Head to Head Survey: Alexander & Baldwin (ALEX) vs. Its Peers

Alexander & Baldwin (NYSE: ALEX) is one of 66 publicly-traded companies in the “Real Estate Development & Operations” industry, but how does it compare to its competitors? We will compare Alexander & Baldwin to related companies based on the strength of its analyst recommendations, profitability, risk, earnings, dividends, valuation and institutional ownership.

Valuation and Earnings

This table compares Alexander & Baldwin and its competitors top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Alexander & Baldwin $387.50 million -$10.20 million 75.62
Alexander & Baldwin Competitors $438.08 million $33.80 million 1,313.41

Alexander & Baldwin’s competitors have higher revenue and earnings than Alexander & Baldwin. Alexander & Baldwin is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Volatility and Risk

Alexander & Baldwin has a beta of 1.45, meaning that its stock price is 45% more volatile than the S&P 500. Comparatively, Alexander & Baldwin’s competitors have a beta of 0.58, meaning that their average stock price is 42% less volatile than the S&P 500.

Dividends

Alexander & Baldwin pays an annual dividend of $0.28 per share and has a dividend yield of 1.0%. Alexander & Baldwin pays out 75.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Real Estate Development & Operations” companies pay a dividend yield of 1.6% and pay out 42.6% of their earnings in the form of a dividend. Alexander & Baldwin has raised its dividend for 4 consecutive years. Alexander & Baldwin lags its competitors as a dividend stock, given its lower dividend yield and higher payout ratio.

Profitability

This table compares Alexander & Baldwin and its competitors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Alexander & Baldwin 4.15% 3.89% 2.18%
Alexander & Baldwin Competitors -1.43% -0.50% 1.75%

Analyst Recommendations

This is a breakdown of recent ratings for Alexander & Baldwin and its competitors, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Alexander & Baldwin 0 0 1 0 3.00
Alexander & Baldwin Competitors 154 364 818 9 2.51

Alexander & Baldwin presently has a consensus target price of $50.00, suggesting a potential upside of 78.70%. As a group, “Real Estate Development & Operations” companies have a potential upside of 29.76%. Given Alexander & Baldwin’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Alexander & Baldwin is more favorable than its competitors.

Insider & Institutional Ownership

78.2% of Alexander & Baldwin shares are owned by institutional investors. Comparatively, 35.8% of shares of all “Real Estate Development & Operations” companies are owned by institutional investors. 7.6% of Alexander & Baldwin shares are owned by insiders. Comparatively, 41.1% of shares of all “Real Estate Development & Operations” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Alexander & Baldwin beats its competitors on 8 of the 15 factors compared.

Alexander & Baldwin Company Profile

Alexander & Baldwin, Inc. (A&B) is a real estate company. The Company operates through three segments: Commercial Real Estate, Land Operations, and Materials and Construction. In addition to its 15 retail centers in Hawaii, the Company owned seven industrial assets, seven office properties and a portfolio of urban ground leases comprising 106 acres in Hawaii, as of December 31, 2016. On the United States mainland, the Company owned seven remaining commercial assets, as of December 31, 2016. The Commercial Real Estate segment owns, operates and manages retail, industrial and office properties in Hawaii and on the Mainland. The Land Operations segment manages the Company’s land and real estate-related assets and deploys these assets to their use. The Materials and Construction segment performs asphalt paving as prime contractor and subcontractor; imports and sells liquid asphalt; mines, processes and sells basalt aggregate, and produces and sells asphaltic and ready-mix concrete.

Receive News & Ratings for Alexander & Baldwin Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Alexander & Baldwin and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply