(DEI) Douglas Emmett - Overview
Sector: Real Estate | Industry: REIT - Office | Exchange: NYSE (USA) | Market Cap: 2.341m USD | Total Return: -13.3% in 12m
Avg Turnover: 37.1M
Qual. Beats: 0
Rev. Trend: 6.1%
Qual. Beats: 0
Warnings
High Debt/EBITDA (8.8) with thin interest coverage (0.7)
Interest Coverage Ratio 0.7 is critical
Altman Z'' -0.44 < 1.0 - financial distress zone
Below Avwap Earnings
Tailwinds
Confidence
Douglas Emmett, Inc. (DEI) is a self-managed real estate investment trust (REIT) specializing in office and multifamily assets within the coastal submarkets of Los Angeles and Honolulu. The firm targets high-barrier-to-entry neighborhoods characterized by limited new supply and proximity to affluent executive housing. As a Diversified REIT, the company generates revenue through long-term lease agreements and property management fees across its portfolio.
The business model relies on geographic concentration to achieve economies of scale and dominant market share in specific high-demand corridors. REITs are structurally required to distribute at least 90% of their taxable income to shareholders in the form of dividends, making occupancy rates and rental growth critical drivers of total return. For a deeper look into the companys valuation metrics and historical performance, consider reviewing the data on ValueRay. Douglas Emmett has maintained a consistent presence in its core markets since its incorporation in 1971.
- High-end office occupancy rates in supply-constrained Los Angeles submarkets drive rental income
- Multifamily portfolio expansion in Honolulu and West Los Angeles stabilizes cash flow
- Monetary policy and interest rate fluctuations impact debt servicing costs and valuations
- Return-to-office mandates among entertainment and technology tenants influence long-term lease renewals
- Strategic acquisitions of premier coastal assets determine net asset value growth trajectories
| Net Income: -26.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.01 > 0.02 and ΔFCF/TA -0.49 > 1.0 |
| NWC/Revenue: 33.41% < 20% (prev 55.13%; Δ -21.72% < -1%) |
| CFO/TA 0.04 > 3% & CFO 371.2m > Net Income -26.0m |
| Net Debt (5.24b) to EBITDA (596.4m): 8.78 < 3 |
| Current Ratio: 2.54 > 1.5 & < 3 |
| Outstanding Shares: last quarter (167.5m) vs 12m ago 0.01% < -2% |
| Gross Margin: 24.21% > 18% (prev 0.64%; Δ 2.36k% > 0.5%) |
| Asset Turnover: 10.63% > 50% (prev 10.37%; Δ 0.26% > 0%) |
| Interest Coverage Ratio: 0.73 > 6 (EBITDA TTM 596.4m / Interest Expense TTM 271.1m) |
| A: 0.04 (Total Current Assets 552.8m - Total Current Liabilities 217.6m) / Total Assets 9.30b |
| B: -0.17 (Retained Earnings -1.54b / Total Assets 9.30b) |
| C: 0.02 (EBIT TTM 197.9m / Avg Total Assets 9.44b) |
| D: -0.26 (Book Value of Equity -1.53b / Total Liabilities 5.87b) |
| Altman-Z'' = -0.44 = B |
| DSRI: 0.94 (Receivables 195.5m/206.2m, Revenue 1.00b/993.0m) |
| GMI: 2.65 (GM 24.21% / 64.07%) |
| AQI: 1.02 (AQ_t 0.94 / AQ_t-1 0.92) |
| SGI: 1.01 (Revenue 1.00b / 993.0m) |
| TATA: -0.04 (NI -26.0m - CFO 371.2m) / TA 9.30b) |
| Beneish M = -1.61 (Cap -4..+1) = CCC |
As of June 02, 2026, the stock is trading at USD 11.58 with a total of 3,144,704 shares traded.
Over the past week, the price has changed by +1.05%,
over one month by +5.85%,
over three months by +21.61% and
over the past year by -13.25%.
Douglas Emmett has received a consensus analysts rating of 3.31. Therefore, it is recommended to hold DEI.
- StrongBuy: 2
- Buy: 2
- Hold: 7
- Sell: 2
- StrongSell: 0
| Analysts Target Price | 12.5 | 7.9% |
P/E Forward = 9.0009
P/S = 2.3066
P/B = 1.0301
P/EG = 11.6749
Revenue TTM = 1.00b USD
EBIT TTM = 197.9m USD
EBITDA TTM = 596.4m USD
Long Term Debt = 5.57b USD (from longTermDebt, last quarter)
Short Term Debt = 1.18b USD (from shortTermDebt, last quarter)
Debt = 5.60b USD (from shortLongTermDebtTotal, last quarter) + Leases 10.8m
Net Debt = 5.24b USD (calculated: Debt 5.60b - CCE 357.2m)
Enterprise Value = 7.58b USD (2.34b + Debt 5.60b - CCE 357.2m)
Interest Coverage Ratio = 0.73 (Ebit TTM 197.9m / Interest Expense TTM 271.1m)
EV/FCF = 68.19x (Enterprise Value 7.58b / FCF TTM 111.2m)
FCF Yield = 1.47% (FCF TTM 111.2m / Enterprise Value 7.58b)
FCF Margin = 11.08% (FCF TTM 111.2m / Revenue TTM 1.00b)
Net Margin = -2.59% (Net Income TTM -26.0m / Revenue TTM 1.00b)
Gross Margin = 24.21% ((Revenue TTM 1.00b - Cost of Revenue TTM 760.5m) / Revenue TTM)
Gross Margin QoQ = -13.90% (prev -16.54%)
Tobins Q-Ratio = 0.81 (Enterprise Value 7.58b / Total Assets 9.30b)
Interest Expense / Debt = 4.85% (Interest Expense 271.1m / Debt 5.60b)
Taxrate = 21.0% (US default 21%)
NOPAT = 156.3m (EBIT 197.9m * (1 - 21.00%))
Current Ratio = 2.54 (Total Current Assets 552.8m / Total Current Liabilities 217.6m)
Debt / Equity = 2.99 (Debt 5.60b / totalStockholderEquity, last quarter 1.87b)
Debt / EBITDA = 8.78 (Net Debt 5.24b / EBITDA 596.4m)
Debt / FCF = 47.13 (Net Debt 5.24b / FCF TTM 111.2m)
Total Stockholder Equity = 1.93b (last 4 quarters mean from totalStockholderEquity)
RoA = -0.28% (Net Income -26.0m / Total Assets 9.30b)
RoE = -0.75% (Net Income TTM -26.0m / Total Stockholder Equity 3.47b)
RoCE = 2.19% (EBIT 197.9m / Capital Employed (Equity 3.47b + L.T.Debt 5.57b))
RoIC = 1.52% (NOPAT 156.3m / Invested Capital 10.3b)
WACC = 5.31% (E(2.34b)/V(7.94b) * Re(8.87%) + D(5.60b)/V(7.94b) * Rd(4.85%) * (1-Tc(0.21)))
Discount Rate = 8.87% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 98.88 | Cagr: 0.19%
[DCF] Terminal Value 73.10% ; FCFF base≈131.1m ; Y1≈114.9m ; Y5≈92.9m
[DCF] Fair Price = N/A (negative equity: EV 1.49b - Net Debt 5.24b = -3.75b; debt exceeds intrinsic value)
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.30 | # QB: 0
Revenue Correlation: 6.11 | Revenue CAGR: 0.12% | SUE: 0.11 | # QB: 0
EPS current Quarter (2026-06-30): EPS=-0.04 | Chg30d=+27.91% | Revisions=+20% | Analysts=5
EPS next Quarter (2026-09-30): EPS=-0.04 | Chg30d=+19.08% | Revisions=-20% | Analysts=5
EPS current Year (2026-12-31): EPS=-0.14 | Chg30d=+22.20% | Revisions=+20% | GrowthEPS=-258.4% | GrowthRev=+1.1%
EPS next Year (2027-12-31): EPS=-0.11 | Chg30d=+24.23% | Revisions=+0% | GrowthEPS=+24.1% | GrowthRev=+2.6%
[Analyst] Revisions Ratio: +20%