Stratus Properties Inc.
Stratus Properties Inc. Fundamental Analysis
Stratus Properties Inc. (STRS) shows moderate financial fundamentals with a PE ratio of 7.33, profit margin of 1.14%, and ROE of 16.42%. The company generates $0.0B in annual revenue with weak year-over-year growth of -44.79%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 8.9/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze STRS's fundamental strength across five key dimensions:
Efficiency Score
WeakSTRS struggles to generate sufficient returns from assets.
Valuation Score
ExcellentSTRS trades at attractive valuation levels.
Growth Score
WeakSTRS faces weak or negative growth trends.
Financial Health Score
ExcellentSTRS maintains a strong and stable balance sheet.
Profitability Score
WeakSTRS struggles to sustain strong margins.
Key Financial Metrics
Is STRS Expensive or Cheap?
P/E Ratio
STRS trades at 7.33 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, STRS's PEG of -0.02 indicates potential undervaluation.
Price to Book
The market values Stratus Properties Inc. at 1.13 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 9.87 times EBITDA. This is generally considered low.
How Well Does STRS Make Money?
Net Profit Margin
For every $100 in sales, Stratus Properties Inc. keeps $1.14 as profit after all expenses.
Operating Margin
Core operations generate 7.87 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $16.42 in profit for every $100 of shareholder equity.
ROA
Stratus Properties Inc. generates $6.12 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Stratus Properties Inc. generates limited operating cash flow of $-37.29M, signaling weaker underlying cash strength.
Free Cash Flow
Stratus Properties Inc. generates weak or negative free cash flow of $-40.96M, restricting financial flexibility.
FCF Per Share
Each share generates $-5.13 in free cash annually.
FCF Yield
STRS converts -17.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
7.33
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.02
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.13
vs 25 benchmark
P/S Ratio
Price to sales ratio
8.35
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
7.43
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.16
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.004
vs 25 benchmark
How STRS Stacks Against Its Sector Peers
| Metric | STRS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 7.33 | 23.35 | Better (Cheaper) |
| ROE | 16.42% | 665.00% | Weak |
| Net Margin | 113.73% | -37485.00% (disorted) | Strong |
| Debt/Equity | 0.00 | -21.05 (disorted) | Distorted |
| Current Ratio | 7.43 | 21.53 | Strong Liquidity |
| ROA | 6.12% | -931.00% (disorted) | Weak |
STRS outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Stratus Properties Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-31.05%
Industry Style: Income, Inflation Hedge, REIT
DecliningEPS CAGR
153.73%
Industry Style: Income, Inflation Hedge, REIT
High GrowthFCF CAGR
-652.85%
Industry Style: Income, Inflation Hedge, REIT
Declining