American Assets Trust has been acquiring, improving, developing and managing premier retail, office and residential properties throughout the United States. The company was founded in 1967 and is based in San Diego, California.
AAT Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for American Assets Trust Inc. To summarize, we found that American Assets Trust Inc ranked in the 50th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 10.67% on a DCF basis. In terms of the factors that were most noteworthy in this DCF analysis for AAT, they are:
The company's compound free cash flow growth rate over the past 4.51 years comes in at 0.37%; that's greater than 73.4% of US stocks we're applying DCF forecasting to.
American Assets Trust Inc's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than merely 0% of US stocks with positive free cash flow.
The weighted average cost of capital for the company is 9. This value is greater than 63.2% stocks in the Real Estate sector that generate free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Real Estate that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as AAT, try RLGY, WY, CORR, FR, and GLPI.
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Ladies and gentlemen, thank you for standing by, and welcome to the Q2 2020 American Assets Trust, Inc. Earnings Call. Actual events could cause our results to differ materially from these forward-looking statements, which we undertake no duty to update.