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HomeCo Daily Needs REIT (ASX:HDN) Profitability Rank : 4 (As of Dec. 2023)


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What is HomeCo Daily Needs REIT Profitability Rank?

HomeCo Daily Needs REIT has the Profitability Rank of 4.

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way. It is based on these factors:

1. Operating Margin %
2. Piotroski F-Score
3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.
4. Consistency of the profitability
5. Predictability Rank

HomeCo Daily Needs REIT's Operating Margin % for the quarter that ended in Dec. 2023 was 67.43%. As of today, HomeCo Daily Needs REIT's Piotroski F-Score is 9999.


Competitive Comparison of HomeCo Daily Needs REIT's Profitability Rank

For the REIT - Retail subindustry, HomeCo Daily Needs REIT's Profitability Rank, along with its competitors' market caps and Profitability Rank 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.


HomeCo Daily Needs REIT's Profitability Rank Distribution in the REITs Industry

For the REITs industry and Real Estate sector, HomeCo Daily Needs REIT's Profitability Rank distribution charts can be found below:

* The bar in red indicates where HomeCo Daily Needs REIT's Profitability Rank falls into.



HomeCo Daily Needs REIT Profitability Rank Calculation

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

HomeCo Daily Needs REIT has the Profitability Rank of 4.

Profitability Rank is not directly related to the Financial Strength. But if a company is consistently profitable, its financial strength will be stronger.

Profitability Rank is based on these factors:

1. Operating Margin %

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

HomeCo Daily Needs REIT's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=120.5 / 178.7
=67.43 %

* 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.

2. Piotroski F-Score

The zones of discrimination were as such:

Good or high score = 8 or 9
Bad or low score = 0 or 1

HomeCo Daily Needs REIT has an F-score of 9999. It is a bad or low score, which usually implies poor business operation.

3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.

4. Consistency of the profitability

5. Predictability Rank


HomeCo Daily Needs REIT Profitability Rank Related Terms

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HomeCo Daily Needs REIT (ASX:HDN) Business Description

Traded in Other Exchanges
N/A
Address
1 Macquarie Place, Level 7, Gateway, Sydney, NSW, AUS, 2000
HomeCo Daily Needs REIT, or HomeCo, is an externally managed property trust run by HMC Capital which also runs HealthCo Healthcare and Wellness REIT and unlisted funds. HomeCo targets 50% of assets in neighbourhood malls, 30% large-format, and 20% in health and services. After merging with Aventus Retail REIT in 2022, HomeCo is overweight large-format (just under half its portfolio) and underweight neighbourhood (one third of the portfolio), with health and services slightly below target. The plan is to move back to the target via redevelopment and tenant remixing, and potentially acquisitions. HomeCo seeks tenant leases before commencing developments, so we expect development opportunities will arise gradually, as population growth adds demand in HomeCo's catchments.

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