Paref SA (PAR) AI Stock Analysis

• Market Cap: €43.93M
• Dividend Yield: 4.59%
• Average Volume (3M): 166.00
• Price to Earnings (P/E): ―
• Beta (1Y): 0.05
• Revenue Growth: -5.49%
• EPS Growth: 64.41%
• Country: FR
• Employees: 79
• Sector: General
• Sector Strength: N/A
• Industry: REIT - Diversified
• EPS (TTM): -4.78
• Shares Outstanding: 1,516,949
• 10 Day Avg. Volume: 267
• 30 Day Avg. Volume: 166
• PEG Ratio: -0.03
• Price to Book (P/B): 0.50
• Price to Sales (P/S): 1.63
• P/FCF Ratio: 0.00
• 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: 46 Neutral
• Price Target: €28.00 ▼(-13.58% Downside)
• Action: Reiterated Date: 03/03/26
• Date: Action: Reiterated 03/03/26

The score is primarily held back by weak financial performance: repeated net losses since 2023 and a sharp deterioration in 2025 operating/free cash flow despite revenue recovery. Technicals add further pressure with a clear downtrend and negative momentum indicators. Valuation is a partial offset via the ~5.17% dividend yield, but the negative P/E underscores ongoing profitability risk.

Positive Factors

Recurring fee-based business

Paref’s dual revenue streams—rental income from owned properties and recurring management fees from third‑party mandates—provide predictable, fee-based cash flow that cushions volatility in property markets and supports long‑term revenue stability as AUM scales.

Asset & fund management platform

The company’s platform for structuring and managing real estate funds creates sticky client relationships and fee continuity. Long‑term, this asset management capability can drive scalable, high‑margin recurring revenues and cross‑sell opportunities independent of single‑asset performance.

Manageable REIT leverage

Leverage at roughly 0.8x is moderate for a diversified REIT, supporting access to debt markets for acquisitions or refinancing. With a sizable equity base, this capital structure affords flexibility to deploy or restructure financing without the acute pressure of highly elevated leverage.

Negative Factors

Sustained losses & margin pressure

Repeated net losses and a deeply negative 2025 net margin signal structural profitability issues. Persistent negative EBITDA undermines internal reinvestment, increases reliance on external capital, and weakens the firm’s ability to restore consistent dividend payments or fund growth initiatives.

Deteriorating cash generation

The sharp drop in operating cash flow and slightly negative free cash flow in 2025 reduce financial flexibility. Weak cash generation constrains capex and maintenance of properties, heightens refinancing risk, and may force asset sales or external funding if losses persist.

Eroding equity and negative ROE

Declining equity and multi‑year negative ROE indicate capital erosion from losses, limiting balance sheet capacity to absorb shocks or fund growth. Ongoing erosion raises governance and investor confidence concerns and can increase cost of capital over the medium term.

Paref SA Business Overview & Revenue Model

Company Description

Paref SA owns and manages business real estate located primarily in the Paris region. The company manages and leases real estate, offices and commercial spaces, and residences. The company also provides real estate agency services. The company was founded in 1997 and is based in Paris, France.

How the Company Makes Money

Paref SA generates revenue primarily through leasing and property management services. The company earns income from rental agreements with tenants occupying its commercial and residential properties, providing a steady cash flow. Additionally, Paref may engage in real estate development projects, which can create significant revenue streams when properties are sold or leased upon completion. The firm also benefits from strategic partnerships with other real estate developers and investors, enabling it to expand its portfolio and enhance its market presence. Revenue is further supported by asset management fees charged to clients who invest in real estate funds managed by Paref, diversifying its income sources.

Paref SA Financial Statement Overview

Summary

Revenue rebounded in 2025 (+16.7% YoY), but operating performance remains pressured: the company has been loss-making since 2023 with a deeply negative 2025 net margin (-39.6%) and negative EBITDA. Leverage appears manageable for a REIT (debt-to-equity ~0.80), yet declining equity and the sharp drop in operating cash flow (to €1.7M) with slightly negative free cash flow in 2025 weigh on financial quality.

Income Statement

Revenue rebounded in 2025 (+16.7% YoY) after two years of declines, but profitability remains weak and volatile. The company swung from a profitable 2020–2022 period to losses in 2023–2025, with 2025 net margin deeply negative (-39.6%) and EBITDA turning negative as well. Gross margin is still healthy, but the step-down in operating performance and repeated net losses are the key overhang.

Balance Sheet

Leverage looks manageable for a REIT, with debt-to-equity around ~0.80 in 2025 (up from ~0.72 in 2024), and equity remains sizable. However, equity has been trending down from 2021–2025, consistent with ongoing losses, and returns on equity are negative in the last three years (2023–2025). Overall balance sheet risk is moderate, but deteriorating profitability is pressuring book value.

Cash Flow

Cash generation weakened sharply in 2025: operating cash flow fell to €1.7M from €7.8M in 2024, and free cash flow turned slightly negative (€-0.4M) after being solidly positive in prior years (2020–2024). While 2024 cash flow was strong despite a net loss, the 2025 deterioration raises questions around near-term cash coverage and funding flexibility if losses persist.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	29.93M	26.16M	28.33M	43.91M	32.74M
Gross Profit	16.63M	22.19M	28.33M	40.99M	29.29M
EBITDA	-5.72M	5.05M	-11.19M	6.75M	13.29M
Net Income	-11.86M	-5.39M	-16.43M	4.04M	11.03M
Balance Sheet
Total Assets	198.79M	214.33M	211.92M	228.17M	220.87M
Cash, Cash Equivalents and Short-Term Investments	8.07M	10.12M	7.56M	10.28M	8.85M
Total Debt	78.16M	79.89M	71.61M	62.80M	61.65M
Total Liabilities	100.64M	102.63M	90.72M	83.73M	74.78M
Stockholders Equity	98.15M	111.71M	121.20M	144.44M	146.08M
Cash Flow
Free Cash Flow	-437.00K	7.49M	3.23M	7.05M	4.13M
Operating Cash Flow	1.71M	7.76M	3.38M	7.29M	4.57M
Investing Cash Flow	1.82M	-5.98M	-8.12M	2.76M	6.66M
Financing Cash Flow	-5.59M	790.00K	2.02M	-8.62M	-9.71M

Paref SA Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 32.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:PAR, the sentiment is Negative. The current price of 32.4 is above the 20-day moving average (MA) of 30.12, above the 50-day MA of 31.94, and below the 200-day MA of 36.30, indicating a bearish trend. The MACD of -1.03 indicates Negative momentum. The RSI at 36.02 is Neutral, neither overbought nor oversold. The STOCH value of 85.71 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FR:PAR.

Paref SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IMDA	73 Outperform	€379.86M	9.88	―	3.91%	-2.53%	―
Sector *	55 Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
PAR	46 Neutral	€43.93M	-3.70	-4.90%	4.59%	-5.49%	64.41%