Starwood Property Trust, Inc. (STWD) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

EastGroup Properties, Inc.

STAG Industrial, Inc.

Omega Healthcare Investors, Inc.

Lamar Advertising Co.

Federal Realty Investment Trust

CubeSmart

NNN REIT, Inc.

Starwood Property Trust, Inc.

Brixmor Property Group, Inc.

First Industrial Realty Trust, Inc.

Americold Realty Trust, Inc.

Why is Starwood Property Trust, Inc. ?

Strong Long Term Fundamental Strength with a 12.69% CAGR growth in Operating Profits

The company has declared Negative results for the last 3 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at USD 256.6 MM
NET SALES(HY) At USD 894.12 MM has Grown at -19.07%
DEBTORS TURNOVER RATIO(HY) Lowest at 10.12 times

With ROE of 4.88%, it has a very attractive valuation with a 1.09 Price to Book Value

The stock is trading at a fair value compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -7.95%, its profits have fallen by -28.4%
At the current price, the company has a high dividend yield of 857

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -7.95% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Starwood Property Trust, Inc. should be less than 10%
Overall Portfolio exposure to Realty should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Realty)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Starwood Property Trust, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Starwood Property Trust, Inc.

-8.32%

-0.15

20.96%

S&P 500

13.22%

0.64

20.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.97%

EBIT Growth (5y)

12.69%

EBIT to Interest (avg)

1.95

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

7.67%

Dividend Payout Ratio

174.50%

Pledged Shares

Institutional Holding

56.15%

ROCE (avg)

29.06%

ROE (avg)

8.56%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.09

EV to EBIT

3.97

EV to EBITDA

3.86

EV to Capital Employed

1.11

EV to Sales

3.42

PEG Ratio

Dividend Yield

856.99%

ROCE (Latest)

27.83%

ROE (Latest)

4.88%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

Bullish

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

2What is working for the Company

RAW MATERIAL COST(Y)

Fallen by 1.45% (YoY

EPS(Q)

Highest at USD 0.38

-11What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 256.6 MM

NET SALES(HY)

At USD 894.12 MM has Grown at -19.07%

DEBTORS TURNOVER RATIO(HY)

Lowest at 10.12 times

INTEREST COVERAGE RATIO(Q)

Lowest at 97.72

Here's what is working for Starwood Property Trust, Inc.

EPS

Highest at USD 0.38

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Raw Material Cost

Fallen by 1.45% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Starwood Property Trust, Inc.

Operating Cash Flow

Lowest at USD 256.6 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Interest Coverage Ratio

Lowest at 97.72

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales

At USD 894.12 MM has Grown at -19.07%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Debtors Turnover Ratio

Lowest at 10.12 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Non Operating Income

Highest at USD 1.02 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income