company background image
NRL

Newpark REITJSE:NRL Stock Report

Market Cap

R400.0m

7D

0%

1Y

0%

Updated

18 Oct, 2021

Data

Company Financials
NRL fundamental analysis
Snowflake Score
Valuation3/6
Future Growth0/6
Past Performance2/6
Financial Health0/6
Dividends2/6

NRL Overview

Newpark REIT Ltd operates as a real estate investment trust company in South Africa.

Newpark REIT Competitors

Spear Reit

JSE:SEA

R1.3b

Tower Property Fund

JSE:TWR

R1.2b

Stor-Age Property REIT

JSE:SSS

R6.0b

New African Properties

BSM:NAP

P2.0b

Price History & Performance

Summary of all time highs, changes and price drops for Newpark REIT
Historical stock prices
Current Share PriceR4.00
52 Week HighR0
52 Week LowR0
Beta-0.24
1 Month Change0%
3 Month Change0%
1 Year Change0%
3 Year Change-31.03%
5 Year Change-36.00%
Change since IPO-41.18%

Recent News & Updates

Shareholder Returns

NRLZA REITsZA Market
7D0%-0.4%1.6%
1Y0%39.5%21.3%

Return vs Industry: NRL underperformed the ZA REITs industry which returned 39.5% over the past year.

Return vs Market: NRL underperformed the ZA Market which returned 21.3% over the past year.

Price Volatility

Is NRL's price volatile compared to industry and market?
NRL volatility
NRL Beta-0.24
Industry Beta0.89
Market Beta1

Stable Share Price: NRL is less volatile than 75% of ZA stocks over the past 3 months, typically moving +/- 0% a week.

Volatility Over Time: NRL's weekly volatility (0%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2015n/aSimon Fifieldhttps://www.newpark.co.za

Newpark REIT Ltd operates as a real estate investment trust company in South Africa. The company focuses on investing in A-grade commercial properties. Its property portfolio comprises the JSE building and the 24 Central, as well as industrial buildings in Linbro Business Park and Crown City with a gross lettable area of 56,841 square meters.

Newpark REIT Fundamentals Summary

How do Newpark REIT's earnings and revenue compare to its market cap?
NRL fundamental statistics
Market CapR400.00m
Earnings (TTM)R46.44m
Revenue (TTM)R107.02m

8.6x

P/E Ratio

3.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
NRL income statement (TTM)
RevenueR107.02m
Cost of RevenueR22.06m
Gross ProfitR84.97m
ExpensesR38.53m
EarningsR46.44m

Last Reported Earnings

Aug 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.46
Gross Margin79.39%
Net Profit Margin43.39%
Debt/Equity Ratio54.6%

How did NRL perform over the long term?

See historical performance and comparison

Dividends

10.8%

Current Dividend Yield

1,963%

Payout Ratio

Does NRL pay a reliable dividends?

See NRL dividend history and benchmarks
When do you need to buy NRL by to receive an upcoming dividend?
Newpark REIT dividend dates
Ex Dividend DateOct 27 2021
Dividend Pay DateNov 02 2021
Days until Ex dividend8 days
Days until Dividend pay date14 days

Does NRL pay a reliable dividends?

See NRL dividend history and benchmarks

Valuation

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

8.61x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: NRL (ZAR4) is trading above our estimate of fair value (ZAR0.26)

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


Price To Earnings Ratio

PE vs Industry: NRL is good value based on its PE Ratio (8.6x) compared to the ZA REITs industry average (9.9x).

PE vs Market: NRL is good value based on its PE Ratio (8.6x) compared to the ZA market (11.2x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: NRL is good value based on its PB Ratio (0.5x) compared to the ZA REITs industry average (0.6x).


Future Growth

How is Newpark REIT forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

11.9%

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 Newpark REIT 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.


Past Performance

How has Newpark REIT performed over the past 5 years?

-33.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NRL has high quality earnings.

Growing Profit Margin: NRL became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: NRL's earnings have declined by 33.2% per year over the past 5 years.

Accelerating Growth: NRL has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: NRL has become profitable in the last year, making it difficult to compare its past year earnings growth to the REITs industry (132.9%).


Return on Equity

High ROE: NRL's Return on Equity (5.3%) is considered low.


Financial Health

How is Newpark REIT's financial position?


Financial Position Analysis

Short Term Liabilities: NRL's short term assets (ZAR18.0M) do not cover its short term liabilities (ZAR28.6M).

Long Term Liabilities: NRL's short term assets (ZAR18.0M) do not cover its long term liabilities (ZAR477.8M).


Debt to Equity History and Analysis

Debt Level: NRL's debt to equity ratio (54.6%) is considered high.

Reducing Debt: NRL's debt to equity ratio has increased from 33.3% to 54.6% over the past 5 years.

Debt Coverage: NRL's debt is not well covered by operating cash flow (8.9%).

Interest Coverage: NRL's interest payments on its debt are not well covered by EBIT (1.7x coverage).


Balance Sheet


Dividend

What is Newpark REIT current dividend yield, its reliability and sustainability?

10.83%

Current Dividend Yield


Upcoming Dividend Payment

TodayOct 19 2021Ex Dividend DateOct 27 2021Dividend Pay DateNov 02 20216 days from Ex DividendBuy in the next 8 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: NRL's dividend (10.83%) is higher than the bottom 25% of dividend payers in the ZA market (3.07%).

High Dividend: NRL's dividend (10.83%) is in the top 25% of dividend payers in the ZA market (8.09%)


Stability and Growth of Payments

Stable Dividend: NRL has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: NRL has only been paying a dividend for 5 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (1962.6%), NRL's dividend payments are not well 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

How experienced are the management team and are they aligned to shareholders interests?

5.8yrs

Average board tenure


CEO

Simon Fifield (44 yo)

5.75yrs

Tenure

R1,269,000

Compensation

Mr. Simon Peter Fifield, BSc (Survey), MSc (Survey), CFA (Charterholder), is Co-Owner of Montgomery Investments (Pty) Ltd. Mr. Fifield serves as the Chief Executive Officer and Managing Director at Newpark...


Board Members

Experienced Board: NRL's board of directors are considered experienced (5.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Newpark REIT Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Newpark REIT Limited
  • Ticker: NRL
  • Exchange: JSE
  • Founded: 2015
  • Industry: Diversified REITs
  • Sector: Real Estate
  • Market Cap: R400.000m
  • Shares outstanding: 100.00m
  • Website: https://www.newpark.co.za

Location

  • Newpark REIT Limited
  • 51 West Street
  • Houghton
  • Johannesburg
  • Gauteng
  • 2198
  • South Africa

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/18 21:46
End of Day Share Price2021/10/18 00:00
Earnings2021/08/31
Annual Earnings2021/02/28


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.