Investment Thesis
TANGER demonstrates solid profitability with 18.8% net margins and strong free cash flow generation (24.2% FCF margin), but the capital structure is heavily leveraged at 2.78x debt-to-equity with weak returns on equity (4.2%) and assets (1.0%), raising sustainability concerns. Critical debt service metrics and liquidity ratios are unavailable, limiting ability to fully assess financial health.
Strengths
- Strong net profit margin of 18.8% demonstrates operational profitability
- Robust free cash flow generation at $36.3M (24.2% of revenue) provides debt servicing capability
- Adequate liquidity with $207.4M in cash and equivalents
Risks
- Excessive leverage with debt-to-equity ratio of 2.78x and $1.9B long-term debt threatens equity cushion
- Critically low return on equity (4.2%) and return on assets (1.0%) indicate inefficient capital deployment despite acceptable margins
- Missing interest coverage ratio and current ratio prevent assessment of debt service capacity and short-term liquidity adequacy
Key Metrics to Watch
- Interest coverage ratio (must exceed 2.5x minimum for REIT safety)
- Debt reduction trajectory and leverage ratio trends
- Year-over-year revenue and operating cash flow growth rates
Financial Metrics
Revenue
150.4M
Net Income
28.3M
EPS (Diluted)
$0.24
Free Cash Flow
36.3M
Total Assets
2.8B
Cash
207.4M
Profitability Ratios
Gross Margin
N/A
Operating Margin
N/A
Net Margin
18.8%
ROE
4.2%
ROA
1.0%
FCF Margin
24.2%
Balance Sheet & Liquidity
Current Ratio
N/A
Quick Ratio
N/A
Debt/Equity
2.78x
Debt/Assets
75.4%
Interest Coverage
N/A
Long-term Debt
1.9B
Disclaimer: This analysis is generated by AI based on publicly available SEC EDGAR filings.
It does not include stock price data and should not be considered financial advice.
All fundamental data is sourced from SEC public domain filings.
Always conduct your own research before making investment decisions.
Data Source: SEC EDGAR |
Analysis Date: 2026-05-06T18:52:47.632168 |
Data as of: 2026-03-31 |
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