Alexander & Baldwin, Inc.
Alexander & Baldwin, Inc. Fundamental Analysis
Alexander & Baldwin, Inc. (ALEX) shows moderate financial fundamentals with a PE ratio of 20.64, profit margin of 33.62%, and ROE of 7.27%. The company generates $0.2B in annual revenue with strong year-over-year growth of 13.31%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 57.6/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze ALEX's fundamental strength across five key dimensions:
Efficiency Score
WeakALEX struggles to generate sufficient returns from assets.
Valuation Score
ExcellentALEX trades at attractive valuation levels.
Growth Score
ModerateALEX shows steady but slowing expansion.
Financial Health Score
ExcellentALEX maintains a strong and stable balance sheet.
Profitability Score
ModerateALEX maintains healthy but balanced margins.
Key Financial Metrics
Is ALEX Expensive or Cheap?
P/E Ratio
ALEX trades at 20.64 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, ALEX's PEG of -3.68 indicates potential undervaluation.
Price to Book
The market values Alexander & Baldwin, Inc. at 1.50 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 7.69 times EBITDA. This is generally considered low.
How Well Does ALEX Make Money?
Net Profit Margin
For every $100 in sales, Alexander & Baldwin, Inc. keeps $33.62 as profit after all expenses.
Operating Margin
Core operations generate 40.79 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $7.27 in profit for every $100 of shareholder equity.
ROA
Alexander & Baldwin, Inc. generates $4.43 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Alexander & Baldwin, Inc. generates strong operating cash flow of $91.35M, reflecting robust business health.
Free Cash Flow
Alexander & Baldwin, Inc. generates strong free cash flow of $45.17M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.62 in free cash annually.
FCF Yield
ALEX converts 2.98% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
20.64
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-3.68
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.50
vs 25 benchmark
P/S Ratio
Price to sales ratio
6.95
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.48
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.19
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.07
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.06
vs 25 benchmark
How ALEX Stacks Against Its Sector Peers
| Metric | ALEX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 20.64 | 24.42 | Better (Cheaper) |
| ROE | 7.27% | 679.00% | Weak |
| Net Margin | 33.62% | 4598.00% | Weak |
| Debt/Equity | 0.48 | -22.07 (disorted) | Distorted |
| Current Ratio | 1.19 | 14.99 | Neutral |
| ROA | 4.43% | -1369.00% (disorted) | Weak |
ALEX outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Alexander & Baldwin, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-45.93%
Industry Style: Income, Inflation Hedge, REIT
DecliningEPS CAGR
263.14%
Industry Style: Income, Inflation Hedge, REIT
High GrowthFCF CAGR
-38.17%
Industry Style: Income, Inflation Hedge, REIT
Declining