RAM Essential Services Property Fund (REP) AI Stock Analysis

• Market Cap: AU$298.19M
• Dividend Yield: 8.33%
• Average Volume (3M): 542.11K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.63
• Revenue Growth: 4.56%
• EPS Growth: 35.07%
• Country: AU
• Employees: N/A
• Sector: Financial
• Sector Strength: 74
• Industry: Asset Management
• EPS (TTM): >-0.01
• Shares Outstanding: 501,165,400
• 10 Day Avg. Volume: 288,561
• 30 Day Avg. Volume: 542,111
• PEG Ratio: -4.38
• Price to Book (P/B): 0.75
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 10.72
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: AU$0.75
• Price Target Upside: 25.00% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 54 Neutral
• Price Target: AU$0.50 ▼(-16.67%Downside)

RAM Essential Services Property Fund is facing financial difficulties, with declining revenue and negative profitability, significantly impacting its stock score. The strong cash flow provides a cushion, but high debt levels and negative earnings weigh heavily. Technical analysis suggests a neutral trend, while valuation metrics are unattractive due to negative earnings. The high dividend yield is a notable positive for income investors.

RAM Essential Services Property Fund Business Overview & Revenue Model

Company Description

RAM Essential Services Property Fund is an REIT. It invests in high quality Australian medical and essential retail real estate assets, leased to essential services tenants. RAM Essential Services Property Fund is based in Australia.

How the Company Makes Money

RAM Essential Services Property Fund generates revenue primarily through rental income from its portfolio of properties. The company leases its real estate assets to tenants in the healthcare and essential services sectors, such as medical practices, hospitals, and government agencies, under long-term lease agreements. These leases often include fixed rent increases or rent linked to inflation, providing a stable and predictable income stream. Additionally, REP may benefit from property value appreciation, which can enhance the fund's net asset value and potentially result in gains upon the sale of properties. The fund's strategy of focusing on essential services properties ensures a steady demand for its spaces, contributing to its financial stability. Any partnerships with property managers or other stakeholders could also enhance the operational efficiency and profitability of the fund.

RAM Essential Services Property Fund Financial Statement Overview

Summary

The company is experiencing significant financial challenges, with declining revenue and sustained losses. Despite decent operational efficiency indicated by a 57.53% gross profit margin, the high debt-to-equity ratio, negative profitability metrics, and reliance on debt financing are concerning. The cash flow is a relative strength, with strong operating cash inflow despite net losses, but leverage and profitability need improvement.

Income Statement

The company shows declining revenue with a revenue growth rate of -9.84% from 2023 to 2024, and consistent negative net income, impacting profitability. The gross profit margin is 57.53% in 2024, indicating decent operational efficiency, but the negative EBITDA and net income margins indicate financial challenges, particularly as the company has been unable to convert revenue into profit over the past two years.

Balance Sheet

The balance sheet presents a high debt-to-equity ratio of 1.29, highlighting significant leverage and potential financial risk. The equity ratio stands at 29.33%, showing that a substantial portion of the company's assets is financed through equity. Return on equity is negative due to net losses, pointing to inefficiencies in generating returns for shareholders despite a reasonable stockholder's equity base.

Cash Flow

The cash flow statement reveals a strong operating cash flow to net income ratio, indicating good cash generation relative to reported losses. Free cash flow improved significantly to $31.5M, showing robust cash management. However, the high financing cash outflows suggest a focus on debt reduction or dividends, which could impact future liquidity flexibility.

Breakdown	Jun 2024	Jun 2023	Jun 2022
Income Statement
Total Revenue	50.78M	56.32M	36.51M
Gross Profit	29.21M	35.03M	30.68M
EBITDA	-16.38M	-15.38M	70.97M
Net Income	-11.36M	-15.66M	42.53M
Balance Sheet
Total Assets	751.55M	816.83M	832.33M
Cash, Cash Equivalents and Short-Term Investments	9.41M	11.95M	15.82M
Total Debt	284.51M	300.43M	257.01M
Total Liabilities	307.06M	312.56M	281.68M
Stockholders Equity	220.43M	250.60M	282.44M
Cash Flow
Free Cash Flow	31.50M	19.72M	5.07M
Operating Cash Flow	31.50M	19.72M	5.07M
Investing Cash Flow	18.78M	-35.50M	-157.73M
Financing Cash Flow	-52.82M	11.90M	160.67M

RAM Essential Services Property Fund Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.60
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:REP, the sentiment is Positive. The current price of 0.6 is above the 20-day moving average (MA) of 0.59, above the 50-day MA of 0.58, and above the 200-day MA of 0.58, indicating a bullish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 59.83 is Neutral, neither overbought nor oversold. The STOCH value of 45.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:REP.

RAM Essential Services Property Fund Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MAM	73 Outperform	AU$69.24M	9.27	34.01%	6.98%	19.50%	31.19%
Sector *	65 Neutral	€12.74B	12.55	6.83%	3.82%	15.23%	6.82%
REP	54 Neutral	AU$298.19M	―	-4.99%	8.33%	4.56%	35.07%
T9H	―	€66.74M	13.19	5.74%	5.46%	―	―
CVC	46 Neutral	AU$243.77M	―	-2.32%	―	-67.43%	-131.40%
ENN	―	AU$121.69M	―		7.95%	―	―
FID	76 Outperform	AU$347.24M	20.57	30.97%	3.91%	12.05%	23.63%

RAM Essential Services Property Fund Corporate Events

RAM Essential Services Property Fund Announces June 2025 Quarter Distribution

RAM Essential Services Property Fund announced the distribution details for the June 2025 quarter, with a payment of 1.2500 cents per stapled security scheduled for 30 July 2025. This announcement outlines the tax implications for non-resident investors and highlights the fund’s status as an attribution managed investment trust, emphasizing its commitment to delivering stable returns and growth opportunities to its stakeholders.

The most recent analyst rating on (AU:REP) stock is a Buy with a A$0.75 price target. To see the full list of analyst forecasts on RAM Essential Services Property Fund stock, see the AU:REP Stock Forecast page.

RAM Essential Services Property Fund Announces Quarterly Dividend Distribution

RAM Essential Services Property Fund announced a new dividend distribution of AUD 0.0125 per fully paid unit stapled security for the quarter ending June 30, 2025. The ex-date for the dividend is June 27, 2025, with a record date of June 30, 2025, and payment scheduled for July 30, 2025. This announcement reflects the company’s ongoing commitment to providing returns to its investors, potentially enhancing its attractiveness in the real estate investment market.

The most recent analyst rating on (AU:REP) stock is a Buy with a A$0.82 price target. To see the full list of analyst forecasts on RAM Essential Services Property Fund stock, see the AU:REP Stock Forecast page.

RAM Essential Services Property Fund Appoints New Director with Significant Shareholding

RAM Essential Services Property Fund has announced the appointment of Kieran John Pryke as a director, effective April 30, 2025. Pryke holds 80,000 fully paid ordinary stapled securities in the company as a trustee for the Pryke Family Trust, highlighting his vested interest in the company’s future. This appointment may influence the company’s strategic direction and has potential implications for stakeholders, given Pryke’s significant shareholding.