Centerspace (CSR) AI Stock Analysis

• Market Cap: $948.45M
• Dividend Yield: 5.68%
• Average Volume (3M): 112.51K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.67
• Revenue Growth: -0.63%
• EPS Growth: -123.59%
• Country: US
• Employees: 374
• Sector: Real Estate
• Sector Strength: 57
• Industry: REIT - Residential
• EPS (TTM): -0.87
• Shares Outstanding: 16,756,690
• 10 Day Avg. Volume: 122,250
• 30 Day Avg. Volume: 112,512
• PEG Ratio: 0.65
• Price to Book (P/B): 1.53
• Price to Sales (P/S): 3.93
• P/FCF Ratio: 10.44
• Enterprise Value/Market Cap: 2.36
• Enterprise Value/Revenue: 8.37
• Enterprise Value/Gross Profit: 12.95
• Enterprise Value/Ebitda: 18.63
• 1Y Price Target: $68.81
• Price Target Upside: 28.59% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 55 Neutral
• Price Target: $55.00 ▲(2.78% Upside)

Centerspace's overall stock score reflects a mix of solid financial management and strategic growth initiatives, tempered by ongoing profitability challenges and bearish technical indicators. The company's strong cash flow and dividend yield provide some support, but negative earnings and market sentiment weigh on the score. Strategic acquisitions and financial flexibility are positive, but the impact of lowered guidance and market challenges in Denver are concerns.

Positive Factors

Lease Growth

Lease growth rates improved sequentially with new/blended of +2.4%/+2.6%.

Liquidity

CSR is in a good position from a liquidity standpoint with $11.9 million of cash along with $211.3 million available on the line of credit for total liquidity of $223.2 million.

Valuation

CSR shares trade at a significant discount to NAV and large-cap multifamily sector averages, presenting a potential investment opportunity.

Negative Factors

Interest Expense

FY25 interest expense guidance was raised significantly due to increased borrowing costs.

Retention Rate

Retention rate decelerated significantly to 49.2%.

Revenue Performance

Denver continues to drag, with NOI decreasing 4.2% year-over-year.

Centerspace Business Overview & Revenue Model

Company Description

Centerspace is an owner and operator of apartment communities committed to providing great homes by focusing on integrity and serving others. Founded in 1970, as of June 30, 2021, Centerspace owned 62 apartment communities consisting of 11,579 apartment homes located in Colorado, Minnesota, Montana, Nebraska, North Dakota, and South Dakota. Centerspace was named a Top Workplace for 2021 by the Minneapolis Star Tribune. For more information, please visit www.centerspacehomes.com.

How the Company Makes Money

Centerspace generates revenue primarily through the rental income of its multifamily residential properties. The company earns money by leasing apartments to individuals and families, collecting monthly rent payments as its main source of income. Additional revenue streams may include fees for services such as pet fees, parking, and other tenant-related charges. Centerspace's earnings are also influenced by its strategic acquisitions and redevelopment projects, which aim to improve property value and increase rental income. The company's performance is further supported by its property management operations, which help to maintain high occupancy rates and customer satisfaction. Significant partnerships with local businesses and service providers can also contribute to its revenue by enhancing the overall living experience for residents, thus attracting and retaining tenants.

Centerspace Financial Statement Overview

Summary

Centerspace presents a mixed financial picture with stable revenue growth but persistent profitability challenges. The high leverage poses a risk, though the company maintains a solid equity base. Cash flows remain robust, providing some cushion against operational hurdles. Overall, the financial health is stable but requires attention to debt levels and profitability improvement.

Income Statement

Centerspace shows moderate revenue growth over the periods, with a slight increase in TTM revenue. However, consistent net losses indicate profitability challenges. The gross profit margin remains strong, yet declining EBIT and EBITDA margins reflect operational cost pressures. Revenue growth is positive but slowing, suggesting stability with caution needed on profitability.

Balance Sheet

The balance sheet shows a stable equity position relative to total assets, indicating a solid foundation. However, the debt-to-equity ratio is high, suggesting significant leverage risk. The return on equity has fluctuated, with recent periods showing negative returns due to net losses, highlighting profit generation issues.

Cash Flow

Centerspace has shown positive operating cash flow throughout the periods, with recent improvements in free cash flow. However, the free cash flow growth rate is inconsistent. The operating cash flow covers net income, showcasing strong cash generation capability despite profitability issues. Financing activities show a decrease, indicating reduced external funding reliance.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	267.08M	260.98M	261.31M	256.72M	201.71M	177.99M
Gross Profit	172.67M	148.61M	146.14M	138.18M	111.10M	99.03M
EBITDA	119.99M	130.23M	188.83M	121.62M	122.06M	85.59M
Net Income	-5.90M	-10.69M	41.97M	-15.02M	-31.38M	-24.00M
Balance Sheet
Total Assets	2.01B	1.91B	1.93B	2.03B	1.94B	1.46B
Cash, Cash Equivalents and Short-Term Investments	12.38M	12.03M	8.63M	10.46M	31.27M	392.00K
Total Debt	515.58M	955.38M	916.02M	1.01B	856.05M	719.19M
Total Liabilities	1.17B	1.01B	978.78M	1.07B	918.45M	774.80M
Stockholders Equity	710.05M	670.46M	726.39M	746.10M	797.36M	634.77M
Cash Flow
Free Cash Flow	137.26M	98.25M	89.52M	35.30M	48.15M	30.91M
Operating Cash Flow	101.68M	98.25M	89.52M	91.99M	84.03M	61.23M
Investing Cash Flow	-186.77M	-50.72M	120.21M	-160.09M	-267.23M	-164.97M
Financing Cash Flow	87.87M	-43.67M	-212.35M	41.37M	214.51M	64.93M

Centerspace Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 53.51
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CSR, the sentiment is Negative. The current price of 53.51 is below the 20-day moving average (MA) of 56.81, below the 50-day MA of 59.79, and below the 200-day MA of 62.29, indicating a bearish trend. The MACD of -1.82 indicates Positive momentum. The RSI at 27.28 is Positive, neither overbought nor oversold. The STOCH value of 15.09 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CSR.

Centerspace Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UMH	63 Neutral	$1.39B	123.17	3.64%	5.32%	8.01%	―
Sector *	63 Neutral	$6.81B	13.62	-1.43%	7.31%	4.60%	-32.65%
BRT	59 Neutral	$281.65M	―	-4.52%	6.71%	2.39%	-407.57%
VRE	57 Neutral	$1.30B	―	-1.91%	2.23%	0.26%	77.82%
NXRT	57 Neutral	$790.00M	866.19	-11.85%	6.42%	-6.02%	-156.44%
CSR	55 Neutral	$948.45M	―	-3.35%	5.68%	-0.63%	-123.59%
AIV	50 Neutral	$1.14B	―	-48.27%	7.46%	9.28%	34.42%

Centerspace Corporate Events

Centerspace Announces $100 Million Share Buyback Program

On August 4, 2025, Centerspace announced a share repurchase program authorized by its Board of Trustees, allowing the company to buy back up to $100 million of its common shares by July 31, 2026. The program’s implementation will depend on market conditions and other considerations, with no obligation to repurchase a specific number of shares. Additionally, Centerspace reported its second-quarter 2025 financial results, highlighting a net loss of $0.87 per diluted share and a 5.4% increase in revenue compared to the previous year. The company also acquired its first apartment community in Salt Lake City for $149 million and updated its 2025 financial outlook, projecting improvements in same-store revenue and NOI.

The most recent analyst rating on (CSR) stock is a Hold with a $75.00 price target. To see the full list of analyst forecasts on Centerspace stock, see the CSR Stock Forecast page.

Centerspace Expands with Salt Lake City Acquisition

On May 30, 2025, Centerspace closed on its first acquisition in Salt Lake City for $149 million, marking its expansion into this market. The company also plans to acquire a community in Fort Collins, CO, and is marketing its Saint Cloud, MN, and parts of its Minneapolis portfolios for sale. These transactions are part of Centerspace’s strategy to enhance its Midwest and Mountain West multifamily REIT focus. Additionally, Centerspace increased its credit facility to $400 million to support these activities and declared a quarterly dividend of $0.77 per share/unit, payable on July 10, 2025.

The most recent analyst rating on (CSR) stock is a Hold with a $75.00 price target. To see the full list of analyst forecasts on Centerspace stock, see the CSR Stock Forecast page.