Deutsche Konsum REIT AG (DKG) AI Stock Analysis

• Market Cap: €201.71M
• Dividend Yield: N/A
• Average Volume (3M): 10.90K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.43
• Revenue Growth: -30.53%
• EPS Growth: -2032.32%
• Country: DE
• Employees: 17
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - General
• EPS (TTM): 0.07
• Shares Outstanding: 109,926,080
• 10 Day Avg. Volume: 14,458
• 30 Day Avg. Volume: 10,896
• PEG Ratio: <0.01
• Price to Book (P/B): 0.28
• Price to Sales (P/S): 0.95
• P/FCF Ratio: 5.39
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 51 Neutral
• Price Target: €2.00 ▲(4.71% Upside)
• Action: Reiterated Date: 02/20/26
• Date: Action: Reiterated 02/20/26

The score is held back primarily by deeply negative profitability, volatile earnings history, and elevated leverage/negative ROE, despite improving revenue and comparatively solid recent free cash flow. Technicals are neutral-to-slightly weak versus longer-term averages, and valuation signals are constrained by losses (negative P/E) with no dividend yield provided.

Positive Factors

Essential-retail portfolio

Concentration in grocery and essential retail supports durable occupancy and stable rent rolls because demand for food and consumer staples is less cyclical. Long-term leases with supermarket tenants tend to produce predictable rental cash flows and lower vacancy risk over multiple quarters.

Strong cash generation

Positive and growing operating and free cash flow provide operational flexibility despite accounting losses. FCF roughly matches net loss, implying non-cash charges; stronger cash coverage (~0.86 TTM) improves ability to service debt, fund maintenance and support portfolio stability over the medium term.

Top-line growth trend

Consistent revenue growth indicates effective asset management or accretive acquisitions and supports long-term cash generation. For a REIT focused on essential retail, rising rents or occupancy translate directly to higher recurring income, underpinning sustainability of rental revenue streams.

Negative Factors

Deep negative profitability

Large negative operating and net margins show that reported economics are currently weak, reducing retained earnings and the ability to accumulate reserves. Persistent accounting losses can constrain reinvestment, limit dividend capacity under REIT norms, and complicate long-term capital planning.

Elevated leverage

High debt relative to equity increases sensitivity to interest-rate moves and refinancing risk, especially if cash-flow coverage is volatile. Elevated leverage reduces financial flexibility for new acquisitions and makes the firm more vulnerable to falling asset values or tighter credit conditions over the medium term.

Volatile earnings & negative ROE

Earnings volatility and a materially negative ROE signal inconsistent profitability and weak returns on invested capital. This undermines predictability of distributions, complicates capital raises, and indicates that current asset mix or leverage is not delivering sustainable shareholder returns over time.

Deutsche Konsum REIT AG Business Overview & Revenue Model

Company Description

Deutsche Konsum REIT AG (DKG) is a real estate investment trust (REIT) based in Germany, specializing in the acquisition, management, and leasing of retail properties, primarily in the grocery and consumer goods sectors. The company focuses on investing in established retail locations that provide stable cash flows, catering to the growing demand for essential goods and services. DKG operates a diversified portfolio of properties, including supermarkets, discount stores, and shopping centers, positioning itself as a key player in the German retail real estate market.

How the Company Makes Money

Deutsche Konsum REIT AG generates revenue primarily through rental income from its portfolio of retail properties. The company enters into long-term lease agreements with tenants, which typically include grocery chains and other consumer goods retailers, ensuring a steady stream of rental payments. Additionally, DKG may benefit from lease escalations and property value appreciation over time. The company’s revenue model is also supported by its focus on high-demand locations, which helps maintain high occupancy rates. Strategic partnerships with tenants and a strong focus on asset management further contribute to its earnings by enhancing property performance and optimizing leasing conditions.

Deutsche Konsum REIT AG Financial Statement Overview

Summary

Revenue is growing (+6.1% TTM), and cash flow is a relative strength (positive operating and free cash flow with strong YoY FCF growth). However, profitability is materially weak (deeply negative EBIT/EBITDA and net margins) with volatile results across recent years, and leverage is elevated (debt-to-equity ~1.6 TTM) alongside negative ROE.

Income Statement

TTM (Trailing-Twelve-Months) revenue is up (+6.1%), but profitability is weak: operating results are meaningfully negative (EBIT and EBITDA margins around -33%) and the company is still loss-making (net margin ~-57%). The annual history shows high volatility—strong profitability in 2021–2022, followed by sharp losses in 2023 and continued net losses in 2024–2025—suggesting earnings are not yet stabilized.

Balance Sheet

Leverage is elevated for the period shown, with debt consistently higher than equity (debt-to-equity ~1.6 in TTM (Trailing-Twelve-Months), peaking above 2.0 in 2023). Equity remains positive and relatively stable (~€308m TTM), but returns on equity are negative in the most recent periods (TTM ROE ~-16.5%), reflecting that the current capital structure is not producing profits and leaves less cushion if asset values or financing conditions tighten.

Cash Flow

Cash generation is a relative strength: TTM (Trailing-Twelve-Months) operating cash flow (~€19.1m) and free cash flow (~€19.1m) are positive, with free cash flow sharply higher versus the prior annual period (+53.9%). Cash flow also looks high relative to reported losses (free cash flow roughly matches the magnitude of net loss), indicating meaningful non-cash charges. A watch item is coverage of obligations: the provided cash-flow-to-obligation coverage improved to ~0.86 TTM but has been volatile and notably lower in prior years.

Breakdown	TTM	Sep 2025	Sep 2024	Sep 2023	Sep 2022	Sep 2021
Income Statement
Total Revenue	93.65M	88.30M	77.44M	96.70M	210.66M	165.30M
Gross Profit	42.42M	39.06M	-12.49M	48.79M	80.41M	104.51M
EBITDA	-31.00M	16.34M	40.01M	-112.78M	83.07M	105.97M
Net Income	-53.13M	-54.99M	1.97M	-180.99M	60.39M	91.37M
Balance Sheet
Total Assets	816.68M	816.84M	945.38M	1.03B	1.18B	1.09B
Cash, Cash Equivalents and Short-Term Investments	24.08M	9.07M	1.41M	4.93M	4.83M	652.70K
Total Debt	478.87M	474.73M	556.35M	650.31M	646.81M	619.22M
Total Liabilities	508.80M	516.56M	627.01M	713.78M	667.51M	625.33M
Stockholders Equity	307.87M	300.28M	318.37M	316.40M	514.30M	467.98M
Cash Flow
Free Cash Flow	19.10M	15.54M	22.99M	41.45M	49.35M	37.96M
Operating Cash Flow	19.12M	15.55M	23.13M	41.63M	49.38M	37.97M
Investing Cash Flow	39.10M	64.69M	90.70M	-17.52M	-46.60M	-92.30M
Financing Cash Flow	-38.06M	-72.57M	-117.35M	-24.00M	1.39M	54.78M

Deutsche Konsum REIT AG Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.91
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:DKG, the sentiment is Positive. The current price of 1.91 is above the 20-day moving average (MA) of 1.77, above the 50-day MA of 1.79, and below the 200-day MA of 2.02, indicating a neutral trend. The MACD of 0.01 indicates Negative momentum. The RSI at 55.71 is Neutral, neither overbought nor oversold. The STOCH value of 60.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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
FC9	73 Outperform	€115.48M	5.23	16.26%	4.02%	-10.75%	199.01%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
DKG	51 Neutral	€201.71M	-1.74	-17.78%	―	-30.53%	-2032.32%