Centerspace (CSR) AI Stock Analysis

• Market Cap: $1.05B
• Dividend Yield: 5.16%
• Average Volume (3M): 131.86K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.53
• Revenue Growth: -0.63%
• EPS Growth: -123.59%
• Country: US
• Employees: 374
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Residential
• EPS (TTM): -0.87
• Shares Outstanding: 16,756,690
• 10 Day Avg. Volume: 107,906
• 30 Day Avg. Volume: 131,858
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.13
• Enterprise Value/Revenue: 8.37
• Enterprise Value/Gross Profit: 14.76
• Enterprise Value/Ebitda: 18.46
• 1Y Price Target: $67.86
• Price Target Upside: 14.53% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 58 Neutral
• Price Target: $61.00 ▲(2.95% Upside)

Centerspace's overall stock score is primarily influenced by its solid financial performance, particularly in cash flow management and operational efficiency. However, persistent profitability challenges and a negative P/E ratio weigh heavily on the valuation. Technical indicators suggest a neutral trend, while the earnings call highlights both strategic expansions and market challenges. The attractive dividend yield provides some support to the overall score.

Positive Factors

High Occupancy and Retention Rates

High occupancy and retention rates indicate strong demand for Centerspace's properties, enhancing revenue stability and reducing turnover costs, which supports long-term profitability.

Improved Portfolio Quality

Improving portfolio quality through strategic acquisitions and dispositions can lead to higher rental income and better NOI margins, strengthening financial performance over time.

Strong Free Cash Flow Growth

Strong free cash flow growth enhances financial flexibility, allowing Centerspace to reinvest in growth opportunities and manage debt, supporting long-term stability.

Negative Factors

Negative Profitability

Persistent negative profitability can hinder Centerspace's ability to generate shareholder returns and invest in growth, posing a risk to long-term financial health.

Challenges in Denver Market

Market challenges in Denver, such as oversupply, can pressure rental rates and margins, potentially affecting revenue growth and profitability in a key market.

Dilution from Transactions

Dilution from recent transactions may impact earnings per share, affecting investor returns and potentially limiting future capital-raising capabilities.

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 rental income derived from its multifamily and commercial properties. The company charges tenants monthly rent, which constitutes the bulk of its earnings. Additionally, Centerspace benefits from property management fees and may engage in the sale of properties to realize capital gains. The company often forms partnerships with local developers and municipalities to enhance its property offerings and expand its portfolio. Strategic investments in high-demand markets further contribute to its profitability, as increased occupancy rates and rental prices can significantly boost revenue.

Centerspace Financial Statement Overview

Summary

Centerspace demonstrates solid revenue growth and operational efficiency, as evidenced by improved gross profit and EBITDA margins. However, profitability remains a concern with persistent negative net income and ROE. The company has made strides in managing leverage, as seen in the improved debt-to-equity ratio. Strong free cash flow growth and cash conversion ratios highlight effective cash management, positioning the company well for future financial stability.

Income Statement

Centerspace shows a stable revenue growth with a TTM increase of 1.33%. The gross profit margin improved to 64.65% in TTM, indicating strong operational efficiency. However, the net profit margin remains negative at -2.21%, reflecting ongoing profitability challenges. The EBIT margin decreased to 6.63% in TTM, suggesting reduced operational profitability. EBITDA margin is healthy at 44.93%, showing strong cash flow generation from operations.

Balance Sheet

The debt-to-equity ratio improved to 0.73 in TTM, indicating better leverage management compared to previous years. However, the return on equity remains negative at -0.87%, highlighting challenges in generating returns for shareholders. The equity ratio is stable, suggesting a balanced capital structure, but the negative ROE indicates potential profitability issues.

Cash Flow

Free cash flow growth is strong at 13.36% in TTM, reflecting improved cash generation. The operating cash flow to net income ratio is 0.20, indicating a solid conversion of earnings into cash. The free cash flow to net income ratio is high at 1.35, suggesting effective cash management despite negative net income.

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	151.43M	148.61M	146.14M	138.18M	111.10M	99.03M
EBITDA	121.08M	130.23M	188.83M	121.62M	122.06M	85.59M
Net Income	-20.20M	-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: Neutral
• Last Price: 59.25
• 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 CSR, the sentiment is Neutral. The current price of 59.25 is below the 20-day moving average (MA) of 59.37, above the 50-day MA of 58.48, and above the 200-day MA of 59.14, indicating a neutral trend. The MACD of 0.34 indicates Positive momentum. The RSI at 51.20 is Neutral, neither overbought nor oversold. The STOCH value of 30.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CSR.

Centerspace Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	―	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
UMH	―	$1.23B	108.67	3.64%	6.05%	8.39%	―
VRE	―	$1.34B	23.46	5.94%	2.23%	3.37%	―
CSR	―	$1.05B	―	-3.35%	5.16%	-0.63%	-123.59%
AIV	―	$757.20M	―	-38.53%	8.07%	7.07%	69.54%
NXRT	―	$779.55M	―	-12.63%	6.68%	-4.46%	-206.19%
BRT	―	$278.06M	―	-4.52%	6.80%	2.16%	11.18%

Centerspace Corporate Events

Centerspace Completes $124M Sale in St. Cloud

On September 23, 2025, Centerspace announced the completion of the sale of five communities in St. Cloud, Minnesota, for $124 million, marking its exit from that market. This sale is part of a broader strategy to reposition its portfolio, improve community quality, and diversify holdings, with proceeds aimed at reducing leverage and supporting corporate purposes. The company is also considering various capital allocation strategies to enhance shareholder value.

The most recent analyst rating on (CSR) stock is a Hold with a $62.00 price target. To see the full list of analyst forecasts on Centerspace stock, see the CSR Stock Forecast page.

Centerspace Releases Investor Presentation on 2025 Results

On September 5, 2025, Centerspace released an investor presentation detailing financial and operational results for the first half of 2025. The presentation highlighted the company’s strategic initiatives, including acquisitions in Salt Lake City and Fort Collins to enhance market exposure and asset quality. The company also reported on its leasing trends and financial outlook, indicating a favorable growth profile with strategic transactions planned for 2025 to optimize its portfolio.

The most recent analyst rating on (CSR) stock is a Hold with a $63.00 price target. To see the full list of analyst forecasts on Centerspace stock, see the CSR Stock Forecast page.

Centerspace Releases 2024 ESG and TCFD Reports

On August 13, 2025, Centerspace announced the release of its 2024 Environmental, Social, and Governance (ESG) Report, along with its first Task Force on Climate Related Financial Disclosures (TCFD) report. This marks the company’s sixth annual ESG report, highlighting its dedication to sustainable practices in the multifamily industry. The 2024 report aligns with GRI’s Universal and Topic Standards and the United Nations Sustainable Development Goals, achieving four out of five ESG goals ahead of schedule, and improving its GRESB score from 63 to 70. Centerspace’s commitment to sustainability is further demonstrated by its efforts in climate risk mitigation and resource management, aiming to synthesize growth with environmental care.

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 Q2 2025 Earnings and Updates Outlook

Centerspace is a real estate investment trust (REIT) that owns and operates apartment communities across several U.S. states, focusing on providing quality housing solutions. In its latest earnings report for the second quarter of 2025, Centerspace highlighted a net loss of $0.87 per diluted share, an increase from the previous year’s loss, while also reporting slight growth in Funds from Operations (FFO) and Core FFO per share. The company achieved a 5.4% increase in total revenue compared to the same quarter last year, driven by a 2.7% rise in same-store revenues and a 2.9% increase in net operating income. Centerspace also completed the acquisition of its first apartment community in Salt Lake City, Utah, and updated its financial outlook for 2025, projecting improvements in same-store revenue and net operating income. Looking ahead, Centerspace remains focused on strategic growth and operational efficiency, as reflected in its updated financial projections for the remainder of the year.

Centerspace Earnings Call: Strategic Moves Amid Challenges

The recent earnings call of Centerspace presented a balanced outlook, showcasing strong operational performance and strategic market repositioning. However, the company faces challenges such as lowered guidance due to capital recycling, ongoing issues in the Denver market, and dilution from asset recycling, which were notable concerns during the call.

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.