WRI  Weingarten Realty Investors

Exchange

NYSE

Sector

Consumer Services

Industry

Real Estate Investment Trusts

Market Cap.

4.09B

Vuru Grade

27.50/100

Current Price

$31.83
+0.25 (+0.79%)

Company Metrics

  • P/E 21.41
  • P/S 7.1
  • P/B 2.56
  • EPS 1.49
  • Cash ROIC -1.49%
  • Cash Ratio -
  • Dividend 1.54 / 4.79%
  • Avg. Vol. 795,726.00
  • Shares 128.50M
  • Market Cap. 4.09B

Company Description

Weingarten Realty Investors operates as a real estate investment trust (REIT). The company engages in the management, acquisition, and development of real estate. It operates in two segments, Shopping Center and Industrial. The Shopping Center segment engages in the acquisition, development, and management of real estate, primarily anchored neighborhood and community shopping centers located in Te... more


Download 10 Years of Financial Statements:
Income Statement   Balance Sheet   Cash Flow

News

Weingarten Realty's (WRI) CEO Drew Alexander on Q2 2017 Results - Earnings ...
Seeking Alpha - Jul 28, 2017
Good morning and welcome to the Weingarten Realty Inc. Second Quarter 2017 Earnings Call. My name is ... Redevelopment of the existing portfolio provides great returns on the invested capital and we continue to work those with great focus. Bottom line ...
Wendell David Associates Inc. Has $2.05 Million Holdings in Weingarten Realty ...
Dispatch Tribunal - 12 hours ago
Weingarten Realty Investors logo Wendell David Associates Inc. cut its position in shares of Weingarten Realty Investors (NYSE:WRI) by 16.8% in the third quarter, according to its most recent disclosure with the Securities and Exchange Commission.
Reviewing Weingarten Realty Investors (WRI) and The Competition - StockNewsTimes
Weingarten Realty Investors Announces Second Quarter 2017 Earnings Release and ...
Business Wire (press release) - Jun 13, 2017
HOUSTON--(BUSINESS WIRE)--Weingarten Realty Investors (NYSE:WRI) announced today that its second quarter 2017 earnings will be released after the market closes on Thursday, July 27, 2017.
Weingarten Realty Investors (WRI) Moves Higher on Volume Spike for September 15
Equities.com - Sep 15, 2017
Weingarten Realty Investors (WRI) traded on unusually high volume on Sep. 15, as the stock gained 0.81% to close at $33.46.
Weingarten Realty Reports No Significant Damage from Hurricane Irma - Business Wire (press release)
Is It Time to go for Hasbro, Inc. (HAS), Weingarten Realty Investors (WRI)? - StockNewsJournal
Tanger Factory Outlet Centers (NYSE:SKT) and Weingarten Realty Investors (WRI ...
Dispatch Tribunal - Oct 21, 2017
Weingarten Realty Investors (NYSE: WRI) and Tanger Factory Outlet Centers (NYSE:SKT) are both mid-cap finance companies, but which is the better investment?
General Growth Properties (GGP) & Weingarten Realty Investors (NYSE:WRI) Head ... - The Ledger Gazette
Stock Alert: Weingarten Realty Investors Price Volatility Hits A Collapsing Low
CML News - Oct 21, 2017
Before we cover the full analysis we make a quick alert here that Weingarten Realty Investors (NYSE:WRI) has seen its stock price move at a rock bottom low level.
Risk Malaise Alert in Option Market: Weingarten Realty Investors Implied Price ...
CML News - Oct 21, 2017
Before we dive into any analysis we simply note that Weingarten Realty Investors (NYSE:WRI) risk is actually priced pretty low by the option market as of right now.
Head to Head Contrast: Weingarten Realty Investors (WRI) & Brixmor Property ...
StockNewsTimes - Oct 22, 2017
Weingarten Realty Investors (NYSE: WRI) and Brixmor Property Group (NYSE:BRX) are both mid-cap finance companies, but which is the better business?
New Capital Management LP Buys iShares Cohen & Steers REIT, iShares JP Morgan ...
GuruFocus.com - 5 hours ago
... International Paper Co, Merck Inc, Raytheon Co, Andeavor, sells Weingarten Realty Investors, Vanguard Total Stock Market, Marathon Oil Corp, iShares Global Consumer Staples, PowerShares QQQ Trust Series 1 during the 3-months ended 2017-09-30, ...
Weingarten Realty Investors (NYSE:WRI) versus Its Peers Head to Head Survey
Dispatch Tribunal - Oct 16, 2017
Weingarten Realty Investors (NYSE: WRI) is one of 34 public companies in the “Retail REITs” industry, but how does it contrast to its peers?
Somewhat Positive Press Coverage Somewhat Unlikely to Impact Weingarten Realty ... - StockNewsTimes
Growth Rate Assumed by Market

We did a reverse valuation to calculate the growth rate the market is assuming for WRI to be considered fairly valued at its current market price. It's useful to compare this to the growth rate we're assuming for the Growth Price.

Future Free Cash Flow Growth Rate

This is the annual growth rate we've applied to calculate WRI's Free Cash Flow for the next 10 years. To calculate it, we looked at several time periods of the last 10 years. Feel free to adjust it, but we limit the initial growth rate to 20% and slow it down over the years. Otherwise, long-term sustainability issues come into play.

Discount Rate

The discount rate is the annual rate of return an investor requires to take the risk of investing in a single stock. To account for that risk, this should be above 8-10%, as this is the avg. annual rate of return for the S&P500 over the past 100 years.

$31.83 Current Price

$-5.82 Growth Price (DCF)

Why is this negative?


Show Free Cash Flow numbers

$24.68 Book Price

Overvalued by 22.45%


Very Poor Cash Return on Invested Capital over the past 5 years

WRI has failed to generate positive returns on its investments in buildings, projects and equipment. This could be due to poor management, lack of an economic moat or the capital intensive nature of the business.

WRI has lost $1.49 of cash for every $100 invested.
Figures in USD. Fiscal year ends in December
20122013201420152016
Free Cash Flow -66.58M 51.24M 96.26M -61.07M -354.81M
divided by
Invested Capital 4.18B 4.22B 3.81B 3.90B 4.43B
Cash ROIC -1.59% 1.21% 2.52% -1.56% -8.01%

Excellent Return on Equity over the past 5 years

Over the past 5 years, WRI has generated strong profits with money shareholders have invested. This is considered one of the best indicators of quality management. Beware of extremely high Return on Equity (> 50%) as this is often unsustainable.

WRI has generated $16.14 of Earnings for every $100 of Shareholders' Equity.
Figures in USD. Fiscal year ends in December
20122013201420152016
Net Income 152.42M 265.16M 307.58M 181.22M 276.83M
divided by
Stockholders' Equity 1.58B 1.38B 1.49B 1.39B 1.54B
Return on Equity 9.66% 19.24% 20.71% 13.04% 18.03%

Mediocre Business Performance over the past 10 years

WRI isn't a strong business and might be consistently attempting to fuel growth with debt or has trouble staying profitable. The lack of predictability in free cash flow should be concerning for the reliability of future earnings.

WRI has been unable to consistently create value for shareholders.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Free Cash Flow -188.77M -74.74M 135.40M 71.65M 70.74M -66.58M 51.24M 96.26M -61.07M -354.81M

Weak Balance Sheet

WRI's financial position is not ideal. The key is to check whether WRI is using debt to fuel its growth and the sustainability of that tendency. Highly capital intensive businesses (see Economic Moat) follow this route, which can deeply impact the future prospects of the business.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Cash - - - - - - - - - -
Current Assets - - - - - - - - - -
Total Assets 4.99B 5.11B 4.89B 4.81B 4.59B 4.18B 4.22B 3.81B 3.90B 4.43B
Current Liabilities - - - - - - - - - -
Total Liabilities 3.52B 3.69B 2.99B 3.01B 2.93B 2.61B 2.85B 2.33B 2.51B 2.89B
Stockholder' Equity 1.47B 1.43B 1.90B 1.80B 1.66B 1.58B 1.38B 1.49B 1.39B 1.54B
Current Ratio - - - - - - - - - -
TL-to-TA 0.71 0.72 0.61 0.63 0.64 0.62 0.67 0.61 0.64 0.65

Low or No Reinvestment of Profits over the past 10 years

WRI has either been retaining a small amount of their earnings or has done so inconsistently. A lack of consistency could be due to WRI operating at a loss or them having such a strong economic moat they feel comfortable spending profits on growth. Be wary of future prospects and if applicable, inspect the moat's sustainability.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Retained Earnings 42.74M -20.12M -37.35M -151.78M -304.50M -335.98M -300.54M -212.96M -222.88M -177.65M
Retained Earnings Growth - -147.07% -85.67% -306.37% -100.62% -10.34% 10.55% 29.14% -4.66% 20.29%

Varying Competitive Advantage over the past 10 years

WRI likely has a competitive advantage which prevents other companies from entering or competing in their industry. However, there is a substantial variation in their Net Profit Margins from year-to-year, which indicates inconsistent performance. Look at reasons for this inconsistency to determine the likelihood of future sustainability.

$33.12 of every $100 of Revenue have been pure profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Net Income 238.02M 151.68M 150.01M 48.76M 15.00M 152.42M 265.16M 307.58M 181.22M 276.83M
divided by
Revenue 599.05M 614.97M 572.11M 554.67M 541.56M 503.54M 497.73M 514.41M 512.84M 549.56M
Net Profit Margin 39.73% 24.66% 26.22% 8.79% 2.77% 30.27% 53.27% 59.79% 35.34% 50.37%

Weak Pricing Power over the past 10 years

WRI is likely in a highly competitive industry, due to low barriers to entry. It's because of this, that WRI has been unable to raise prices and increase their profitability. This puts them in a poor position if inflation becomes an issue, as they would struggle to pass higher costs onto consumers.

Only $- of every $100 worth of sales have been Gross Profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Gross Profit - - - - - - - - - -
divided by
Revenue 599.05M 614.97M 572.11M 554.67M 541.56M 503.54M 497.73M 514.41M 512.84M 549.56M
Gross Margin - - - - - - - - - -

High Capital Intensity over the past 10 years

WRI spends large amounts of capital buying new equipment or investing in new facilities to stay competitive. Over the long term, those costs may have to be fuelled by debt. Look at the growth of Shareholders' Equity to see if this strategy is having a positive or negative impact.

238.79% of Profits are being spent on Capital Expenditures, like Property, Plant, & Equipment, required to run the business.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Capital Expenditure 412.08M 294.89M 108.91M 142.97M 143.99M 293.91M 182.76M 144.51M 305.48M 601.77M
divided by
Net Income 238.02M 151.68M 150.01M 48.76M 15.00M 152.42M 265.16M 307.58M 181.22M 276.83M
Capital Expenditure Ratio 173.13% 194.41% 72.60% 293.23% 959.79% 192.83% 68.92% 46.98% 168.57% 217.38%

Very Strong Dividend History over the past 10 years

WRI has consistently distributed a dividend for at least the past 10 years. Such a long dividend history suggests WRI is very established in its market and that its dividend distribution is likely to continue for a significant period of time.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Dividend Paid 194.49M 213.57M 168.58M 158.01M 189.28M 183.85M 186.05M 220.40M 180.11M 185.10M
divided by
Shares Outstanding 88.89M 84.92M 110.18M 120.78M 120.33M 121.71M 122.46M 124.37M 124.33M 128.57M
Dividend Paid Per Share 2.19 2.52 1.53 1.31 1.57 1.51 1.52 1.77 1.45 1.44
Price at Year End 24.19 16.29 18.31 22.88 21.82 26.55 27.86 35.53 34.89 35.79
Dividend Yield 9.04% 15.44% 8.36% 5.72% 7.21% 5.69% 5.45% 4.99% 4.15% 4.02%

History of Stock Buybacks over the past 10 years

WRI has some history of delivering increased value for shareholders in the form of stock buybacks. These have helped improve financial metrics and increase each shareholders' relative ownership stake in the company, due to fewer shares outstanding and holding the same number of shares.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Shares Outstanding 88.89M 84.92M 110.18M 120.78M 120.33M 121.71M 122.46M 124.37M 124.33M 128.57M
Stock Bought Back - 4.68% -22.93% -8.78% 0.37% -1.13% -0.62% -1.54% 0.03% -3.30%
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