Last Wednesday, in a series of three separate transactions, chairman/owner Chaim Catzman accumulated nearly 1.9 million dollars worth of stock with his own money.
EQY – Profile
EQY is a Real Estate Investment Trust, and pays a high yielding dividend of 5.4%. The company develops, acquires, manages, and renovates shopping centers in the United States. These are the typical shopping centers anchored by large supermarkets and drug stores. As of December 31, 2006, the companys property portfolio consisted of 179 properties, including 166 shopping centers, 6 development parcels, and 7 non-retail properties. As a REIT, Equity One would not be subject to federal tax to the extent that it distributes at least 90% of its taxable income to its shareholders. The company was founded in 1992 and is based in North Miami Beach, Florida with an additional office in Israel.
Jim Kramer Takes Note of EQY
Yesterday, at Stock Watch, Jim Kramer acknowledged the insider buy transaction and reviewed the companies balance sheet and earnings reports and thus ranked this stock as a buy. The shares jumped a bit late this week along with the broader stock market and on the insider trading news made popular by Jim Kramer.
Fundamentals of EQY
Total market capitalization is just under two billion. The price to sales ratio is a costly 5.95. Quarterly revenue growth year over year last quarter was a juicy 24%. As with most REITs, total debt to equity is high – 82.95. The stock is held significantly by its insiders, at 41%. This is quite high indeed. Institutions own another 52% of the stock, leaving little float.
Earnings Growth Estimates
Analysts estimate earnings growth this year of 55%, but they predict that earnings will shrink by 25% for next year. Over the next 5 years, the consensus is slower growth than most sectors of the S&P 500 with only 4.1% per year. This includes the index itself, which is forecast to grow about 11% per year. Revenue, however is expected to continue growth next year.
Weekly long term chart of chart of EQY:
