Franklin Street Properties (FSP)
XASE:FSP
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Franklin Street Properties
(NYSE MKT:FSP)
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Rating:45Neutral
Price Target:
$0.56
â–¼(-40.53% Downside)
Action:ReiteratedDate:03/10/26
The score is held down primarily by deteriorating financial performance (multi-year revenue decline, sustained net losses, and compressed operating cash flow) and bearish technical trends (price below key moving averages with negative MACD). A high dividend yield and improved refinancing flexibility provide partial support, but are outweighed by weak operating fundamentals and the high-cost, asset-secured nature of the new facility.
Positive Factors
Material de-leveraging
Reducing total debt to zero by 2025 materially lowers interest burden and refinancing risk, giving management optionality to prioritize property-level investments or strategic alternatives. A cleaner capital structure enhances financial flexibility over the next several quarters.
Negative Factors
Multi-year revenue decline
A near-55% fall in revenue over five years reflects structural challenges in the office portfolio: lower occupancy, lease roll-offs, or rent concessions. Persistent top-line shrinkage reduces scale, compresses margins, and limits ability to fund capex or tenant improvements internally.
Read all positive and negative factors
Positive Factors
Negative Factors
Material de-leveraging
Reducing total debt to zero by 2025 materially lowers interest burden and refinancing risk, giving management optionality to prioritize property-level investments or strategic alternatives. A cleaner capital structure enhances financial flexibility over the next several quarters.
Read all positive factors
Franklin Street Properties (FSP) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$68.44M
Dividend Yield4.71%
Average Volume (3M)671.36K
Price to Earnings (P/E)―
Beta (1Y)0.97
Revenue Growth-14.68%
EPS Growth-13.53%
CountryUS
Employees28
SectorReal Estate
Sector Strength53
IndustryREIT - Office
Share Statistics
EPS (TTM)-0.07
Shares Outstanding103,690,340
10 Day Avg. Volume456,985
30 Day Avg. Volume671,362
Financial Highlights & Ratios
PEG Ratio0.14
Price to Book (P/B)0.16
Price to Sales (P/S)0.91
P/FCF Ratio-7.74
Enterprise Value/Market Cap4.19
Enterprise Value/Revenue2.67
Enterprise Value/Gross Profit4.97
Enterprise Value/Ebitda16.30
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)-0.32
Revenue Forecast (FY)$125.11M
Franklin Street Properties Business Overview & Revenue Model
Company Description
Franklin Street Properties Corp., based in Wakefield, Massachusetts, is focused on infill and central business district (CBD) office properties in the U.S. Sunbelt and Mountain West, as well as select opportunistic markets. FSP seeks value-oriente...
How the Company Makes Money
FSP primarily makes money by generating rental revenue from tenants occupying space in its properties. Its key revenue stream is lease income (base rent) paid under office leases, which may also include contractual rent escalations over time. In a...
Franklin Street Properties Earnings Call Summary
Earnings Call Date:Apr 29, 2025
(Q1-2025)
| % Change Since: |
Next Earnings Date:May 05, 2026
Earnings Call Sentiment Neutral
While Franklin Street Properties Corp. has made significant strides in reducing corporate debt and shows promise with a growing leasing pipeline and strong demand in Texas markets, the company faces challenges with a reported net loss and decreased leasing activity. The leasing decisions have been impacted by market volatility and macroeconomic factors, making the overall sentiment mixed.Positive Updates
Debt Reduction Success
Since initiating the disposition strategy in late 2020, Franklin Street Properties Corp. has completed approximately $1.1 billion in property sales, contributing to a nearly 75% reduction in corporate indebtedness.
Negative Updates
Net Loss Reported
A GAAP net loss of approximately $21.4 million or $0.21 per share was reported for the first quarter of 2025.
Read all updates
Q1-2025 Updates
Positive
Negative
Debt Reduction Success
Since initiating the disposition strategy in late 2020, Franklin Street Properties Corp. has completed approximately $1.1 billion in property sales, contributing to a nearly 75% reduction in corporate indebtedness.
Read all positive updates
Company Guidance
During the Franklin Street Properties Corp. first quarter 2025 earnings call, several key metrics and strategic directions were discussed. The company reported funds from operations (FFO) of approximately $2.7 million or $0.03 per share, alongside a GAAP net loss of around $21.4 million or $0.21 per share. Leasing activity showed a decline, with the directly owned portfolio being 69.2% leased, down from 70.3% at the end of the previous quarter, and economic occupancy at 67.7%, a decrease from 68.6%. Despite a challenging quarter, 60,000 square feet of leasing was finalized, consisting solely of renewals and expansions. The company is also tracking a pipeline of approximately 800,000 square feet of prospective new tenants and 400,000 square feet of potential renewals. Additionally, Franklin Street Properties is marketing about 1 million square feet for potential disposition, having completed $1.1 billion in property sales since 2020, which significantly reduced corporate indebtedness by nearly 75%. The company remains cautious of macroeconomic uncertainties affecting leasing and investment decisions but is optimistic about potential improvements in the coming quarters.Franklin Street Properties Financial Statement Overview
Summary
Income Statement
28
Negative
Balance Sheet
66
Positive
Cash Flow
35
Negative
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 107.16M | 120.11M | 145.71M | 165.62M | 209.36M |
| Gross Profit | 46.91M | 52.35M | 67.78M | 78.17M | 107.42M |
| EBITDA | 22.56M | 21.64M | 33.68M | 89.69M | 206.21M |
| Net Income | -44.96M | -52.72M | -48.11M | 1.09M | 92.72M |
Balance Sheet | |||||
| Total Assets | 892.88M | 946.93M | 1.17B | 1.24B | 1.36B |
| Cash, Cash Equivalents and Short-Term Investments | 30.57M | 41.12M | 125.53M | 3.74M | 34.31M |
| Total Debt | 248.59M | 247.63M | 404.71M | 413.01M | 480.03M |
| Total Liabilities | 285.91M | 291.07M | 456.52M | 472.93M | 580.97M |
| Stockholders Equity | 606.98M | 655.86M | 712.80M | 768.74M | 783.20M |
Cash Flow | |||||
| Free Cash Flow | -12.66M | -16.23M | -13.77M | -39.68M | -28.47M |
| Operating Cash Flow | 3.75M | 8.99M | 17.87M | 15.23M | 36.36M |
| Investing Cash Flow | -10.31M | 70.28M | 113.64M | 74.04M | 505.47M |
| Financing Cash Flow | -5.56M | -164.47M | -10.25M | -123.39M | -505.24M |
Franklin Street Properties Technical Analysis
Neutral
0.94
Price Trends
0.73
Negative
0.84
Negative
1.20
Negative
Market Momentum
-0.02
Negative
48.44
Neutral
72.26
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FSP, the sentiment is Neutral. The current price of 0.94 is above the 20-day moving average (MA) of 0.63, above the 50-day MA of 0.73, and below the 200-day MA of 1.20, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 48.44 is Neutral, neither overbought nor oversold. The STOCH value of 72.26 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FSP.
Franklin Street Properties Risk Analysis
Franklin Street Properties disclosed 28 risk factors in its most recent earnings report. Franklin Street Properties reported the most risks in the "Production" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Franklin Street Properties Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
65 Neutral | $2.17B | 12.19 | 3.79% | 4.94% | 3.15% | 1.96% | |
51 Neutral | $826.38M | -6.00 | -4.45% | 6.09% | -1.23% | 9.10% | |
51 Neutral | $459.96M | -2.82 | -20.40% | 17.55% | -5.52% | 40.27% | |
48 Neutral | $126.42M | -0.91 | -20.16% | 7.34% | -11.41% | -56.73% | |
45 Neutral | $68.44M | -3.35 | -7.25% | 4.71% | -14.68% | -13.53% |
* Real Estate Sector Average
FSP
Franklin Street Properties
0.66
-0.87
-56.92%
PDM
Piedmont Office
6.61
0.11
1.69%
BDN
Brandywine Realty
2.64
-0.83
-23.96%
ONL
Orion Office REIT
2.24
0.60
36.59%
Franklin Street Properties Corporate Events
Business Operations and StrategyPrivate Placements and Financing
Franklin Street Properties Secures New $320 Million Credit Facility
Positive
Mar 4, 2026
On February 26, 2026, Franklin Street Properties Corp. entered into a new secured credit agreement providing a $320 million credit facility, comprising $275 million of initial term loans and up to $45 million of delayed draw term loans maturing in...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.