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AAT American Assets Trust, Inc. - Fundamental Analysis

BEARISH
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AAT Stock | Fundamental Analysis & Investment Insights
NYSE Real Estate REIT - Diversified
Current Price Live
$17.98
Analyst Target
$18.0
+0.1% Upside
52W High
$25.06
52W Low
$16.69

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Confidence Score
85%
Analysis Accuracy
The Advanced Deterministic Scorecard reveals a weak financial health profile with a Piotroski F-Score of 4/9, indicating borderline stability, and a concerning lack of Altman Z-Score data, which raises transparency risks. Despite a high dividend yield of 7.51%, the payout ratio of 132.84% is unsustainable, supported by collapsing earnings—YoY EPS down 75% and revenue down 10.8%. Valuation metrics are mixed, with a Price/Book below 1 but a high Forward P/E of 24.97, while technical and analyst signals are uniformly bearish. The company has underperformed peers over 1Y, 3Y, and 5Y, with no insider buying and weak earnings consistency in recent quarters.

Key Strengths

Dividend yield is high at 7.51%, potentially attractive for income-seeking investors
Price/Book ratio of 0.94 suggests the stock trades below book value
Current and quick ratios are strong at 3.50 and 3.33, indicating solid short-term liquidity
Gross margin remains healthy at 62.81%, reflecting pricing power or cost control in operations
Analyst target price of $18.00 is marginally above current price, implying slight upside

Key Risks

Piotroski F-Score of 4/9 indicates weak financial health and poor earnings stability
Earnings have collapsed—YoY EPS down 73%, with Q/Q EPS down 72.9%, signaling severe profitability deterioration
Payout ratio of 132.84% is unsustainable and likely to lead to dividend cuts
Forward P/E of 24.97 is high relative to negative growth, suggesting overvaluation on earnings trajectory
No Altman Z-Score available, creating uncertainty around bankruptcy risk and financial leverage
AI Fair Value Estimate
Based on comprehensive analysis
$14.0
-22.1% below current price

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