OTCPK:CDMG.F

Stock Analysis Report

Executive Summary

As an investor and a developer, Icade is an integrated real estate player which designs innovative real estate products and services adapted to new urban lifestyles and habits.

Rewards

Trading at 21.4% below its fair value

Earnings are forecast to grow 6.11% per year

Earnings grew by 46.2% over the past year

Pays a high and reliable dividend of 4.7%

Risk Analysis

Large one-off items impacting financial results



Snowflake Analysis

6 star dividend payer with proven track record.


Similar Companies

CBRE Group

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Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

CDMG.F

2.5%

US REITs

1.7%

US Market


1 Year Return

17.9%

CDMG.F

18.4%

US REITs

23.2%

US Market

Return vs Industry: CDMG.F matched the US REITs industry which returned 17.9% over the past year.

Return vs Market: CDMG.F underperformed the US Market which returned 24.7% over the past year.


Shareholder returns

CDMG.FIndustryMarket
7 Day0%2.5%1.7%
30 Day0%4.4%4.2%
90 Dayn/a-0.2%11.9%
1 Year17.9%17.9%23.3%18.4%25.8%23.2%
3 Year36.3%36.3%35.5%18.4%52.8%42.9%
5 Year17.9%17.9%46.5%16.3%75.2%55.8%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

20.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CDMG.F ($95.5) is trading below our estimate of fair value ($121.51)

Significantly Below Fair Value: CDMG.F is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: CDMG.F is poor value based on its PE Ratio (41.9x) compared to the REITs industry average (37.8x).

PE vs Market: CDMG.F is poor value based on its PE Ratio (41.9x) compared to the US market (18.9x).


Price to Earnings Growth Ratio

PEG Ratio: CDMG.F is poor value based on its PEG Ratio (6.9x)


Price to Book Ratio

PB vs Industry: CDMG.F is overvalued based on its PB Ratio (2.5x) compared to the US REITs industry average (2x).


Next Steps

Future Growth

How is Icade forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

6.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CDMG.F's forecast earnings growth (6.1% per year) is above the savings rate (1.7%).

Earnings vs Market: CDMG.F's earnings (6.1% per year) are forecast to grow slower than the US market (14.3% per year).

High Growth Earnings: CDMG.F's earnings are forecast to grow, but not significantly.

Revenue vs Market: CDMG.F's revenue (4.7% per year) is forecast to grow slower than the US market (7.5% per year).

High Growth Revenue: CDMG.F's revenue (4.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CDMG.F's Return on Equity is forecast to be low in 3 years time (10.4%).


Next Steps

Past Performance

How has Icade performed over the past 5 years?

20.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CDMG.F has a large one-off gain of €143.0M impacting its June 30 2019 financial results.

Growing Profit Margin: CDMG.F's current net profit margins (10.4%) are higher than last year (7.2%).


Past Earnings Growth Analysis

Earnings Trend: CDMG.F's earnings have grown significantly by 20.2% per year over the past 5 years.

Accelerating Growth: CDMG.F's earnings growth over the past year (46.2%) exceeds its 5-year average (20.2% per year).

Earnings vs Industry: CDMG.F earnings growth over the past year (46.2%) exceeded the REITs industry 8.1%.


Return on Equity

High ROE: CDMG.F's Return on Equity (5.8%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Icade'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: CDMG.F has a high level of physical assets or inventory.

Debt Coverage by Assets: CDMG.F's debt is not covered by short term assets (assets are 0.4x debt).


Financial Institutions Analysis

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

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

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

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

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

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


Next Steps

Dividend

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

4.63%

Current Dividend Yield


Dividend Yield vs Market

company4.6%marketbottom25%1.4%markettop25%3.6%industryaverage3.6%forecastin3Years5.1%

Current dividend yield vs market & industry

Notable Dividend: CDMG.F's dividend (4.7%) is higher than the bottom 25% of dividend payers in the US market (1.4%).

High Dividend: CDMG.F's dividend (4.7%) is in the top 25% of dividend payers in the US market (3.66%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (49.1%), CDMG.F's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CDMG.F's dividends in 3 years are forecast to be thoroughly covered by earnings (1.3% payout ratio).


Next Steps

Management

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

4.3yrs

Average management tenure


CEO

Olivier Wigniolle (56yo)

4.8yrs

Tenure

€484,200

Compensation

Mr. Olivier Wigniolle has been the Chief Executive Officer of Icade S.A. at Caisse des dépôts et consignations since April 29, 2015 and Icade EMGP since September 29, 2016. He is a Managing Director of Ica ...


CEO Compensation Analysis

Compensation vs Market: Olivier's total compensation ($USD538.66K) is below average for companies of similar size in the US market ($USD6.46M).

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


Management Age and Tenure

4.3yrs

Average Tenure

53yo

Average Age

Experienced Management: CDMG.F's management team is considered experienced (4.3 years average tenure).


Board Age and Tenure

2.6yrs

Average Tenure

62yo

Average Age

Experienced Board: CDMG.F's board of directors are not considered experienced ( 2.6 years average tenure), which suggests a new board.


Insider Trading

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


Ownership Breakdown

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


Management Team

  • Olivier Wigniolle (56yo)

    MD & CEO

    • Tenure: 4.8yrs
    • Compensation: €484.20k
  • Marianne de Battisti (64yo)

    Head of Innovation

    • Tenure: 2.2yrs
  • Laurent Poinsard (53yo)

    Head of Audit

    • Tenure: 4.3yrs
  • Emmanuelle Baboulin (53yo)

    Head of Tertiary Land Divsion

    • Tenure: 4.3yrs
  • Victoire Aubry (53yo)

    Head of Finance

    • Tenure: 4.3yrs
  • Xavier de La Sudrie

    Head of Financial Control

    • Jean d'Aillières

      Head of Investor Relations

      • Marc le Blanc (42yo)

        Head of Human Resources & CSR

        • Tenure: 2yrs
      • Anne-Sophie Lanaute

        Director of Financial Communication & Investor Relations

        • Tenure: 1.1yrs
      • Sophie Duval

        Head of Consolidation & Accounting


        Board Members

        • Georges Ralli (71yo)

          Independent Director

          • Tenure: 3.7yrs
          • Compensation: €50.80k
        • Marie-Christine Lambert (66yo)

          Independent Director

          • Tenure: 8.3yrs
          • Compensation: €29.80k
        • Frédéric Thomas (63yo)

          Chairman of the Board

          • Tenure: 0.8yrs
          • Compensation: €24.50k
        • Olivier Mareuse (56yo)

          Director

          • Tenure: 8.7yrs
        • Jean-Paul Faugère (63yo)

          Director

          • Tenure: 7.1yrs
        • Jean-Marc Morin (68yo)

          Director

          • Tenure: 1.8yrs
        • Sophie Quatrehomme (43yo)

          Director

          • Tenure: 1.8yrs
        • Florence Peronnau (61yo)

          Vice Chairman of the Board & Lead Independent Director

          • Tenure: 1yrs
          • Compensation: €36.80k
        • Virginie Fernandes (45yo)

          Director

          • Tenure: 3.3yrs
          • Compensation: €105.00k
        • Carole Abbey (43yo)

          Director

          • Tenure: 1.8yrs

        Company Information

        Icade's company bio, employee growth, exchange listings and data sources


        Key Information

        • Name: Icade
        • Ticker: CDMG.F
        • Exchange: OTCPK
        • Founded: 1954
        • Industry: Diversified REITs
        • Sector: Real Estate
        • Market Cap: €7.350b
        • Listing Market Cap: €8.182b
        • Shares outstanding: 73.90m
        • Website: https://www.icade.fr

        Number of Employees


        Location

        • Icade
        • Open Building
        • 27 rue Camille Desmoulins
        • Issy-les-Moulineaux
        • Ile-de-France
        • 92130
        • France

        Listings

        TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
        ICADENXTPA (Euronext Paris)YesOrdinary SharesFREURJan 1990
        0K4OLSE (London Stock Exchange)YesOrdinary SharesGBEURJan 1990
        CDMG.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1990
        3ICDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1990
        ICADPBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJan 1990

        Biography

        As an investor and a developer, Icade is an integrated real estate player which designs innovative real estate products and services adapted to new urban lifestyles and habits. By placing corporate social responsibility and innovation at the core of its strategy, Icade is closely involved with stakeholders and users in the cities—local authorities and communities, companies and employees, institutions and associations… As an office and healthcare property investor (portfolio value of €11.7bn as of 06/30/2019 on a proportionate consolidation basis) and as a property developer (2018 economic revenues of €1,251m), Icade has been able to reinvent the real estate business and foster the emergence of tomorrow’s greener, smarter and more responsible cities. Icade is a significant player in the Greater Paris area and major French cities. Icade is listed on Euronext Paris as a French Listed Real Estate Investment Company (SIIC). Its leading shareholder is the Caisse des dépôts Group. 


        Company Analysis and Financial Data Status

        All financial data provided by Standard & Poor's Capital IQ.
        DataLast Updated (UTC time)
        Company Analysis2020/01/17 01:57
        End of Day Share Price2019/10/29 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.