NYSE:WPC

Stock Analysis Report

Executive Summary

W. P. Carey ranks among the largest net lease REITs with an enterprise value of approximately $20 billion and a diversified portfolio of operationally-critical commercial real estate that includes 1,198 net lease properties covering approximately 137 million square feet.

Snowflake

Fundamentals

6 star dividend payer with proven track record.


Similar Companies

Share Price & News

How has W. P. Carey's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.9%

WPC

1.2%

US REITs

1.0%

US Market


1 Year Return

43.9%

WPC

22.9%

US REITs

8.0%

US Market

Return vs Industry: WPC exceeded the US REITs industry which returned 22.9% over the past year.

Return vs Market: WPC exceeded the US Market which returned 8% over the past year.


Shareholder returns

WPCIndustryMarket
7 Day2.9%1.2%1.0%
30 Day3.3%2.6%-0.07%
90 Day9.6%7.9%-1.0%
1 Year51.8%43.9%28.1%22.9%10.4%8.0%
3 Year77.2%48.2%37.1%19.9%46.2%36.7%
5 Year91.6%42.0%65.8%30.7%64.3%46.2%

Price Volatility Vs. Market

How volatile is W. P. Carey's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is W. P. Carey undervalued compared to its fair value and its price relative to the market?

24.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: WPC ($93.1) is trading below our estimate of fair value ($122.92)

Significantly Below Fair Value: WPC is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: WPC is good value based on its PE Ratio (34.1x) compared to the REITs industry average (37.2x).

PE vs Market: WPC is poor value based on its PE Ratio (34.1x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

PEG Ratio: WPC is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: WPC is overvalued based on its PB Ratio (2.3x) compared to the US REITs industry average (2.1x).


Next Steps

Future Growth

How is W. P. Carey forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

37.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WPC's forecast earnings growth (37.8% per year) is above the savings rate (2.7%).

Earnings vs Market: WPC's earnings (37.8% per year) are forecast to grow faster than the US market (14.5% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: WPC's revenue (8.4% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: WPC's revenue (8.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: WPC's Return on Equity is forecast to be low in 3 years time (13.1%).


Next Steps

Past Performance

How has W. P. Carey performed over the past 5 years?

20.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: WPC's earnings have grown significantly by 20.6% per year over the past 5 years.

Accelerating Growth: WPC's earnings growth over the past year (36.9%) exceeds its 5-year average (20.6% per year).

Earnings vs Industry: WPC earnings growth over the past year (36.9%) exceeded the REITs industry 16.9%.


Return on Equity

High ROE: WPC's Return on Equity (5.9%) is considered low.


Return on Assets

ROA vs Industry: WPC has a higher Return on Assets than the REITs industry average last year.


Return on Capital Employed

ROCE Improving: WPC's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is W. P. Carey's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: WPC has a high level of physical assets or inventory.

Debt Coverage by Assets: WPC's debt is not covered by short term assets (assets are 0.3x debt).


Financial Institutions Analysis

Asset Level: WPC's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if WPC has a sufficient allowance for bad loans.

Low Risk Liabilities: WPC reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if WPC has an acceptable proportion of non-loan assets held.

Low Risk Deposits: WPC has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if WPC has an appropriate level of bad loans.


Next Steps

Dividend

What is W. P. Carey's current dividend yield, its reliability and sustainability?

4.45%

Current Dividend Yield


Dividend Yield vs Market

company4.5%marketbottom25%1.4%markettop25%3.7%industryaverage3.6%forecastin3Years4.5%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: WPC's dividend (4.45%) is higher than the bottom 25% of dividend payers in the US market (1.44%).

High Dividend: WPC's dividend (4.45%) is in the top 25% of dividend payers in the US market (3.68%)

Stable Dividend: WPC's dividends per share have been stable in the past 10 years.

Growing Dividend: WPC's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (87.9%), WPC's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: WPC's dividends in 3 years are forecast to be thoroughly covered by earnings (0.5% payout ratio).


Next Steps

Management

What is the CEO of W. P. Carey's salary, the management and board of directors tenure and is there insider trading?

2.9yrs

Average management tenure


CEO

Jason Fox (46yo)

1.8yrs

Tenure

US$4,651,442

Compensation

Mr. Jason E. Fox has been Chief Executive Officer, President and Director of Corporate Property Associates 18 - Global Incorporated since January 1, 2018. Mr. Fox serves as the Chief Executive Officer of W ...


CEO Compensation Analysis

Compensation vs. Market: Jason has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the US market.

Compensation vs Earnings: Jason's compensation has increased by more than 20% in the past year.


Management Age and Tenure

2.9yrs

Average Tenure

46yo

Average Age

Experienced Management: WPC's management team is considered experienced (2.9 years average tenure).


Board Age and Tenure

3.2yrs

Average Tenure

64yo

Average Age

Experienced Board: WPC's board of directors are considered experienced (3.2 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$254,41113 Nov 18
Christopher Niehaus
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman of the Board
Shares3,850
Max PriceUS$66.08
BuyUS$148,87906 Nov 18
Jean Hoysradt
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,300
Max PriceUS$64.73

Ownership Breakdown


Management Team

  • John Miller (74yo)

    Chief Investment Officer & MD

    • Tenure: 15.8yrs
    • Compensation: US$1.03m
  • Susan Hyde (50yo)

    MD, Chief Administrative Officer

    • Tenure: 0yrs
  • Edward LaPuma (45yo)

    MD & Head of International Investments

    • Tenure: 17.6yrs
    • Compensation: US$1.98m
  • John Park (55yo)

    President

    • Tenure: 1.8yrs
    • Compensation: US$3.16m
  • Gino Sabatini (50yo)

    MD & Head of Investments

    • Tenure: 2.8yrs
    • Compensation: US$2.79m
  • Jason Fox (46yo)

    CEO & Director

    • Tenure: 1.8yrs
    • Compensation: US$4.65m
  • Brooks Gordon (35yo)

    MD & Head of Asset Management

    • Tenure: 2.6yrs
    • Compensation: US$1.49m
  • Toni Sanzone (42yo)

    MD & CFO

    • Tenure: 3yrs
    • Compensation: US$1.76m
  • Arjun Mahalingam (35yo)

    Chief Accounting Officer

    • Tenure: 3yrs
  • Peter Sands

    Director of Institutional Investor Relations

    • Tenure: 0yrs

Board Members

  • Mark Alexander (60yo)

    Independent Director

    • Tenure: 3.1yrs
    • Compensation: US$214.97k
  • Ben Griswold (78yo)

    Independent Director

    • Tenure: 13.8yrs
    • Compensation: US$269.97k
  • Chris Niehaus (60yo)

    Non-Executive Chairman of the Board

    • Tenure: 0.8yrs
    • Compensation: US$242.47k
  • Axel Hansing (76yo)

    Independent Director

    • Tenure: 8.3yrs
    • Compensation: US$194.97k
  • Bob Flanagan (63yo)

    Independent Director

    • Tenure: 1.6yrs
  • Margaret Lewis (65yo)

    Independent Director

    • Tenure: 2.1yrs
    • Compensation: US$194.97k
  • Peter Farrell (58yo)

    Independent Director

    • Tenure: 3.3yrs
    • Compensation: US$209.97k
  • Nick van Ommen (73yo)

    Independent Director

    • Tenure: 8.3yrs
    • Compensation: US$194.97k
  • Jason Fox (46yo)

    CEO & Director

    • Tenure: 1.8yrs
    • Compensation: US$4.65m
  • Jean Hoysradt (68yo)

    Independent Director

    • Tenure: 5.6yrs
    • Compensation: US$194.97k

Company Information

W. P. Carey Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: W. P. Carey Inc.
  • Ticker: WPC
  • Exchange: NYSE
  • Founded: 1973
  • Industry: Diversified REITs
  • Sector: Real Estate
  • Market Cap: US$15.900b
  • Shares outstanding: 170.79m
  • Website: https://www.wpcarey.com

Number of Employees


Location

  • W. P. Carey Inc.
  • 50 Rockefeller Plaza
  • New York
  • New York
  • 10020
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WPCNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1998
WPYDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1998
0LS8LSE (London Stock Exchange)YesCommon StockGBUSDJan 1998

Biography

W. P. Carey ranks among the largest net lease REITs with an enterprise value of approximately $20 billion and a diversified portfolio of operationally-critical commercial real estate that includes 1,198 ne ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 23:44
End of Day Share Price2019/10/21 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.