Douglas Emmett, Inc. (DEI) vs Kilroy Realty Corporation (KRC)

Douglas Emmett, Inc. and Kilroy Realty Corporation are both Reit Office companies. Kilroy Realty Corporation is the larger, with a market value of $4.0B against $1.6B — 2.5× the size. Douglas Emmett, Inc. has negative trailing earnings, so its P/E is not meaningful; Kilroy Realty Corporation trades at 23.9×. Douglas Emmett, Inc. grew revenue faster over the last twelve months: 0.78% against −3.76%. Kilroy Realty Corporation has the higher net margin (15.4% vs −2.28%) and the higher return on invested capital (1.73% vs 1.35%). Both pay a dividend; Kilroy Realty Corporation yields more (6.21% vs 5.58%). Across the 22 metrics below, Kilroy Realty Corporation leads on 17 and Douglas Emmett, Inc. on 5.

Valuation

Metric DEI KRC Reit Office median
P/E n/m 23.94 38.94
P/S 1.63 3.64 2.92
P/B 0.47 0.73 0.78
Price to free cash flow 25.54 19.18 14.22
EV/EBITDA 11.73 12.77 12.77
EV/Sales 6.96 7.55 7.03
Earnings yield (1.53%) 4.18% (3.43%)
Free cash flow yield 3.92% 5.21% 5.85%

Profitability

Metric DEI KRC Reit Office median
Gross margin 63.18% 65.38% 60.53%
Operating margin 19.00% 24.68% 16.84%
Net margin (2.28%) 15.39% (8.23%)
Free cash flow margin 6.39% 18.97% 16.39%
Return on equity (0.65%) 3.05% (2.66%)
Return on assets (0.24%) 1.57% (0.95%)
Return on invested capital 1.35% 1.73% 1.32%

Growth

Metric DEI KRC Reit Office median
Revenue growth (TTM) 0.78% (3.76%) 1.08%
EPS growth (last fiscal year) (30.77%) 29.61% —
Revenue growth, 5-year CAGR 2.40% 4.37% 4.37%
Net income growth, 5-year CAGR (20.25%) 8.28% 0.00%

Health

Metric DEI KRC Reit Office median
Debt to equity 1.63 0.83 1.20
Current ratio 2.60 2.65 2.43
Net debt to EBITDA 8.73 6.56 6.91

Dividend

Metric DEI KRC Reit Office median
Dividend yield 5.58% 6.21% 6.16%
Payout ratio 2.58 1.04 1.38

Size

Metric DEI KRC Reit Office median
Market cap 1.62b 4.00b 1.39b

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