Awarener easy mode Awarener analytic mode

Fundamental analysis: City Office REIT, Inc. (CIO)

Awarener score: 8.2

Conclusion

The higher the Awarener score, the more bang you get for the buck. It measures how much genuine funds the company generates for the stock price paid (Superb), the business stability (Average) and growth (Poor), and the company's inclination to return cash to the stockholders (Superb).

Note: All scores range from 1 (worst) to 10 (best). Conclusions are updated daily with closing stock prices and new reported quarterly financial statements.

Revenue score: 4.5

  • Business has been shrinking. It's been almost average when measured against peer companies.
  • City Office REIT, Inc. business trend stability is run-of-the-mill. The higher the stability, the lower the risk. It looks worse than most rivals.

Margins score: 9.7

  • CIO profit margins -on goods and services sold- are usually excellent. They stand slightly worse than rival companies.
  • Business profit on sales tends to be excellent. It's almost average when measured against competitors.
  • Profits on sales made -available to repay debt and purchase properties- are usually huge. They remain impressive in relation to peers.
  • Earnings -before income taxes and interests on loans taken- tend to be huge in relation to total revenues. They're still top-notch against similar companies.
  • Profits -before income taxes- are usually huge considering total sales, and remain top tier when measured against rivals.
  • Total net profit tends to be huge when confronted to sales. Company stands top tier when measured against comparable firms.

Growth score: 4.6

  • City Office REIT, Inc. profit growth -on goods and services sold- has been almost stagnant. It's been in a weak position compared to competitors.
  • In recent years, earnings -on operations- have been growing at a normal step, which has been somewhat better than comparable firms.
  • Profits -available to repay debt and purchase properties- have been growing at an extremely fast pace, which compares top tier when measured against peer enterprises.
  • Earnings -before income taxes and interests on loans taken- have been growing at an extremely fast tempo. It turns to be impressive in relation to similar stocks.
  • In past years, at least once the company lost money -before income taxes-. It was bottom tier against rivals.
  • In the previous years, the firm had at least a total net loss, and last-in-rank when measured against peer companies.
  • The company lost money at least once in the past years. It's been a disappointment compared to industry peers.

Miscellaneous score: 9.0

  • CIO managed to pay no income taxes on profits made in the past years, sometimes even got a credit. It's been slightly better than peers.
  • The company does not report R&D expenses. It's meaningless to measure in relation to competitors.
  • We have insufficient data to estimate how effective is research and development effort. It stands unknown against rival companies.

Profitability score: 8.8

  • City Office REIT, Inc. usually gets excellent returns on the resources it controls. It proves top tier when measured against peer firms.
  • The company normally gets excellent proceeds -on the resources directly invested in the business-. They remain impressive in relation to similar companies.
  • There's usually excellent profitability -in relation to owned resources-. It ranks top tier when measured against competitors.
  • In the past, got very good returns -on the tangible resources it controls-. This metric is usually related to the industry in which operates and combines profitability versus reinvestment needs. It's top tier when measured against comparable enterprises.

Usage of Funds score: 5.0

  • CIO usually uses a significant portion of genuine funds generated to buy or replace property, plant, or equipment. The need for reinvestments is abundant. It stands top tier when measured against rival firms.
  • The company is usually replacing part of the property, plant, and equipment that gets old, keeping some funds for something else. It can't keep forever, which is encouraging in relation to industry peers.
  • In the past twelve months it paid outstanding dividends, considering the current stock price. It came top-notch against competitors.
  • In recent years, has cut back dividend payments. It could be traversing challenging times. The company has behaved in a weak position compared to similar firms.
  • The company usually uses a portion of genuine funds generated to pay dividends. Dividend payments should be safe, unless business prospects are challenged. Sustainability looks better than most comparable companies.
  • The company usually enlarges quite a bit the pool of investors, resulting in more mouths feeding on the pie of profits. It remains in a very weak position compared to peer enterprises.
  • Repurchase effectiveness metric is very complex. Run again in analytical mode if you're interested in a technical explanation. It stands rather normal in relation to rivals.
  • The company uses a large portion of genuine fund generation to reward investors, which can probably be sustained for as long as business doesn't turn sour. It still looks encouraging in relation to competitors.

Balance Sheet score: 5.6

  • City Office REIT, Inc. intangible assets (like brands and goodwill) represent a very small portion of resources controlled, according to accounting books, which is mostly safe. It happens to be substantially worse when measured against peer companies.
  • The company has a lot more short-term resources than short-term obligations. Liquidity concerns are most likely irrelevant. It turns to be excellent in relation to similar firms.
  • Almost no resources controlled were provided for with financial debt. Financial strength is great. Company could significantly increase debt if it wished so, to reinvest in business, to buy a smaller company or to reward stockholders. It remains somewhat better than rival firms.
  • Controlled resources might be only very slowly turned into cash and equivalents, which is riskier. It looks substantially worse when measured against rivals.
  • For every dollar of short-term obligations, the company has a lot of dollars in cash and short-term receivables. It's excellent in relation to peer firms.
  • For every dollar of short-term obligations, the company has enough dollars in cash and equivalents, which is well ranked against similar enterprises.
  • Usually, sales are on somewhat more than three months credit. It still ranks below average when measured against peers.
  • Normally has no inventories. It comes up as impressive in relation to competitors.
  • On average, it takes higher than four months from the purchase to charging customers. It happens to be somewhat worse than peers.
  • Pays suppliers mostly in cash. It ranks last-in-rank when measured against industry peers.
  • The company pays its suppliers four months or more before charging its customers, so there's significant money invested in working capital. It's a disappointment compared to similar companies.
  • Net interest expenses consume a minor portion of usual business earnings, and are largely bearable. It stands well ranked against rival firms.
  • Business earnings have usually been great when measured against loans taken. Debt might be repaid almost as soon as desired. It ranks great when measured against comparable enterprises.
  • Fixed assets turnover remains undisclosed. It looks we cannot relate it to similar firms.
  • Resource exploitation is very low when yearly sales are considered, business volume must be greatly increased. This metric is normally tied to the industry where the firm belongs. It's still mediocre against peer companies.

Valuation score: 8.6

  • City Office REIT, Inc. looks extremely cheap in relation to profits and financial position. It happens to be top tier when measured against competitors.
  • Price-to-Tangible-Book-Value is a fairly complex metric. Run again in analytical mode if you're interested in a technical explanation. It remains excellent in relation to peers.
  • In the past twelve months, the company neither generated nor consumed funds. Whatever funds it could get, it reinvested in the business, which stands worse than most similar companies.
  • The company usually generates plenty more genuine funds to cover up for its business needs. Surplus cash may be used to repay loans, to eventually buy new businesses, or to reward investors. Considering the financial position and stock price, at the current price the share looks to be very attractive. It's still great when measured against industry firms.
  • In the past twelve months, the company has significantly rewarded investors, considering both dividends and share on the pie of earnings. It came up excellent in relation to peer ventures.
  • The company has neither net debt nor net cash. It may borrow extra money if it wishes so, or start cumulating cash for future uses. It looks slightly better than similar enterprises.
  • Considering the past twelve months, traditional Price-to-Earnings relation looks extremely cheap. Possible reasons are that the market might be betting current earnings will be very hard to sustain through time, or that the company has very high fund needs, a weak financial position, or that earnings aren't representative. If that isn't the case, the stock price could be extremely attractive. It ranks top tier when measured against peer companies.
  • Comparing the current stock price with the past twelve-months revenues gives a three or four to one relationship. This is an important metric to check its evolution through time, and to compare to industry peers. It looks a slight improvement compared to rival firms.
  • The stock price is significantly below the accounting book value. Unless profitability is extremely low, the stock may be selling at a large discount. Pay attention to the other key indicators for hints. The company remains better than most peer firms.
  • In the past twelve months, the operating business earned huge money when compared to the current stock price and financial position. It happens to be top tier when measured against industry peers.
  • In an alternate metric of bang for the buck, the company has usually shown an extreme earnings power ability when measured against the current stock price and financial position. Further analysis is recommended, as the stock might currently be significantly undervalued. It's still impressive in relation to peer companies.

Total score: 7.0


CIO logos

Company at a glance: City Office REIT, Inc. (CIO)

Sector, industry: Real Estate, REIT—Office

Market Cap: 0.37 billions

Revenues TTM: 0.13 billions

City Office REIT, Inc. (NYSE: CIO) invests in high-quality office properties in 18-hour cities with strong economic fundamentals, primarily in the Southern and Western United States. At September 30, 2020, CIO owned office complexes comprising 5.8 million square feet of net rentable area (“NRA”).

Awarener score: 8.2

Conclusion

The higher the Awarener score, the more bang you get for the buck. It measures how much genuine funds the company generates for the stock price paid (Superb), the business stability (Average) and growth (Poor), and the company's inclination to return cash to the stockholders (Superb).