Home Dividends High Dividend Yield Love or Hate: Franklin Street Properties Corp. (AMEX: FSP)

Love or Hate: Franklin Street Properties Corp. (AMEX: FSP)

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Franklin Street Properties Corp. trades as part of the real estate sector and is part of the REITs industry. The company CEO is George J. Carter. Franklin Street Properties Corp operates as a real estate investment trust focused on commercial real estate investments in office markets.

Previous Intraday Trading Performance:

The FSP stock showed a previous change of 1.98% with an open at 7.12 and a close of 7.22. It reached an intraday high of 7.23 and a low of 7.09.

SeekingAlpha:  Franklin Street Properties Corp (FSP) CEO George Carter on Q4 2018 Results – Earnings Call Transcript

Liquidity:

The stock has a market cap of $774.2m with 107.2m shares outstanding, of which the float is 105.4m shares. Trading volume reached 278,911 shares compared to its average volume of 378,601 shares. Based on the current average volume and close price, the trading liquidity is bad, highly speculative and an investor may want to avoid this stock.

Historical Trading Performance:

Over the last five trading days, Franklin Street Properties Corp. shares returned 6.33% and in the past 30 trading days it returned -1.63%. Over three months, it changed 0.49%. In one year it has changed -10.37% and within that year its 52-week high was 9.22 and its 52-week low was 5.87. FSP stock is 23.00% above its 52 Week Low.

Our calculations show a 200 day moving average of 7.60 and a 50 day moving average of 7.12. Currently FSP stock is trading -4.95% below its 200 day moving average and may be a good opportunity to buy, but should check other indicators to confirm a buy signal.

SeekingAlpha:  Franklin Street Properties Corp (FSP) CEO George Carter on Q4 2018 Results – Earnings Call Transcript

Earnings:

The last annual fiscal EPS for the company was reported at 0.96 that ended on 31st of December 2018, which according to the previous close, that is a PE of 60.17. Based on 4 analyst estimates, the consensus EPS for the next quarter is 0.23. The TTM EPS is 0.96, which comes to a TTM PE of 7.52.

The following are the last four quarter reported earnings per share:
12-31-2018:  0.23
09-30-2018:  0.24
06-30-2018:  0.24
03-31-2018:  0.25

The dividend per share is currently 0.36, which is a dividend yield of 4.99%. Also, the payout ratio is 37.50%, therefore the dividend is safe according to our calculations. FSP stock has a high dividend yield, but because the company has sufficient earnings to cover future dividends, it may be a good investment opportunity for an income portfolio.

Base on our calculations, the intrinsic value per share is 3.05, which means it may be overvalued by -136.74%

Indicators to Watch:

Based on the latest filings, there is 121.20% of institutional ownership. Short-interest is 2,181,483, which is 2.03% of shares outstanding. The short-interest ratio or days-to-cover ratio is 5.96. This stock has some short interest, but it may be normal and no cause for concern if long the position.

The current calculated beta is 1.22

SeekingAlpha:  Franklin Electric beats by $0.03, beats on revenue

Fundamental Indicators:

Based on last reported financials, the company’s return on equity is 1.56%, return on assets is 0.69%, profit margin is 4.95%, price-to-sales is 2.82 and price-to-book is 0.91.

Company Scores:

All scores are out of six:
 1  :Valuation Score
 1  :Past Performance Score
 1  :Financial Strength Score
 0  :Future Growth Score
 4  :Dividend Score
 1  :Overall Score

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John Jones
Worked for several Wall Street firms: Salomon Smith Barney, UBS, and Charles Schwab. Has developed skills and gained extensive experience over the years that is used today to uncover winning penny stocks.Also was an attorney for small businesses in Scottsdale, Arizona. That experience and understanding of law provides a unique perspective and edge in discovering quality companies in various industries.