MeritValue

STRATUS PROPERTIES INC

STRSdata completeness 88%16 fiscal years on file

Data notes: no data for concept 'totalDebt'

The thesis, from the filings

STRATUS PROPERTIES INC earns about 8% on invested capital, with a roughly flat share count. The applicable estimate puts fair value near $3.57 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$28.2M1$37.5M2$17.3M2$34.9M3$10.6M3
Net income$63.2M4$89.7M5−$16.5M6−$1.91M7$2.8M7
Operating cash flow−$53.6M8−$55.3M9−$51.3M10−$5.84M11−$29.9M11
Capital expenditure$19.6M12$54.8M13$46M14$29.1M15$8.15M15
Free cash flow (derived)−$73.2M8−$110.1M9−$97.2M10−$35M11−$38M11
Total debt—————
Cash & equivalents$24.2M16$37.7M17$31.4M18$20.2M19$74.3M19
Diluted shares8.3M8.2M8.0M8.2M8.1M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$251
your share of equity
Profit it earned you last year
$3.44
Free cash flow it threw off
−$46.69
Debt you’d be carrying
—

10 shares is a claim on $251 of net worth that earned you $3.44 and generated −$46.69 of cash last year.

iii. Is this a good business?
Moat signal · return on invested capital
8% avg · 5y
FY21 50%FY22 -3%FY23 -7%FY24 -1%FY25 3%

It earned an average 8% on invested capital over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
−2% shares · 5y

Share count is roughly flat over 5 years — little dilution, little buyback.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0
DCF · Growth Exit 10Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
DCF · Growth Exit 5Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
Earnings Power Value
$3.57
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$2.8M
  • growthAssumed0.0%
Graham Number
$28.81
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0000885508-23-000017 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0000885508-24-000029 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2024-12-31 · accession 0000885508-26-000017 (RevenueFromContractWithCustomerIncludingAssessedTax)
  4. 10-K · period ending 2021-12-31 · accession 0000885508-23-000017 (ProfitLoss)
  5. 10-K · period ending 2022-12-31 · accession 0000885508-24-000029 (ProfitLoss)
  6. 10-K · period ending 2023-12-31 · accession 0000885508-25-000022 (ProfitLoss)
  7. 10-K · period ending 2024-12-31 · accession 0000885508-26-000017 (ProfitLoss)
  8. 10-K · period ending 2021-12-31 · accession 0000885508-23-000017 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2022-12-31 · accession 0000885508-24-000029 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2023-12-31 · accession 0000885508-25-000022 (NetCashProvidedByUsedInOperatingActivities)
  11. 10-K · period ending 2024-12-31 · accession 0000885508-26-000017 (NetCashProvidedByUsedInOperatingActivities)
  12. 10-K · period ending 2021-12-31 · accession 0000885508-23-000017 (PaymentsForCapitalImprovements)
  13. 10-K · period ending 2022-12-31 · accession 0000885508-24-000029 (PaymentsForCapitalImprovements)
  14. 10-K · period ending 2023-12-31 · accession 0000885508-25-000022 (PaymentsForCapitalImprovements)
  15. 10-K · period ending 2024-12-31 · accession 0000885508-26-000017 (PaymentsForCapitalImprovements)
  16. 10-K · period ending 2021-12-31 · accession 0000885508-23-000017 (CashAndCashEquivalentsAtCarryingValue)
  17. 10-K · period ending 2022-12-31 · accession 0000885508-24-000029 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2023-12-31 · accession 0000885508-25-000022 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2024-12-31 · accession 0000885508-26-000017 (CashAndCashEquivalentsAtCarryingValue)