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Growthpoint Properties (JSE:GRT) Piotroski F-Score : 2 (As of May. 06, 2024)


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What is Growthpoint Properties Piotroski F-Score?

Warning Sign:

Piotroski F-Score of 2 is low, which usually implies poor business operation.

The zones of discrimination were as such:

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Growthpoint Properties has an F-score of 2. It is a bad or low score, which usually implies poor business operation.

The historical rank and industry rank for Growthpoint Properties's Piotroski F-Score or its related term are showing as below:

JSE:GRT' s Piotroski F-Score Range Over the Past 10 Years
Min: 1   Med: 3   Max: 5
Current: 2

During the past 13 years, the highest Piotroski F-Score of Growthpoint Properties was 5. The lowest was 1. And the median was 3.


Growthpoint Properties Piotroski F-Score Historical Data

The historical data trend for Growthpoint Properties's Piotroski F-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Growthpoint Properties Piotroski F-Score Chart

Growthpoint Properties Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Piotroski F-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.00 2.00 4.00 5.00 2.00

Growthpoint Properties Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Piotroski F-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - 5.00 - 2.00 -

Competitive Comparison of Growthpoint Properties's Piotroski F-Score

For the REIT - Diversified subindustry, Growthpoint Properties's Piotroski F-Score, along with its competitors' market caps and Piotroski F-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Growthpoint Properties's Piotroski F-Score Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Growthpoint Properties's Piotroski F-Score distribution charts can be found below:

* The bar in red indicates where Growthpoint Properties's Piotroski F-Score falls into.


How is the Piotroski F-Score calculated?

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

This Year (Jun23) TTM:Last Year (Jun22) TTM:
Net Income was R2,356 Mil.
Cash Flow from Operations was R1,748 Mil.
Revenue was R13,740 Mil.
Gross Profit was R9,772 Mil.
Average Total Assets from the begining of this year (Jun22)
to the end of this year (Jun23) was (164729 + 171976) / 2 = R168352.5 Mil.
Total Assets at the begining of this year (Jun22) was R164,729 Mil.
Long-Term Debt & Capital Lease Obligation was R70,281 Mil.
Total Current Assets was R5,263 Mil.
Total Current Liabilities was R3,712 Mil.
Net Income was R7,937 Mil.

Revenue was R13,048 Mil.
Gross Profit was R9,445 Mil.
Average Total Assets from the begining of last year (Jun21)
to the end of last year (Jun22) was (154455 + 164729) / 2 = R159592 Mil.
Total Assets at the begining of last year (Jun21) was R154,455 Mil.
Long-Term Debt & Capital Lease Obligation was R64,683 Mil.
Total Current Assets was R5,315 Mil.
Total Current Liabilities was R3,647 Mil.

*Note: If the latest quarterly/semi-annual/annual total assets data is 0, then we will use previous quarterly/semi-annual/annual data for all the items in the balance sheet.

Profitability

Question 1. Return on Assets (ROA)

Net income before extraordinary items for the year divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Growthpoint Properties's current Net Income (TTM) was 2,356. ==> Positive ==> Score 1.

Question 2. Cash Flow Return on Assets (CFROA)

Net cash flow from operating activities (operating cash flow) divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Growthpoint Properties's current Cash Flow from Operations (TTM) was 1,748. ==> Positive ==> Score 1.

Question 3. Change in Return on Assets

Compare this year's return on assets (1) to last year's return on assets.

Score 1 if it's higher, 0 if it's lower.

ROA (This Year)=Net Income/Total Assets (Jun22)
=2356/164729
=0.01430228

ROA (Last Year)=Net Income/Total Assets (Jun21)
=7937/154455
=0.05138714

Growthpoint Properties's return on assets of this year was 0.01430228. Growthpoint Properties's return on assets of last year was 0.05138714. ==> Last year is higher ==> Score 0.

Question 4. Quality of Earnings (Accrual)

Compare Cash flow return on assets (2) to return on assets (1)

Score 1 if CFROA > ROA, 0 if CFROA <= ROA.

Growthpoint Properties's current Net Income (TTM) was 2,356. Growthpoint Properties's current Cash Flow from Operations (TTM) was 1,748. ==> 1,748 <= 2,356 ==> CFROA <= ROA ==> Score 0.

Funding

Question 5. Change in Gearing or Leverage

Compare this year's gearing (long-term debt divided by average total assets) to last year's gearing.

Score 0 if this year's gearing is higher, 1 otherwise.

Gearing (This Year: Jun23)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Jun22 to Jun23
=70281/168352.5
=0.41746336

Gearing (Last Year: Jun22)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Jun21 to Jun22
=64683/159592
=0.40530227

Growthpoint Properties's gearing of this year was 0.41746336. Growthpoint Properties's gearing of last year was 0.40530227. ==> Last year is lower than this year ==> Score 0.

Question 6. Change in Working Capital (Liquidity)

Compare this year's current ratio (current assets divided by current liabilities) to last year's current ratio.

Score 1 if this year's current ratio is higher, 0 if it's lower

Current Ratio (This Year: Jun23)=Total Current Assets/Total Current Liabilities
=5263/3712
=1.41783405

Current Ratio (Last Year: Jun22)=Total Current Assets/Total Current Liabilities
=5315/3647
=1.45736222

Growthpoint Properties's current ratio of this year was 1.41783405. Growthpoint Properties's current ratio of last year was 1.45736222. ==> Last year's current ratio is higher ==> Score 0.

Question 7. Change in Shares in Issue

Compare the number of shares in issue this year, to the number in issue last year.

Score 0 if there is larger number of shares in issue this year, 1 otherwise.

Growthpoint Properties's number of shares in issue this year was 3420.915. Growthpoint Properties's number of shares in issue last year was 3419.088. ==> There is larger number of shares in issue this year. ==> Score 0.

Efficiency

Question 8. Change in Gross Margin

Compare this year's gross margin (Gross Profit divided by sales) to last year's.

Score 1 if this year's gross margin is higher, 0 if it's lower.

Gross Margin (This Year: TTM)=Gross Profit/Revenue
=9772/13740
=0.71120815

Gross Margin (Last Year: TTM)=Gross Profit/Revenue
=9445/13048
=0.72386573

Growthpoint Properties's gross margin of this year was 0.71120815. Growthpoint Properties's gross margin of last year was 0.72386573. ==> Last year's gross margin is higher ==> Score 0.

Question 9. Change in asset turnover

Compare this year's asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year's asset turnover ratio.

Score 1 if this year's asset turnover ratio is higher, 0 if it's lower

Asset Turnover (This Year)=Revenue/Total Assets at the Beginning of This Year (Jun22)
=13740/164729
=0.08340972

Asset Turnover (Last Year)=Revenue/Total Assets at the Beginning of Last Year (Jun21)
=13048/154455
=0.08447768

Growthpoint Properties's asset turnover of this year was 0.08340972. Growthpoint Properties's asset turnover of last year was 0.08447768. ==> Last year's asset turnover is higher ==> Score 0.

Evaluation

Piotroski F-Score= Que. 1+ Que. 2+ Que. 3+Que. 4+Que. 5+Que. 6+Que. 7+Que. 8+Que. 9
=1+1+0+0+0+0+0+0+0
=2

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Growthpoint Properties has an F-score of 2. It is a bad or low score, which usually implies poor business operation.

Growthpoint Properties  (JSE:GRT) Piotroski F-Score Explanation

The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.

He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.

In 2000, he wrote a research paper called "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers" (pdf).

He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.

What he found was something that exceeded his most optimistic expectations.

Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.

Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).

Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.


Growthpoint Properties Piotroski F-Score Related Terms

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Growthpoint Properties (JSE:GRT) Business Description

Traded in Other Exchanges
Address
The Place, 1 Sandton Drive, PO Box 78949, Sandton, GT, ZAF, 2196
Growthpoint Properties Ltd is a property investment holding company engaged in the ownership of a variety of properties in South Africa and Australia. The company generates majority of its revenue from the Retail and office segments. These buildings, which are mainly office parks and low rises, are also Growthpoint's maximum valuable real estate assets. The operating segments of the company include Retail, Office, Industrial, Trading and Development, V&A Waterfront, Healthcare (GHPH), Student Accommodation (GSAH), Lango, GWI, GOZ and C&R.

Growthpoint Properties (JSE:GRT) Headlines

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