty's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

Terreno Realty's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).

Whilst dividend payments have been stable, Terreno Realty has been paying a dividend for less than 10 years.

Dividend payments have increased, but Terreno Realty only paid a dividend in the past 9 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.4x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be thoroughly covered by earnings (93.5x coverage).


Next Steps

Management

What is the CEO of Terreno Realty's salary, the management and board of directors tenure and is there insider trading?

6.3yrs

Average management tenure


CEO

W. Baird (58yo)

9.6yrs

Tenure

US$2,118,712

Compensation

Mr. W. Blake Baird has been Chief Executive Officer, Chairman and Co-Founder of Terreno Realty Corporation since February 2010. Prior to co-founding Terreno Realty Corporation, Mr. Baird served as the Pres ...


CEO Compensation Analysis

W.'s remuneration is lower than average for companies of similar size in United States of America.

W.'s compensation has increased by more than 20% in the past year whilst earnings fell less than 20%.


Management Age and Tenure

6.3yrs

Average Tenure

51yo

Average Age

The average tenure for the Terreno Realty management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

9.6yrs

Average Tenure

57yo

Average Age

The tenure for the Terreno Realty board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyUS$210,20012 Feb 19
David Lee
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares5,000
Max PriceUS$42.04

Ownership Breakdown


Management Team

  • W. Baird (58yo)

    Chairman & CEO

    • Tenure: 9.6yrs
    • Compensation: US$2.12m
  • Mike Coke (51yo)

    President & Director

    • Tenure: 9.6yrs
    • Compensation: US$2.12m
  • Jaime Cannon (44yo)

    Executive VP & CFO

    • Tenure: 6.3yrs
    • Compensation: US$952.54k
  • John Meyer (59yo)

    Executive Vice President

    • Tenure: 4.1yrs
    • Compensation: US$952.54k
  • Andy Burke (43yo)

    Executive Vice President

    • Tenure: 4.1yrs
    • Compensation: US$972.54k

Board Members

  • LeRoy Carlson (73yo)

    Independent Director

    • Tenure: 9.6yrs
    • Compensation: US$130.02k
  • Doug Pasquale (64yo)

    Lead Director

    • Tenure: 9.6yrs
    • Compensation: US$130.02k
  • W. Baird (58yo)

    Chairman & CEO

    • Tenure: 9.6yrs
    • Compensation: US$2.12m
  • Mike Coke (51yo)

    President & Director

    • Tenure: 9.6yrs
    • Compensation: US$2.12m
  • Dennis Polk (52yo)

    Independent Director

    • Tenure: 9.6yrs
    • Compensation: US$130.02k
  • Gabby Parcella (50yo)

    Independent Director

    • Tenure: 1.3yrs
    • Compensation: US$118.77k
  • David Lee (57yo)

    Independent Director

    • Tenure: 0.6yrs

Company Information

Terreno Realty Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Terreno Realty Corporation
  • Ticker: TRNO
  • Exchange: NYSE
  • Founded: 2009
  • Industry: Industrial REITs
  • Sector: Real Estate
  • Market Cap: US$3.341b
  • Shares outstanding: 65.17m
  • Website: https://www.terreno.com

Number of Employees


Location

  • Terreno Realty Corporation
  • 101 Montgomery Street
  • Suite 200
  • San Francisco
  • California
  • 94104
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TRNONYSE (New York Stock Exchange)YesCommon StockUSUSDFeb 2010

Biography

Terreno Realty Corporation acquires, owns and operates industrial real estate in six major coastal U.S. markets: Los Angeles, Northern New Jersey/New York City, San Francisco Bay Area, Seattle, Miami, and  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/21 00:13
End of Day Share Price2019/09/20 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.