Centerspace (CSR) AI Stock Analysis

• Market Cap: $1.08B
• Dividend Yield: 5.04%
• Average Volume (3M): 100.92K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.62
• Revenue Growth: -1.81%
• EPS Growth: -33.33%
• Country: US
• Employees: 374
• Sector: Real Estate
• Sector Strength: 52
• Industry: REIT - Residential
• EPS (TTM): -0.22
• Shares Outstanding: 16,735,008
• 10 Day Avg. Volume: 127,878
• 30 Day Avg. Volume: 100,922
• PEG Ratio: 1.05
• Price to Book (P/B): 1.20
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 25.29
• Enterprise Value/Market Cap: 1.36
• Enterprise Value/Revenue: 1.42
• Enterprise Value/Gross Profit: 11.91
• Enterprise Value/Ebitda: 2.75
• 1Y Price Target: $71.45
• Price Target Upside: 16.96% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 66 Neutral
• Price Target: $67.00 ▲(9.67%Upside)

Centerspace shows strength in its earnings outlook and strategic expansion plans, which are bolstered by strong cash flows and a solid dividend yield. However, profitability challenges and high leverage are significant concerns. The technical analysis suggests a neutral position, indicating potential for future growth but requiring careful monitoring of financial performance and market conditions.

Positive Factors

Earnings

Centerspace reported Core FFO/sh of $1.21, which was $0.02 above our estimate.

Market Stability

Midwest / Western markets provided better stability as other regions are experiencing supply-demand imbalance.

Valuation

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

Negative Factors

Net Operating Income (NOI)

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

Retention Rate

Retention rate decelerated significantly to 49.2%.

Transaction Market

A slow transaction market and a lack of price discovery on CSR's assets keep analysts sidelined for now.

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	263.57M	260.98M	261.31M	256.72M	201.71M	177.99M
Gross Profit	123.72M	148.61M	146.14M	138.18M	111.10M	99.03M
EBITDA	133.10M	130.23M	188.83M	121.62M	122.06M	85.59M
Net Income	-6.98M	-10.69M	41.97M	-15.02M	-31.38M	-24.00M
Balance Sheet
Total Assets	1.89B	1.91B	1.93B	2.03B	1.94B	1.46B
Cash, Cash Equivalents and Short-Term Investments	11.92M	12.03M	8.63M	10.46M	31.27M	392.00K
Total Debt	955.45M	955.38M	916.02M	1.01B	856.05M	719.19M
Total Liabilities	1.01B	1.01B	978.78M	1.07B	918.45M	774.80M
Stockholders Equity	653.36M	670.46M	726.39M	746.10M	797.36M	634.77M
Cash Flow
Free Cash Flow	121.08M	98.25M	89.52M	35.30M	48.15M	30.91M
Operating Cash Flow	99.27M	98.25M	89.52M	91.99M	84.03M	61.23M
Investing Cash Flow	-46.57M	-50.72M	120.21M	-160.09M	-267.23M	-164.97M
Financing Cash Flow	-48.39M	-43.67M	-212.35M	41.37M	214.51M	64.93M

Centerspace Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 61.09
• 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 CSR, the sentiment is Negative. The current price of 61.09 is below the 20-day moving average (MA) of 61.90, below the 50-day MA of 61.27, and below the 200-day MA of 63.70, indicating a bearish trend. The MACD of -0.34 indicates Positive momentum. The RSI at 47.77 is Neutral, neither overbought nor oversold. The STOCH value of 35.97 is Neutral, 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	70 Outperform	$1.46B	155.80	3.45%	5.19%	8.01%	―
CSR	66 Neutral	$1.08B	―	-1.55%	5.04%	-1.81%	-33.33%
Sector *	65 Neutral	$1.99B	17.55	2.40%	5.17%	-0.31%	5.93%
BRT	64 Neutral	$306.04M	―	-4.28%	6.18%	2.39%	-407.57%
NXRT	53 Neutral	$862.92M	866.19	-7.19%	6.00%	-7.44%	-143.64%
VRE	48 Neutral	$1.37B	―	-2.76%	2.17%	-3.20%	76.43%
AIV	48 Neutral	$1.25B	―	-48.27%	6.81%	9.28%	34.42%

Centerspace Corporate Events

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.

Centerspace Reports Q1 2025 Financial Results

Centerspace, a company listed on the NYSE under the ticker CSR, reported its financial and operational results for the first quarter of 2025 on May 1, 2025. The company experienced a 4.0% increase in revenue compared to the first quarter of 2024, reaching $67.1 million. Despite a net loss of $0.22 per diluted share, this was an improvement from the $0.37 loss per share in the same period last year. The Core FFO per diluted share slightly decreased to $1.21, attributed to a rise in same-store property taxes. Centerspace also updated its financial outlook for 2025, maintaining its previous guidance ranges.