COPT Defense Properties
COPT Defense Properties Fundamental Analysis
COPT Defense Properties (CDP) shows moderate financial fundamentals with a PE ratio of 23.90, profit margin of 19.94%, and ROE of 10.14%. The company generates $0.8B in annual revenue with moderate year-over-year growth of 9.97%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 49.4/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze CDP's fundamental strength across five key dimensions:
Efficiency Score
WeakCDP struggles to generate sufficient returns from assets.
Valuation Score
ModerateCDP shows balanced valuation metrics.
Growth Score
ModerateCDP shows steady but slowing expansion.
Financial Health Score
ModerateCDP shows balanced financial health with some risks.
Profitability Score
ModerateCDP maintains healthy but balanced margins.
Key Financial Metrics
Is CDP Expensive or Cheap?
P/E Ratio
CDP trades at 23.90 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, CDP's PEG of 15.89 indicates potential overvaluation.
Price to Book
The market values COPT Defense Properties at 2.40 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 2.73 times EBITDA. This is generally considered low.
How Well Does CDP Make Money?
Net Profit Margin
For every $100 in sales, COPT Defense Properties keeps $19.94 as profit after all expenses.
Operating Margin
Core operations generate 46.53 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.14 in profit for every $100 of shareholder equity.
ROA
COPT Defense Properties generates $3.24 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
COPT Defense Properties generates strong operating cash flow of $251.55M, reflecting robust business health.
Free Cash Flow
COPT Defense Properties generates strong free cash flow of $220.27M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.95 in free cash annually.
FCF Yield
CDP converts 5.99% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
23.90
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
15.89
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.40
vs 25 benchmark
P/S Ratio
Price to sales ratio
4.78
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.86
vs 25 benchmark
Current Ratio
Current assets to current liabilities
5.51
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.08
vs 25 benchmark
How CDP Stacks Against Its Sector Peers
| Metric | CDP Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 23.90 | 24.23 | Neutral |
| ROE | 10.14% | 659.00% | Weak |
| Net Margin | 19.94% | 4497.00% | Weak |
| Debt/Equity | 1.86 | -22.14 (disorted) | Distorted |
| Current Ratio | 5.51 | 13.87 | Strong Liquidity |
| ROA | 3.24% | -1390.00% (disorted) | Weak |
CDP outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews COPT Defense Properties's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
16.32%
Industry Style: Income, Inflation Hedge, REIT
High GrowthEPS CAGR
-28.23%
Industry Style: Income, Inflation Hedge, REIT
DecliningFCF CAGR
43.38%
Industry Style: Income, Inflation Hedge, REIT
High Growth