Hudson Pacific Properties, Inc.
Hudson Pacific Properties, Inc. Fundamental Analysis
Hudson Pacific Properties, Inc. (HPP-PC) shows weak financial fundamentals with a PE ratio of -0.90, profit margin of -57.52%, and ROE of -14.74%. The company generates $4.6B in annual revenue with weak year-over-year growth of -11.57%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -51.5/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze HPP-PC's fundamental strength across five key dimensions:
Efficiency Score
WeakHPP-PC struggles to generate sufficient returns from assets.
Valuation Score
ExcellentHPP-PC trades at attractive valuation levels.
Growth Score
WeakHPP-PC faces weak or negative growth trends.
Financial Health Score
ModerateHPP-PC shows balanced financial health with some risks.
Profitability Score
WeakHPP-PC struggles to sustain strong margins.
Key Financial Metrics
Is HPP-PC Expensive or Cheap?
P/E Ratio
HPP-PC trades at -0.90 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, HPP-PC's PEG of -0.07 indicates potential undervaluation.
Price to Book
The market values Hudson Pacific Properties, Inc. at 0.13 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -59.19 times EBITDA. This is generally considered low.
How Well Does HPP-PC Make Money?
Net Profit Margin
For every $100 in sales, Hudson Pacific Properties, Inc. keeps $-57.52 as profit after all expenses.
Operating Margin
Core operations generate -13.63 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-14.74 in profit for every $100 of shareholder equity.
ROA
Hudson Pacific Properties, Inc. generates $-5.79 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Hudson Pacific Properties, Inc. generates limited operating cash flow of $364.20M, signaling weaker underlying cash strength.
Free Cash Flow
Hudson Pacific Properties, Inc. produces free cash flow of $242.72M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.64 in free cash annually.
FCF Yield
HPP-PC converts 11.92% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-0.90
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.07
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.13
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.44
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.22
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.85
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.15
vs 25 benchmark
ROA
Return on assets percentage
-0.06
vs 25 benchmark
ROCE
Return on capital employed
-0.01
vs 25 benchmark
How HPP-PC Stacks Against Its Sector Peers
| Metric | HPP-PC Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -0.90 | 24.23 | Better (Cheaper) |
| ROE | -14.74% | 659.00% | Weak |
| Net Margin | -57.52% | 4497.00% | Weak |
| Debt/Equity | 1.22 | -22.14 (disorted) | Distorted |
| Current Ratio | 1.85 | 13.87 | Neutral |
| ROA | -5.79% | -1390.00% (disorted) | Weak |
HPP-PC outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Hudson Pacific Properties, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
12.55%
Industry Style: Income, Inflation Hedge, REIT
High GrowthEPS CAGR
-952.78%
Industry Style: Income, Inflation Hedge, REIT
DecliningFCF CAGR
-37.48%
Industry Style: Income, Inflation Hedge, REIT
Declining