Clipper Realty (CLPR) AI Stock Analysis

• Market Cap: $51.67M
• Dividend Yield: 11.34%
• Average Volume (3M): 63.06K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.52
• Revenue Growth: 5.90%
• EPS Growth: -322.37%
• Country: US
• Employees: 171
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Residential
• EPS (TTM): -0.30
• Shares Outstanding: 16,146,545
• 10 Day Avg. Volume: 69,346
• 30 Day Avg. Volume: 63,056
• PEG Ratio: -0.09
• Price to Book (P/B): -5.28
• Price to Sales (P/S): 1.06
• P/FCF Ratio: 7.19
• Enterprise Value/Market Cap: 25.13
• Enterprise Value/Revenue: 8.48
• Enterprise Value/Gross Profit: 10.58
• Enterprise Value/Ebitda: 20.14
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): $159.40M

• Rating: 46 Neutral
• Price Target: $3.00 ▼(-28.40% Downside)
• Action: Reiterated Date: 02/28/26
• Date: Action: Reiterated 02/28/26

The score is held down primarily by weak financial performance (persistent losses and negative equity) and bearish technicals (price below key moving averages with negative MACD). High dividend yield and strong residential operating metrics provide partial support, but the sharp AFFO deterioration and unresolved 250 Livingston situation remain significant near-term risks.

Positive Factors

High occupancy and rent growth

Consistently high stabilized occupancy (~99%) and significant new-lease rent gains indicate durable pricing power and strong tenant demand in Clipper's core NYC residential portfolio. That supports predictable long-term rental cash flows, lowers vacancy risk, and improves asset-level NOI sustainability even amid macro variability.

Strong cash collection and improving operating cash flow

Very high collection rates (~98%) combined with positive, improving operating cash flow show the business converts rents to cash reliably. This strengthens internal funding for maintenance and capex, reduces reliance on external liquidity, and supports longer‑term ability to service secured property debt and fund lease‑up costs.

Largely fixed-rate, nonrecourse debt and on‑hand liquidity

A high proportion of fixed-rate, mostly nonrecourse financing and meaningful cash balances reduce immediate refinancing and interest-rate exposure for property operations. This financing profile cushions near-term cash flow volatility and preserves asset-level stability while management executes lease‑ups and asset stabilization.

Negative Factors

Stressed balance sheet with negative equity

Negative equity and historically high leverage materially weaken financial flexibility, constrain capital options, and increase refinancing and covenant breach risk. Over the medium term this reduces the company's ability to pursue opportunistic investments and raises the probability of distress if operating cash flows falter or restructuring is needed.

Severe AFFO decline and recurring net losses

A dramatic AFFO deterioration substantially reduces distributable cash and undermines dividend coverage. Persistent net losses despite strong property-level margins imply below‑EBITDA costs (interest, depreciation, impairments) are eroding earnings power, limiting retained cash to repair the balance sheet over the next several quarters.

250 Livingston default and potential foreclosure risk

Loss of a major tenant led to cessation of certain payments and an unresolved debt restructuring at 250 Livingston. Potential foreclosure or forced sale of the asset is a structural threat: it can permanently reduce rental income, absorb liquidity in legal/settlement costs, and impair access to mortgage financing across the portfolio until resolved.

Clipper Realty Business Overview & Revenue Model

Company Description

Clipper Realty Inc. is a publicly traded real estate investment trust (REIT) focused on owning, operating, and developing multifamily residential properties in the New York City metropolitan area. The company specializes in acquiring and managing high-quality residential assets, aiming to provide attractive living spaces that cater to the diverse needs of urban residents. Clipper Realty's portfolio includes a mix of properties that target various market segments, contributing to its strategic position within the competitive real estate market.

How the Company Makes Money

Clipper Realty generates revenue primarily through rental income derived from its multifamily residential properties. The company leases its apartment units to tenants, providing a steady stream of cash flow. In addition to base rental income, Clipper Realty may also earn revenue from ancillary services and fees related to property management and leasing activities. The company's revenue model is bolstered by its focus on operational efficiency and tenant satisfaction, which helps maintain high occupancy rates and reduce turnover costs. Furthermore, strategic partnerships with local service providers and real estate professionals can enhance its market presence and lead to potential acquisition opportunities that expand its portfolio and revenue base.

Clipper Realty Financial Statement Overview

Summary

Financial quality is pressured by persistent net losses and a stressed capitalization profile (negative equity in 2024–2025 per the provided statements), despite comparatively better operating/free cash flow and strong property-level gross profitability. The sharp 2025 revenue drop in the dataset further weighs on earnings power and coverage.

Income Statement

Revenue was relatively steady to modestly growing from 2020–2024, but 2025 annual revenue shows a sharp drop (down ~63% year over year), which is a major negative for earnings power. Profitability is mixed: gross margins are strong (about 57% in 2024 and ~80% in 2025), and EBITDA margins have been healthy historically, but net income has been consistently negative every year shown and worsened materially in 2025 (net margin about -13%). Overall, strong property-level economics are being outweighed by costs below EBITDA (e.g., depreciation/interest/other items), resulting in recurring bottom-line losses.

Balance Sheet

The balance sheet is the weakest area. Leverage appears very high in most years (total debt around $1.1B–$1.27B from 2020–2024) and equity has deteriorated to negative in 2024 and 2025, which limits financial flexibility and increases refinancing risk. The negative equity also makes equity-based leverage measures unstable and signals that the company has a thin capital cushion relative to its asset base (~$1.23B–$1.29B of assets). While 2025 shows total debt as zero in the provided data, equity remains negative, so the underlying capitalization picture still screens as stressed based on the dataset.

Cash Flow

Cash generation is comparatively better than reported earnings. Operating cash flow has been positive each year and generally improving versus earlier periods (roughly $16M in 2020 to ~$32M in 2024, then ~$23M in 2025). Free cash flow is also positive in most years, with a notable exception in 2021 when free cash flow turned negative. The main concern is volatility—free cash flow growth swings widely year to year—yet overall the business has shown an ability to generate cash even while net income remains negative.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	153.20M	148.78M	138.21M	129.75M	122.73M
Gross Profit	122.81M	84.84M	75.64M	67.88M	63.28M
EBITDA	64.45M	70.42M	58.24M	54.62M	47.03M
Net Income	-19.90M	-2.50M	-5.90M	-4.76M	-7.59M
Balance Sheet
Total Assets	1.23B	1.29B	1.25B	1.23B	1.23B
Cash, Cash Equivalents and Short-Term Investments	30.82M	19.90M	22.16M	18.15M	34.52M
Total Debt	1.28B	1.27B	1.21B	1.16B	1.13B
Total Liabilities	1.32B	1.30B	1.24B	1.19B	1.16B
Stockholders Equity	-30.71M	-5.41M	2.74M	14.09M	26.51M
Cash Flow
Free Cash Flow	22.57M	31.86M	26.18M	20.14M	-24.71M
Operating Cash Flow	22.57M	31.86M	26.18M	20.14M	10.82M
Investing Cash Flow	12.09M	-68.78M	-41.36M	-51.48M	-77.94M
Financing Cash Flow	-14.56M	38.75M	20.73M	9.78M	30.31M

Clipper Realty Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.19
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CLPR, the sentiment is Negative. The current price of 4.19 is above the 20-day moving average (MA) of 3.36, above the 50-day MA of 3.50, and above the 200-day MA of 3.69, indicating a bearish trend. The MACD of -0.09 indicates Positive momentum. The RSI at 39.67 is Neutral, neither overbought nor oversold. The STOCH value of 37.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CLPR.

Clipper Realty Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
SUNS	57 Neutral	$129.51M	8.49	8.33%	12.97%	―	―
CSR	55 Neutral	$1.10B	63.46	4.30%	4.58%	36.82%	―
BRT	52 Neutral	$279.60M	-26.07	-4.89%	6.98%	1.62%	11.38%
NXRT	47 Neutral	$714.65M	-23.86	-12.63%	7.06%	-4.46%	-206.19%
CLPR	46 Neutral	$51.67M	-8.15	―	11.34%	5.90%	-322.37%

Clipper Realty Corporate Events

Clipper Realty Modifies Loan, Stabilizing Brooklyn Property

On December 24, 2025, Clipper Realty subsidiary 141 Livingston Owner LLC, together with Clipper Realty Inc. and Clipper Realty L.P., entered into a loan modification agreement with Wells Fargo Bank, acting as trustee for commercial mortgage pass-through certificate holders, regarding a $100 million loan secured by the 141 Livingston Street property; the agreement became effective December 30, 2025. Under the deal, the borrower provided a $10 million renewal tenant reserve letter of credit and paid about $2.2 million in fees, while the lender waived claimed late charges and default interest, agreed to dismiss foreclosure actions with prejudice, and approved a five-year lease extension with the property’s New York City tenant effective December 28, 2025, collectively resolving ongoing litigation and stabilizing the financing and tenancy profile of the Brooklyn asset.

The most recent analyst rating on (CLPR) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on Clipper Realty stock, see the CLPR Stock Forecast page.

Clipper Realty Faces Loan Default, Eyes Property Sale

Clipper Realty’s subsidiary 250 Livingston Owner LLC, borrower under a $125 million loan secured by the 250 Livingston Street property in Brooklyn and maturing in 2029 at a 3.63% interest-only rate, was notified on December 18, 2025 that it is in default after failing to make required cash management deposits and other amounts due following the termination of a major New York City agency lease effective August 23, 2025; as of December 22, 2025, the company estimated about $3.4 million of interest and default interest outstanding, and the lender has warned it may pursue foreclosure or other remedies while the company attempts, without assurance of success, to negotiate a consent and cooperation arrangement tied to a potential property sale. Separately, Clipper Realty, through its subsidiary 141 Livingston Owner LLC, is working toward a potential settlement with the special servicer for the $100 million mortgage on 141 Livingston Street that would likely involve the company posting a $10 million letter of credit and paying up to $3 million in fees in exchange for waiver of claimed penalties and default interest, dismissal of foreclosure actions with prejudice, and approval of a five-year lease extension with the building’s main New York City tenant effective December 28, 2025, a deal that, if completed, could stabilize that asset and ease the company’s litigation and refinancing pressures.

The most recent analyst rating on (CLPR) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on Clipper Realty stock, see the CLPR Stock Forecast page.