Terreno Realty logged a -1.0% change during today's afternoon session, and is now trading at a price of $60.7 per share.
Over the last year, Terreno Realty logged a -2.2% change, with its stock price reaching a high of $67.03 and a low of $50.36. Over the same period, the stock underperformed the S&P 500 index by -2.0%. As of April 2023, the company's 50-day average price was $61.87. Terreno Realty Corporation (Terreno, and together with its subsidiaries, the Company) acquires, owns and operates industrial real estate in six major coastal U. Based in Bellevue, WA, the mid-cap Finance company has 40 full time employees. Terreno Realty has offered a 2.5% dividend yield over the last 12 months.
Growing Revenues With Increasing Reinvestment in the Business:
| 2019-12-31 | 2020-12-31 | 2021-12-31 | 2022-12-31 | |
|---|---|---|---|---|
| Revenue (k) | $171,022 | $186,884 | $221,930 | $276,212 |
| Interest Income | -$12,523 | -$15,124 | -$17,232 | -$23,041 |
| Operating Margins | 34.4% | 36.6% | 39.7% | 40.0% |
| Net Margins | 32.46% | 42.7% | 39.32% | 71.69% |
| Net Income (k) | $55,516 | $79,795 | $87,254 | $198,014 |
| Depreciation & Amort. | -$39,333 | -$40,455 | -$43,001 | -$49,492 |
| Earnings Per Share | $0.85 | $1.16 | $1.23 | $2.64 |
| EPS Growth | n/a | 36.47% | 6.03% | 114.63% |
| Diluted Shares (k) | 64,723 | 68,170 | 70,794 | 83,258 |
| Free Cash Flow (k) | $62,618 | $69,439 | $80,918 | $76,599 |
| Capital Expenditures | -$32,070 | -$31,611 | -$51,290 | -$66,611 |
| Net Current Assets (k) | -$462,744 | -$443,800 | -$661,451 | -$906,507 |
| Current Ratio | 2.24 | 2.0 | 2.9 | 0.35 |
| Long Term Debt (k) | $491,575 | $459,118 | $720,670 | $770,818 |
| Net Debt / EBITDA | 2.82 | 2.33 | 3.12 | 2.53 |
Terreno Realty benefits from growing revenues and increasing reinvestment in the business, strong margins with a stable trend, and exceptional EPS growth. The company's financial statements show consistent free cash flow and reasonable leverage.
Terreno Realty's Valuation Is in Line With Its Sector Averages:
Terreno Realty has a trailing twelve month P/E ratio of 23.4, compared to an average of 14.34 for the Finance sector. Based on its EPS guidance of $1.44, the company has a forward P/E ratio of 43.0. Terreno Realty's PEG ratio is 2.67 on the basis of the 8.8% weighted average of the company and the broader market's EPS compound average growth rates. This suggests that the company's shares are overvalued. Furthermore, Terreno Realty is likely overvalued compared to the book value of its equity, since its P/B ratio of 1.91 is higher than the sector average of 1.57. The company's shares are currently trading 87.1% above their Graham number. In conclusion, Terreno Realty's impressive cash flow trend, decent P/B ratio, and reasonable use of leverage demonstrate that the company may still be fairly valued — despite its elevated earnings multiple.
There's an Analyst Consensus of Some Upside Potential for Terreno Realty:
The 11 analysts following Terreno Realty have set target prices ranging from $67.0 to $80.0 per share, for an average of $71.55 with a buy rating. As of April 2023, the company is trading -13.5% away from its average target price, indicating that there is an analyst consensus of some upside potential.
Terreno Realty has an average amount of shares sold short because 3.7% of the company's shares are sold short. Institutions own 97.8% of the company's shares, and the insider ownership rate stands at 2.27%, suggesting a decent amount of insider shareholders. The largest shareholder is the Vanguard Group, Inc., whose 14% stake in the company is worth $697,062,467.
