AMEX:NEN

Stock Analysis Report

New England Realty Associates Limited Partnership

Executive Summary

New England Realty Associates Limited Partnership engages in acquiring, developing, holding for investment, operating, and selling real estate properties in the United States.

Rewards

Earnings grew by 45.4% over the past year

Risk Analysis

Interest payments are not well covered by earnings

Unstable dividend track record



Snowflake Analysis

Solid track record second-rate dividend payer.

Share Price & News

How has New England Realty Associates Limited Partnership's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

1.8%

NEN

1.9%

US Real Estate

0.7%

US Market


1 Year Return

7.6%

NEN

19.1%

US Real Estate

18.2%

US Market

Return vs Industry: NEN underperformed the US Real Estate industry which returned 19.1% over the past year.

Return vs Market: NEN underperformed the US Market which returned 18.2% over the past year.


Shareholder returns

NENIndustryMarket
7 Day1.8%1.9%0.7%
30 Day2.7%4.3%1.5%
90 Day5.0%5.3%5.0%
1 Year9.8%7.6%20.1%19.1%20.8%18.2%
3 Year11.8%3.0%30.0%26.9%45.2%35.8%
5 Year43.4%27.8%20.1%16.2%71.6%52.7%

Price Volatility Vs. Market

How volatile is New England Realty Associates Limited Partnership's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is New England Realty Associates Limited Partnership undervalued compared to its fair value and its price relative to the market?

37.12x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: NEN ($62.61) is trading above our estimate of fair value ($57.61)

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


Price To Earnings Ratio

PE vs Industry: NEN is poor value based on its PE Ratio (37.1x) compared to the Real Estate industry average (25x).

PE vs Market: NEN is poor value based on its PE Ratio (37.1x) compared to the US market (18.5x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: NEN has negative assets, so we can't compare its PB Ratio to the US Real Estate industry average.


Next Steps

Future Growth

How is New England Realty Associates Limited Partnership forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

8.1%

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 New England Realty Associates Limited Partnership 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 New England Realty Associates Limited Partnership performed over the past 5 years?

18.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NEN has high quality earnings.

Growing Profit Margin: NEN's current net profit margins (10.1%) are higher than last year (7.2%).


Past Earnings Growth Analysis

Earnings Trend: NEN's earnings have grown by 18.8% per year over the past 5 years.

Accelerating Growth: NEN's earnings growth over the past year (45.4%) exceeds its 5-year average (18.8% per year).

Earnings vs Industry: NEN earnings growth over the past year (45.4%) exceeded the Real Estate industry -25%.


Return on Equity

High ROE: NEN's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Return on Assets


Return on Capital Employed


Next Steps

  • Explore strong past performing companies in the Real Estate industry.

Financial Health

How is New England Realty Associates Limited Partnership's financial position?


Financial Position Analysis

Short Term Liabilities: NEN has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: NEN has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: NEN has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: NEN's has negative shareholder equity, so we do not need to check if its debt has reduced over time.

Debt Coverage: NEN's debt is not well covered by operating cash flow (8.2%).

Interest Coverage: NEN's interest payments on its debt are not well covered by EBIT (1.5x coverage).


Balance Sheet

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

Debt Coverage by Assets: NEN has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


Next Steps

Dividend

What is New England Realty Associates Limited Partnership's current dividend yield, its reliability and sustainability?

2.04%

Current Dividend Yield


Upcoming Dividend Payment

Purchase New England Realty Associates Limited Partnership before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company2.0%marketbottom25%1.4%markettop25%3.7%industryaverage2.1%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: NEN's dividend (2.04%) is higher than the bottom 25% of dividend payers in the US market (1.43%).

High Dividend: NEN's dividend (2.04%) is low compared to the top 25% of dividend payers in the US market (3.7%).


Stability and Growth of Payments

Stable Dividend: NEN's dividend payments have been volatile in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (74.7%), NEN's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

What is the CEO of New England Realty Associates Limited Partnership's salary, the management and board of directors tenure and is there insider trading?

12.9yrs

Average board tenure


CEO

New England Realty Associates Limited Partnership has no CEO, or we have no data on them.


Board Age and Tenure

12.9yrs

Average Tenure

66.5yo

Average Age

Experienced Board: NEN's board of directors are seasoned and experienced ( 12.9 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$32,50022 Mar 19
Ronald Brown
EntityIndividual
Role
Member of the Board of Directors
President & Director of NewReal Inc
Shares500
Max PriceUS$65.00

Ownership Breakdown

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


Management Team

  • Ronald Brown (83yo)

    President & Director of NewReal Inc

    • Tenure: 35.9yrs
  • Jameson Brown (31yo)

    Treasurer

    • Tenure: 1.1yrs

Board Members

  • Ronald Brown (83yo)

    President & Director of NewReal Inc

    • Tenure: 35.9yrs
  • Guilliaem Aertsen (71yo)

    Director of NewReal Inc

    • Tenure: 17.8yrs
  • Eunice Harps (69yo)

    Director of NewReal Inc

    • Tenure: 5.9yrs
  • Robert Nahigian (63yo)

    Member of Advisory Committee

    • Tenure: 0yrs
  • David Aloise (64yo)

    Director of NewReal Inc

    • Tenure: 12.9yrs
  • Jameson Brown (31yo)

    Treasurer

    • Tenure: 1.1yrs
  • David Ross

    Member of Advisory Committee

    • Tenure: 0yrs

Company Information

New England Realty Associates Limited Partnership's company bio, employee growth, exchange listings and data sources


Key Information


Location

  • New England Realty Associates Limited Partnership
  • 39 Brighton Avenue
  • Allston
  • Massachusetts
  • 2134
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NENAMEX (NYSE MKT LLC)YesDEPOSITRY RCPTUSUSDNov 1987

Biography

New England Realty Associates Limited Partnership engages in acquiring, developing, holding for investment, operating, and selling real estate properties in the United States. It owns and operates various  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/09 23:44
End of Day Share Price2019/12/09 00:00
Earnings2019/09/30
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.