OTCPK:KLPE.F

Stock Analysis Report

Executive Summary

Klépierre, the European leader in shopping malls, combines development, property and asset management skills.

Rewards

Trading at 45.6% below its fair value

Earnings are forecast to grow 10.44% per year

Pays a high and reliable dividend of 6.4%

Risk Analysis

Large one-off items impacting financial results

Profit margins (28.8%) are lower than last year (81.9%)



Snowflake Analysis

6 star dividend payer and good value.


Similar Companies

Macerich

NYSE:MAC

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

KLPE.F

-1.3%

US REITs

0.8%

US Market


1 Year Return

28.7%

KLPE.F

13.0%

US REITs

17.8%

US Market

Return vs Industry: KLPE.F exceeded the US REITs industry which returned 13% over the past year.

Return vs Market: KLPE.F exceeded the US Market which returned 17.8% over the past year.


Shareholder returns

KLPE.FIndustryMarket
7 Day0%-1.3%0.8%
30 Day12.1%0.1%1.8%
90 Dayn/a-0.9%4.1%
1 Year28.7%28.7%17.7%13.0%20.4%17.8%
3 Year8.4%8.4%35.2%18.2%45.9%36.4%
5 Year-4.8%-4.8%52.5%20.9%68.1%49.6%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

45.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: KLPE.F ($41.07) is trading below our estimate of fair value ($75.46)

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


Price To Earnings Ratio

PE vs Industry: KLPE.F is good value based on its PE Ratio (25.1x) compared to the REITs industry average (37.8x).

PE vs Market: KLPE.F is poor value based on its PE Ratio (25.1x) compared to the US market (18.4x).


Price to Earnings Growth Ratio

PEG Ratio: KLPE.F is poor value based on its PEG Ratio (2.4x)


Price to Book Ratio

PB vs Industry: KLPE.F is good value based on its PB Ratio (1x) compared to the US REITs industry average (2x).


Next Steps

Future Growth

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

10.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KLPE.F's forecast earnings growth (10.4% per year) is above the savings rate (1.7%).

Earnings vs Market: KLPE.F's earnings (10.4% per year) are forecast to grow slower than the US market (14.2% per year).

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

Revenue vs Market: KLPE.F's revenue is expected to decline over the next 3 years (-1% per year).

High Growth Revenue: KLPE.F's revenue is forecast to decline over the next 3 years (-1% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KLPE.F's Return on Equity is forecast to be low in 3 years time (8.1%).


Next Steps

Past Performance

How has Klépierre performed over the past 5 years?

16.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KLPE.F has a large one-off loss of €326.2M impacting its June 30 2019 financial results.

Growing Profit Margin: KLPE.F's current net profit margins (28.8%) are lower than last year (81.9%).


Past Earnings Growth Analysis

Earnings Trend: KLPE.F's earnings have grown by 16.5% per year over the past 5 years.

Accelerating Growth: KLPE.F's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: KLPE.F had negative earnings growth (-69.6%) over the past year, making it difficult to compare to the REITs industry average (8.3%).


Return on Equity

High ROE: KLPE.F's Return on Equity (3.9%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Klépierre'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: KLPE.F has a high level of physical assets or inventory.

Debt Coverage by Assets: KLPE.F's debt is not covered by short term assets (assets are 0.1x debt).


Financial Institutions Analysis

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

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

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

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

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

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


Next Steps

Dividend

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

6.40%

Current Dividend Yield


Dividend Yield vs Market

company6.4%marketbottom25%1.4%markettop25%3.7%industryaverage3.8%forecastin3Years6.9%

Current dividend yield vs market & industry

Notable Dividend: KLPE.F's dividend (6.4%) is higher than the bottom 25% of dividend payers in the US market (1.43%).

High Dividend: KLPE.F's dividend (6.4%) is in the top 25% of dividend payers in the US market (3.72%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (30.1%), KLPE.F's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KLPE.F's dividends in 3 years are forecast to be thoroughly covered by earnings (0.3% payout ratio).


Next Steps

Management

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

3.1yrs

Average management tenure


CEO

Jean-March Jestin (50yo)

3.1yrs

Tenure

€2,265,989

Compensation

Mr. Jean-March Jestin has been Chairman of the Klepierre Executive Board since November 2016, after serving as Chief Operating Officer and Member of the Klepierre Executive Board since October 2012. Previo ...


CEO Compensation Analysis

Compensation vs Market: Jean-March's total compensation ($USD2.51M) is below average for companies of similar size in the US market ($USD10.94M).

Compensation vs Earnings: Jean-March's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Management Age and Tenure

3.1yrs

Average Tenure

53yo

Average Age

Experienced Management: KLPE.F's management team is considered experienced (3.1 years average tenure).


Board Age and Tenure

4.7yrs

Average Tenure

57yo

Average Age

Experienced Board: KLPE.F's board of directors are considered experienced (4.7 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.


Ownership Breakdown

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


Management Team

  • Jean-Michel Gault (59yo)

    Deputy CEO

    • Tenure: 21.9yrs
    • Compensation: €1.68m
  • Jean-March Jestin (50yo)

    Chairman of the Executive Board

    • Tenure: 3.1yrs
    • Compensation: €2.27m
  • Marie-Thérèse Dimasi (56yo)

    Chief Legal & Human Resources Officer

    • Tenure: 8.5yrs
  • Sonia Torti

    Head of Marketing Arcades / France

    • Tenure: 0yrs
  • Gilles Latini

    Head of Southeast Development

    • Tenure: 0yrs
  • Julien Goubault (41yo)

    Chief Communications Officer

    • Tenure: 3.1yrs
  • Michaël Farbos

    Chief Development Officer

    • Tenure: 0yrs
  • Beñat Ortega

    Chief Operating Officer

    • Tenure: 3.1yrs
  • Hubert d’AILLIÈRES

    Group Head of Investor Relations & Financial Communication

    • Tenure: 0yrs
  • Cyrille Deslandes

    Chief Investment Officer

    • Tenure: 1.9yrs

Board Members

  • David Simon (57yo)

    Supervisory Board Chairman

    • Tenure: 7.8yrs
    • Compensation: €97.80k
  • Steve Fivel (58yo)

    Supervisory Board Member

    • Tenure: 7.8yrs
    • Compensation: €106.05k
  • Catherine Simoni (55yo)

    Supervisory Board Member

    • Tenure: 7yrs
    • Compensation: €86.40k
  • John Carrafiell (54yo)

    Supervisory Board Member

    • Tenure: 5yrs
    • Compensation: €70.68k
  • Robert Fowlds (57yo)

    Supervisory Board Member

    • Tenure: 1.7yrs
    • Compensation: €37.26k
  • Stanley Shashoua (48yo)

    Supervisory Board Member

    • Tenure: 4.7yrs
    • Compensation: €80.12k
  • Rose-Marie Van Lerberghe (72yo)

    Vice Chairman of the Board

    • Tenure: 2.9yrs
    • Compensation: €83.66k
  • Florence von Erb (59yo)

    Supervisory Board Member

    • Tenure: 3.8yrs
    • Compensation: €48.68k
  • Béatrice de Clermont-Tonnerre (46yo)

    Supervisory Board Member

    • Tenure: 3.7yrs
    • Compensation: €48.68k

Company Information

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


Key Information

  • Name: Klépierre SA
  • Ticker: KLPE.F
  • Exchange: OTCPK
  • Founded: 1968
  • Industry: Retail REITs
  • Sector: Real Estate
  • Market Cap: €9.586b
  • Listing Market Cap: €10.636b
  • Shares outstanding: 292.34m
  • Website: https://www.klepierre.com

Number of Employees


Location

  • Klépierre SA
  • 26 boulevard des Capucines
  • CS 20062
  • Paris
  • Ile-de-France
  • 75009
  • France

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KLPE.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
LIENXTPA (Euronext Paris)YesOrdinary SharesFREURJan 1992
KPRDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
0F4ILSE (London Stock Exchange)YesOrdinary SharesGBEURJan 1992
LIPBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJan 1992

Biography

Klépierre, the European leader in shopping malls, combines development, property and asset management skills. The company’s portfolio is valued at €24.0 billion at June 30, 2019 and comprises large shoppin ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/11 23:52
End of Day Share Price2019/11/29 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.