Deutsche Konsum REIT AG (DKG) AI Stock Analysis

• Market Cap: €116.31M
• Dividend Yield: 3.22%
• Average Volume (3M): 15.33K
• Price to Earnings (P/E): 61.6
• Beta (1Y): 0.56
• Revenue Growth: 20.87%
• EPS Growth: 95.68%
• Country: DE
• Employees: 17
• Sector: Real Estate
• Sector Strength: 65
• Industry: Real Estate - General
• EPS (TTM): 0.04
• Shares Outstanding: 50,351,090
• 10 Day Avg. Volume: 17,589
• 30 Day Avg. Volume: 15,327
• PEG Ratio: -0.15
• Price to Book (P/B): 0.58
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.05
• 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: €3.80
• Price Target Upside: 67.40% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 46 Neutral
• Price Target: €2.50 ▲(10.13%Upside)

The overall stock score is primarily driven by financial performance challenges and weak valuation metrics. Technical analysis suggests bearish sentiment, further impacting the stock's attractiveness. The absence of earnings call data and notable corporate events limits a comprehensive assessment.

Deutsche Konsum REIT AG Business Overview & Revenue Model

Company Description

Deutsche Konsum REIT-AG is a real estate investment company. The company is headquartered in Potsdam, Brandenburg and currently employs 15 full-time employees. The company focuses on the acquisition, rental, inventory management, and sale of retail properties across Germany, with focus on regional centers and micro-locations in the northern and eastern part of Germany.

How the Company Makes Money

Deutsche Konsum REIT AG generates revenue primarily through the leasing of its retail properties. The company leases these properties to a diverse range of tenants, including well-established retail chains and local businesses, ensuring a stable and diversified income stream. Rental income is the principal revenue stream, supported by long-term lease agreements that provide predictable cash flow. Additionally, DKG may engage in strategic acquisitions and disposals of properties to optimize its portfolio and enhance value. The company's focus on properties with high tenant demand and essential retail services ensures steady occupancy rates and tenant retention, contributing significantly to its earnings.

Deutsche Konsum REIT AG Financial Statement Overview

Summary

Deutsche Konsum REIT AG exhibits financial challenges across its statements. The income statement indicates declining revenues and profitability, the balance sheet reflects high leverage and deteriorating equity, while cash flow analysis shows inconsistent cash generation. Collectively, these factors suggest potential financial vulnerabilities and the need for strategic improvements.

Income Statement

The income statement shows significant volatility with a declining revenue trend from 2022 to 2024. The gross profit margin is negative in the TTM, indicating cost inefficiencies. The net profit margin is also negative, highlighting profitability issues. Although there was a brief improvement in 2022, the subsequent years show a declining trajectory with a concerning EBIT margin due to negative EBIT in 2023.

Balance Sheet

The balance sheet indicates a high debt-to-equity ratio, suggesting significant leverage, which could pose financial risks. The equity ratio has decreased over time, reflecting a shrinking equity base. Return on equity is negative in the TTM, pointing to a lack of profitability for shareholders. These factors suggest potential financial instability.

Cash Flow

Cash flow analysis reveals a declining operating cash flow with a negative trend in free cash flow growth. The free cash flow to net income ratio is unreliable due to negative net income in the TTM. Although operating cash flow exceeds net income, indicating strong cash conversion, overall cash flow management appears weak with erratic trends.

Breakdown
TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
85.73M	77.44M	96.70M	210.66M	165.30M	56.23M
	Gross Profit
-28.76M	-12.49M	48.79M	80.41M	104.51M	29.66M
	EBIT
31.52M	-18.67M	-214.94M	83.04M	105.96M	45.03M
	EBITDA
35.63M	40.01M	-112.78M	83.07M	105.97M	45.04M
	Net Income Common Stockholders
-2.80M	1.97M	-180.99M	60.39M	91.37M	34.17M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
3.92M	1.41M	4.93M	4.83M	652.70K	209.10K
	Total Assets
906.09M	945.38M	1.03B	1.18B	1.09B	935.73M
	Total Debt
491.28M	556.35M	650.31M	646.81M	619.22M	537.34M
	Net Debt
487.36M	554.94M	645.37M	641.98M	618.56M	537.13M
	Total Liabilities
565.65M	627.01M	713.78M	667.51M	625.33M	545.07M
	Stockholders Equity
340.44M	318.37M	316.40M	514.30M	467.98M	390.66M
Cash Flow		Free Cash Flow
15.89M	22.99M	41.45M	49.35M	37.96M	35.87M
	Operating Cash Flow
16.02M	23.13M	41.63M	49.38M	37.97M	35.94M
	Investing Cash Flow
119.60M	90.70M	-17.52M	-46.60M	-92.30M	-264.37M
	Financing Cash Flow
-141.17M	-117.35M	-24.00M	1.39M	54.78M	203.00M

Deutsche Konsum REIT AG Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.27
• 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 DE:DKG, the sentiment is Negative. The current price of 2.27 is below the 20-day moving average (MA) of 2.62, below the 50-day MA of 2.85, and below the 200-day MA of 3.46, indicating a bearish trend. The MACD of -0.16 indicates Positive momentum. The RSI at 28.25 is Positive, neither overbought nor oversold. The STOCH value of 10.84 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:DKG.

Deutsche Konsum REIT AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$2.83B	10.87	0.41%	8.09%	5.96%	-21.24%
DKG	46 Neutral	€116.31M	61.61	-2.35%	3.22%	20.87%	95.68%
GTY		€139.70M	―	-44.67%	―	―	―
AGR		€139.79M	723.68	0.73%	2.82%	―	―
DRE2		€121.43M	37.46	0.82%	0.68%	―	―
DEF		€128.64M	28.12	10.22%	2.13%	―	―
FC9	76 Outperform	€125.35M	5.74	16.18%	3.54%	-3.72%	149.34%