ZIPR  Ziprealty Inc.

Exchange

NASDAQ

Sector

Finance

Industry

Real Estate

Market Cap.

147.58M

Vuru Grade

12.34/100

Current Price

$6.74
+0.00 (+0.00%)

Growth Price

$0.07
Overvalued by 98.91%

Stability Price

$0.79
Overvalued by 88.21%

Company Metrics

  • P/E 0
  • P/S 2.12
  • P/B 17.19
  • EPS -0.39
  • Cash ROIC -25.75%
  • Cash Ratio -
  • Dividend 0 / 0%
  • Avg. Vol. 170,153.00
  • Shares 21.90M
  • Market Cap. 147.58M

Company Description

ZipRealty, Inc., a real estate brokerage firm, provides brokerage services to buyers and sellers in the United States. The company, through its Website ziprealty.com, provides Multiple Listing Services (MLS) access for home listings data, including pictures from the local MLSs; and ZipNotify, which allows consumers to receive an automatic email notification each time a property that meets their de... more


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

News

Realogy's grand vision for deploying ZipRealty's technology
Inman.com - Jan 14, 2015
Realogy's brokerage wing, NRT LLC, which has 700 offices and over 42,000 agents in 40 U.S. markets, will also eventually get access to Zap after the platform is rolled out to franchisees, said Alex Perriello, president and CEO of Realogy Franchise Group.
Realogy buying ZipRealty for $166 million, a valuation that could give Redfin ...
GeekWire - Jul 15, 2014
“The acquisition of ZipRealty represents a strategic investment in the growth of our business and a compelling opportunity to further enhance shareholder value,” said Realogy CEO Richard A. Smith in a statement.
Realogy Announces Agreement To Acquire ZipRealty For Approximately $166 Million - PR Newswire (press release)
How ZipRealty sold the whole enchilada to Realogy
Inman.com - Jul 18, 2014
At the meeting, ZipRealty CEO Baker “reported that the company's senior management had interviewed three investment banks and had narrowed the group to one candidate, GCA Savvian Advisors LLC (“GCA Savvian”), which made a presentation to the ...
How ZipRealty will be used by Realogy to turn more Internet leads into deals
Inman.com - Aug 4, 2014
The $166 million acquisition could close by the middle of this month. When that happens, Realogy will begin to deploy ZipRealty's mobile-optimized customer relationship management platform, “ZAP” along with other aspects of ZipRealty's technology ...
ZipRealty Announces Launch of the ZapStore
PR Newswire (press release) - Nov 12, 2015
EMERYVILLE, Calif., Nov. 12, 2015 /PRNewswire/ -- ZipRealty today announced the launch of the ZapStoreTM, an innovative app and service marketplace directly integrated within the Realogy Franchise Group's ZapTM platform. The ZapStore makes ...
ZipRealty Welcomes Coldwell Banker Residential Brokerage in Arizona as the ...
PR Newswire (press release) - Oct 23, 2014
TUCSON, Ariz., and EMERYVILLE, Calif., Oct. 23, 2014 /PRNewswire/ -- ZipRealty, an innovative developer of proprietary technology and comprehensive online marketing tools for residential real estate, announced today that Coldwell Banker Residential ...
Realogy Announces Formation Of ZapLabs As Innovation And Technology Hub
PR Newswire (press release) - Jun 16, 2016
(NYSE: RLGY) today announced the formation of ZapLabs LLC as the company's innovation and technology hub. Formerly operated as ZipRealty's technology development group, the company's new positioning as ZapLabs more clearly identifies its focus on ...
Realogy Holdings forms tech hub ZapLabs - HousingWire
Nation's biggest brokerage plans websites to outflank Zillow, Trulia, realtor.com
Inman.com - Aug 5, 2014
Source: NRT LLC. With the acquisition of ZipRealty, NRT will gain a presence in Seattle; Portland, Oregon; and Las Vegas.
ZipRealty Partners with SmartZip Analytics, Inc. to Launch New Home Value Tool ...
PR Newswire (press release) - Jan 14, 2014
EMERYVILLE, Calif., Jan. 14, 2014 /PRNewswire/ -- ZipRealty, Inc. (http://www.ziprealty.com) (NASDAQ: ZIPR), the nation's most prominent online technology-powered residential real estate brokerage firm and real estate marketing solutions provider, has ...
Sorry, homebuyers. Houston is out of houses
Houston Business Journal - Aug 6, 2014
Houston saw the largest decline in housing inventory nationally over the past year, according to ZipRealty Inc. (Nasdaq: ZIPR).
Growth Rate Assumed by Market

We did a reverse valuation to calculate the growth rate the market is assuming for ZIPR 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 ZIPR'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.

$6.74 Current Price

$0.07 Growth Price (DCF)

Overvalued by 98.91%


Growth Rate Assumed by Market: 500.00%


Future Free Cash Flow Growth Rate: 0.0%


Discount Rate: 15.0%


ZIPR's most recent year of (normalized) free cash flow is negative. This is the base number for forward projections. This means that if you increase the growth rate, the amount of negative FCF grows, thereby decreasing the price.

Show Free Cash Flow numbers

$0.79 Stability Price (EPV)

Overvalued by 88.21%


Discount Rate: 15.0%

$1.34 Book Price

Overvalued by 80.08%


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

ZIPR 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.

ZIPR has lost $25.75 of cash for every $100 invested.
Figures in USD. Fiscal year ends in December
20092010201120122013
Free Cash Flow -5.22M -10.93M -9.93M -9.33M -1.66M
divided by
Invested Capital 52.39M 39.81M 28.30M 19.43M 20.18M
Cash ROIC -9.97% -27.45% -35.10% -48.00% -8.21%

Very Poor Return on Equity over the past 5 years

ZIPR has shown an inability to deliver results for shareholders. This could be due to poor management, ZIPR operating in a highly competitive industry, or having a weak business in general.

ZIPR has generated a $48.70 loss for every $100 of Shareholders' Equity.
Figures in USD. Fiscal year ends in December
20092010201120122013
Net Income -12.89M -15.55M -9.73M -9.68M -5.44M
divided by
Stockholders' Equity 41.63M 29.90M 21.83M 13.50M 12.28M
Return on Equity -30.97% -52.00% -44.57% -71.69% -44.26%

Poor Business Performance over the past 10 years

ZIPR's inability to produce positive free cash flow for the majority of the past 10 years is concerning. It should be a red flag, since this company does not have a track record of delivering results for shareholders. This could be due to poor management or the nature of its business.

ZIPR has been losing money for the majority of the past 10 years.
Figures in USD. Fiscal year ends in December
2004200520062007200820092010201120122013
Free Cash Flow 3.18M 5.75M -2.10M -9.72M -13.60M -5.22M -10.93M -9.93M -9.33M -1.66M

Good Balance Sheet

ZIPR's Total Assets double Total Liabilities. Its financial position is adequate. Remember to check Shareholders' Equity to see if it's stable or growing. It's one of the best measures of whether a company is creating value for shareholders.
Figures in USD. Fiscal year ends in December
2004200520062007200820092010201120122013
Cash - - - - - - - - - -
Current Assets - - - - - - - - - -
Total Assets 88.13M 113.95M 98.36M 90.82M 59.97M 52.39M 39.81M 28.30M 19.43M 20.18M
Current Liabilities - - - - - - - - - -
Total Liabilities 5.86M 10.17M 10.49M 13.09M 9.32M 10.76M 9.90M 6.46M 5.93M 7.90M
Stockholder' Equity 82.27M 103.78M 87.87M 77.73M 50.65M 41.63M 29.90M 21.83M 13.50M 12.28M
Current Ratio - - - - - - - - - -
TL-to-TA 0.07 0.09 0.11 0.14 0.16 0.21 0.25 0.23 0.31 0.39

Low or No Reinvestment of Profits over the past 10 years

ZIPR has either been retaining a small amount of their earnings or has done so inconsistently. A lack of consistency could be due to ZIPR 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
2004200520062007200820092010201120122013
Retained Earnings -52.13M -31.66M -52.26M -67.14M -80.48M -93.38M -108.93M -118.66M -128.33M -133.77M
Retained Earnings Growth - 39.26% -65.04% -28.48% -19.87% -16.02% -16.65% -8.93% -8.16% -4.24%

Loss Making Entity over the past 10 years

ZIPR has been unable to maintain profitability. It's Costs of Sales have outstripped Revenue consistently. This is a huge red flag, unless the company has been investing heavily for the future. However, even that is dubious since accurately predicting the future of a company like that is extremely difficult.

$7.66 of every $100 of Revenue have been a loss, on average over the past 10 years.
Figures in USD. Fiscal year ends in December
2004200520062007200820092010201120122013
Net Income 3.18M 20.47M -20.59M -14.88M -13.34M -12.89M -15.55M -9.73M -9.68M -5.44M
divided by
Revenue 62.29M 93.41M 95.39M 103.86M 107.45M 123.13M 118.70M 85.15M 73.82M 75.85M
Net Profit Margin 5.11% 21.91% -21.59% -14.33% -12.42% -10.47% -13.10% -11.43% -13.11% -7.17%

Weak Pricing Power over the past 10 years

ZIPR is likely in a highly competitive industry, due to low barriers to entry. It's because of this, that ZIPR 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
2004200520062007200820092010201120122013
Gross Profit - - - - - - - - - -
divided by
Revenue 62.29M 93.41M 95.39M 103.86M 107.45M 123.13M 118.70M 85.15M 73.82M 75.85M
Gross Margin - - - - - - - - - -

Medium Capital Intensity over the past 10 years

ZIPR has used a reasonable amount of their financial resources to invest in facilities and equipment required to produce its goods and services. This isn't perfect, but it shouldn't be an area of concern unless this number is strongly trending upwards.

29.11% 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
2004200520062007200820092010201120122013
Capital Expenditure 1.42M 2.82M 4.13M 4.05M 1.98M 1.41M 1.58M 1.59M 1.98M 2.65M
divided by
Net Income 3.18M 20.47M -20.59M -14.88M -13.34M -12.89M -15.55M -9.73M -9.68M -5.44M
Capital Expenditure Ratio 44.45% 13.78% -20.03% -27.20% -14.84% -10.94% -10.14% -16.30% -20.46% -48.68%

No Dividend History over the past 10 years

ZIPR has never distributed dividends or has recently suspended their dividend distribution.
Figures in USD. Fiscal year ends in December
2004200520062007200820092010201120122013
Dividend Paid - - - - - - - - - -
divided by
Shares Outstanding 3.80M 25.08M 20.54M 22.59M 20.92M 20.24M 20.51M 20.54M 20.64M 21.07M
Dividend Paid Per Share - - - - - - - - - -
Price at Year End 17.00 8.42 7.49 5.04 2.90 3.45 2.61 1.10 2.81 5.70
Dividend Yield - - - - - - - - - -

History of Stock Buybacks over the past 10 years

ZIPR 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
2004200520062007200820092010201120122013
Shares Outstanding 3.80M 25.08M 20.54M 22.59M 20.92M 20.24M 20.51M 20.54M 20.64M 21.07M
Stock Bought Back - -84.86% 22.09% -9.05% 7.98% 3.33% -1.31% -0.16% -0.47% -2.04%
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