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Centuria Industrial REIT (AU:CIP)
ASX:CIP
Australian Market

Centuria Industrial REIT (CIP) AI Stock Analysis

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AU

Centuria Industrial REIT

(Sydney:CIP)

Rating:68Neutral
Price Target:
Centuria Industrial REIT presents a solid financial foundation with strong profitability margins and a robust balance sheet. However, the lack of revenue growth and fluctuating returns pose challenges. The technical indicators suggest mild downward pressure, yet the valuation remains reasonable with a compelling dividend yield. The overall score reflects a stable yet cautious outlook, balancing financial strengths against growth and market momentum concerns.

Centuria Industrial REIT (CIP) vs. iShares MSCI Australia ETF (EWA)

Centuria Industrial REIT Business Overview & Revenue Model

Company DescriptionCIP is Australia's largest domestic pure play industrial REIT and is included in the S&P/ASX 200 Index. CIP's portfolio of high-quality industrial assets is situated in key metropolitan locations throughout Australia and is underpinned by a quality and diverse tenant base. CIP is overseen by a hands on, active manager and provides investors with income and an opportunity for capital growth from a pure play portfolio of high quality Australian industrial assets. Centuria Property Funds No. 2 Limited (CPF2L), is the Responsible Entity for the ASX-listed Centuria Industrial REIT (CIP). CPF2L, is a wholly owned subsidiary of Centuria Capital Group (CNI). CNI is an ASX-listed specialist investment manager with $10.2 billion in total assets under management and strong offerings across listed real estate investment trusts, unlisted real estate funds and investment bonds.
How the Company Makes MoneyCenturia Industrial REIT generates revenue primarily through rental income derived from its portfolio of industrial properties. The company leases space to various tenants on long-term agreements, ensuring a stable and predictable income stream. Additionally, CIP engages in strategic property acquisitions and developments, enhancing the value and potential rental yields of its portfolio. The company may also benefit from capital appreciation of its assets over time. Partnerships with key industry stakeholders and a focus on high-demand locations further bolster CIP's ability to attract and retain tenants, thereby contributing to its earnings.

Centuria Industrial REIT Financial Statement Overview

Summary
Centuria Industrial REIT demonstrates strong profitability margins and a stable balance sheet, but faces challenges in revenue growth and consistency in returns. The cash flow position is healthy, though future improvements in free cash flow generation could enhance financial flexibility.
Income Statement
75
Positive
Centuria Industrial REIT shows a solid gross profit margin of 89.85% for 2024, reflecting strong cost control. The net profit margin improved significantly to 21.12% in 2024 from a negative position in 2023, highlighting a turnaround in profitability. However, revenue growth has been stagnant, decreasing slightly by 0.3% from 2023 to 2024, indicating challenges in top-line expansion.
Balance Sheet
70
Positive
The company's balance sheet is robust with a debt-to-equity ratio of 0.54, reflecting moderate leverage. The equity ratio stands at 63.27%, indicating a strong equity position. However, the return on equity has fluctuated significantly, from a negative in 2023 to 1.96% in 2024, suggesting volatility in profitability and potential risks.
Cash Flow
65
Positive
Operating cash flow remains strong with a good operating cash flow to net income ratio of 1.98 in 2024, indicating effective cash management. Free cash flow improved significantly, boosting liquidity. However, the free cash flow to net income ratio is more modest at 1.98, suggesting room for improvement in translating profits into cash.
Breakdown
TTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income StatementTotal Revenue
234.32M227.93M228.61M205.36M160.36M118.23M
Gross Profit
211.25M204.84M204.40M182.89M146.24M109.48M
EBIT
211.25M143.59M204.40M182.89M146.24M109.48M
EBITDA
72.90M143.59M143.68M133.22M111.79M93.96M
Net Income Common Stockholders
98.57M48.15M-76.61M367.48M611.24M75.34M
Balance SheetCash, Cash Equivalents and Short-Term Investments
34.78M16.54M20.87M26.60M105.54M17.08M
Total Assets
3.86B3.88B3.91B4.15B3.11B1.64B
Total Debt
1.30B1.33B1.29B1.37B933.28M452.40M
Net Debt
1.26B1.32B1.27B1.35B827.73M435.32M
Total Liabilities
1.39B1.43B1.40B1.46B983.56M496.74M
Stockholders Equity
2.47B2.46B2.51B2.69B2.12B1.14B
Cash FlowFree Cash Flow
101.90M95.54M14.16M111.93M83.67M65.33M
Operating Cash Flow
101.90M95.54M97.60M111.93M83.67M65.33M
Investing Cash Flow
6.25M-40.12M83.45M-822.09M-851.57M-361.59M
Financing Cash Flow
-119.05M-59.76M-186.79M631.22M856.37M303.98M

Centuria Industrial REIT Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3.14
Price Trends
50DMA
3.00
Positive
100DMA
2.94
Positive
200DMA
2.96
Positive
Market Momentum
MACD
0.03
Negative
RSI
64.22
Neutral
STOCH
80.83
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:CIP, the sentiment is Positive. The current price of 3.14 is above the 20-day moving average (MA) of 3.08, above the 50-day MA of 3.00, and above the 200-day MA of 2.96, indicating a bullish trend. The MACD of 0.03 indicates Negative momentum. The RSI at 64.22 is Neutral, neither overbought nor oversold. The STOCH value of 80.83 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:CIP.

Centuria Industrial REIT Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AUCIP
68
Neutral
AU$1.99B20.233.99%5.14%4.34%
61
Neutral
$2.83B10.920.41%8438.90%5.75%-21.03%
$5.96B308.231.03%2.44%
$44.41B66.155.14%0.94%
$8.54B27.804.54%4.70%
AUDXI
71
Outperform
AU$920.08M17.624.90%5.66%-10.26%
AUNSR
70
Outperform
AU$3.23B13.306.87%4.74%8.10%6.34%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:CIP
Centuria Industrial REIT
3.14
0.19
6.44%
CTOUF
Charter Hall Group
12.54
4.49
55.78%
GMGSF
Goodman Group
21.11
-2.02
-8.73%
STKAF
Stockland
3.45
0.59
20.63%
AU:DXI
Dexus Industria REIT
2.90
0.13
4.69%
AU:NSR
National Storage REIT
2.32
0.17
7.91%

Centuria Industrial REIT Corporate Events

Centuria Industrial REIT Declares June 2025 Distribution
Jun 6, 2025

Centuria Industrial REIT announced a distribution of 4.075 cents per unit for the quarter ending 30 June 2025. The Distribution Reinvestment Plan will remain suspended for this period, with key dates set for the ex-distribution, record, and payment dates. This announcement reflects CIP’s ongoing commitment to providing income to its investors while managing its high-quality industrial asset portfolio.

The most recent analyst rating on (AU:CIP) stock is a Hold with a A$3.81 price target. To see the full list of analyst forecasts on Centuria Industrial REIT stock, see the AU:CIP Stock Forecast page.

Centuria Industrial REIT Declares Quarterly Distribution
Jun 6, 2025

Centuria Industrial REIT announced a new distribution of AUD 0.04075 per unit for the quarter ending June 30, 2025. The ex-date for this distribution is June 27, 2025, with a record date of June 30, 2025, and payment scheduled for August 8, 2025. This announcement reflects the company’s ongoing commitment to providing returns to its investors and may impact its market positioning by reinforcing investor confidence.

The most recent analyst rating on (AU:CIP) stock is a Hold with a A$3.85 price target. To see the full list of analyst forecasts on Centuria Industrial REIT stock, see the AU:CIP Stock Forecast page.

Centuria Industrial REIT Adjusts Exchange Price of Notes Following Distribution
May 19, 2025

Centuria Industrial REIT announced an adjustment in the exchange price of its A$300 million exchangeable notes due 2028, following an extraordinary distribution to unitholders. The exchange price has been revised from A$4.0628 to A$4.0023 per unit, effective from March 28, 2025. This adjustment also affects the threshold amount, which has been modified from A$0.08 to A$0.0769. These changes reflect the company’s ongoing efforts to manage its financial instruments and provide clarity to its stakeholders.

The most recent analyst rating on (AU:CIP) stock is a Hold with a A$3.81 price target. To see the full list of analyst forecasts on Centuria Industrial REIT stock, see the AU:CIP Stock Forecast page.

Centuria Industrial REIT Reports Strong Q3 FY25 Leasing Activity and Strategic Acquisitions
May 14, 2025

Centuria Industrial REIT has reported strong leasing activity in Q3 FY25, with lease agreements covering approximately 102,000 square meters year-to-date, reflecting a 41% positive re-leasing spread. The company is advancing its development projects in Direk, SA, and Derrimut, VIC, and has acquired a 30% interest in a $38.6 million industrial facility in Canning Vale, WA, as part of its land consolidation strategy. The REIT reaffirms its FY25 guidance, highlighting increased investment demand for urban infill industrial properties, which positions it well for future growth.

The most recent analyst rating on (AU:CIP) stock is a Hold with a A$3.81 price target. To see the full list of analyst forecasts on Centuria Industrial REIT stock, see the AU:CIP Stock Forecast page.

Centuria Industrial REIT Adjusts Exchange Price Following Distribution
Apr 11, 2025

Centuria Industrial REIT announced an adjustment to the exchange price of its A$300 million exchangeable notes due to an extraordinary distribution to unitholders. The exchange price has been adjusted from A$4.0628 to A$4.0048, effective from March 28, 2025. This adjustment reflects the company’s ongoing commitment to providing value to its stakeholders and maintaining its competitive position in the industrial real estate market.

Centuria Industrial REIT Announces Change in Substantial Holder Interests
Mar 26, 2025

Centuria Industrial REIT has announced a change in the interests of a substantial holder, State Street Corporation and its subsidiaries, which affects the voting power attached to the company’s shares. This change in substantial holding may impact the company’s governance and decision-making processes, as State Street Corporation retains significant influence over voting rights and the disposal of securities as an investment manager or trustee.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.