Alternative Income REIT Plc (AIRE) AI Stock Analysis

• Market Cap: £55.79M
• Dividend Yield: 8.87%
• Average Volume (3M): 144.23K
• Price to Earnings (P/E): 10.9
• Beta (1Y): 0.49
• Revenue Growth: 4.10%
• EPS Growth: 88.43%
• Country: UK
• Employees: 220
• Sector: Real Estate
• Sector Strength: 86
• Industry: REIT - Diversified
• EPS (TTM): 0.06
• Shares Outstanding: 80,500,000
• 10 Day Avg. Volume: 139,259
• 30 Day Avg. Volume: 144,233
• PEG Ratio: 0.12
• Price to Book (P/B): N/A
• Price to Sales (P/S): 6.78
• Price to Cash Flow (P/CF): 5.10
• P/FCF Ratio: 5.10
• 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

Alternative Income REIT Plc shows a strong recovery in financial performance with improved margins and cash flow management. The stock's technical indicators point to positive momentum, and its valuation is attractive with a high dividend yield. Recent corporate events further bolster the stock's outlook, showcasing a robust interim performance and strategic acquisitions. However, the absence of earnings call data limits insight into management's forward-looking statements.

Alternative Income REIT Plc Business Overview & Revenue Model

Company Description

Alternative Income REIT Plc (AIRE) is a UK-based real estate investment trust that focuses on acquiring and managing a diversified portfolio of properties with long-term, inflation-linked leases. The company's core sectors include commercial, retail, industrial, and healthcare properties. AIRE aims to provide investors with stable, predictable income by investing in properties that offer long-term rental agreements with creditworthy tenants.

How the Company Makes Money

Alternative Income REIT Plc generates revenue primarily through the rental income derived from its property portfolio. This income is typically secured through long-term leases with inflation-linked rent reviews, ensuring stable and predictable cash flows. The company focuses on properties with high-quality tenants, which helps minimize vacancy risks and maintain a steady income stream. AIRE may also engage in strategic property acquisitions and disposals to optimize its portfolio and capitalize on market opportunities, potentially enhancing overall returns. Additionally, the company may benefit from appreciating property values, although rental income remains the primary source of revenue.

Alternative Income REIT Plc Financial Statement Overview

Summary

Alternative Income REIT Plc displays signs of recovery with improved profitability margins and efficient cash flow management. Despite revenue downturns, the company maintains a strong capital structure and leverage position. The financial health is bolstered by robust gross profit and operating cash flow metrics, though attention to revenue growth and net income stability is necessary.

Income Statement

The income statement reveals a decrease in total revenue from the previous year, with a significant drop of 8.78% from 2023 to 2024. The gross profit margin is robust at 86.84%, indicating efficient management of direct costs. However, the net profit margin of 29.84% is a considerable improvement from the negative margin in 2023, suggesting recovery, though the volatility in net income remains a concern.

Balance Sheet

The balance sheet shows a stable equity ratio of 59.84%, indicating a solid capital structure. The debt-to-equity ratio is moderate at 0.63, suggesting manageable leverage levels. Return on equity improved to 3.62% in 2024, a positive shift from the previous year's negative performance, highlighting better efficiency in generating profits from equity.

Cash Flow

Cash flow statements demonstrate solid operating cash flow, covering net income with a favorable operating cash flow to net income ratio of 1.71. A decline in free cash flow growth by 20.58% signals potential pressures on liquidity. However, the free cash flow to net income ratio remains healthy, reflecting good cash generation relative to profits.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
8.04M	7.90M	8.66M	7.90M	7.41M	7.81M
	Gross Profit
7.17M	6.86M	7.54M	7.00M	6.49M	6.89M
	EBIT
6.29M	6.15M	6.86M	6.47M	5.99M	5.91M
	EBITDA
1.08M	6.15M	0.00	0.00	0.00	0.00
	Net Income Common Stockholders
2.71M	2.36M	-5.24M	13.17M	5.57M	-5.05M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
3.11M	3.29M	3.48M	2.54M	2.12M	2.29M
	Total Assets
117.31M	108.84M	111.52M	121.70M	112.82M	110.71M
	Total Debt
30.00M	40.83M	41.02M	40.95M	40.89M	40.83M
	Net Debt
26.89M	-3.29M	37.54M	38.41M	38.77M	38.54M
	Total Liabilities
38.85M	43.72M	43.77M	44.10M	43.93M	43.43M
	Stockholders Equity
78.46M	65.12M	67.75M	77.60M	68.89M	67.29M
Cash Flow		Free Cash Flow
3.61M	4.02M	5.06M	4.90M	6.73M	800.00K
	Operating Cash Flow
3.61M	4.02M	5.06M	4.90M	6.73M	800.00K
	Investing Cash Flow
2.08M	2.08M	606.00K	21.00K	-2.91M	0.00
	Financing Cash Flow
-5.66M	-6.29M	-4.73M	-4.49M	-3.99M	-4.03M

Alternative Income REIT Plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 69.30
• 50DMA: Negative
• 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 GB:AIRE, the sentiment is Positive. The current price of 69.3 is below the 20-day moving average (MA) of 69.59, below the 50-day MA of 69.53, and above the 200-day MA of 67.76, indicating a neutral trend. The MACD of -0.08 indicates Positive momentum. The RSI at 38.05 is Neutral, neither overbought nor oversold. The STOCH value of 35.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:AIRE.

Alternative Income REIT Plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ESP	71 Outperform	£535.18M	14.14	4.48%	4.59%	4.60%	-35.59%
AEWU	69 Neutral	£151.30M	16.73	5.56%	8.38%	―	―
AIRE	69 Neutral	£55.79M	10.91	7.77%	8.87%	4.10%	88.43%
SREI	68 Neutral	£217.17M	71.61	1.05%	7.57%	―	―
Sector *	61 Neutral	$4.30B	16.20	-3.61%	11.22%	6.29%	-21.37%
PCTN	58 Neutral	$344.00M	43.36	1.55%	5.47%	2.51%	―
RGL	57 Neutral	£165.65M	―	-12.02%	13.88%	-0.98%	27.18%

Alternative Income REIT Plc Corporate Events

Alternative Income REIT Plc Announces Managerial Share Transaction

Alternative Income REIT Plc announced a transaction involving the sale of 50,000 ordinary shares at £0.69 each by Glenstone REIT plc, a person closely associated with Adam C Smith, a person discharging managerial responsibilities. This transaction, conducted on the London Stock Exchange, reflects internal shareholding adjustments and may impact the company’s stock liquidity and stakeholder perceptions.

Alternative Income REIT Announces Managerial Share Sale

Alternative Income REIT Plc has announced a transaction involving the sale of 100,000 ordinary shares by Glenstone REIT plc, a person closely associated with Adam C Smith, a person discharging managerial responsibilities. The shares were sold at a price of £0.67 each, totaling £67,000, and the transaction took place on the London Stock Exchange. This transaction reflects a significant managerial decision that could impact the company’s stock performance and investor perception.

Alternative Income REIT Plc Reports Share Sale by Key Stakeholder

Alternative Income REIT Plc announced a transaction involving the sale of 35,000 ordinary shares by Glenstone REIT plc, a person closely associated with Adam C Smith. The shares were sold at a price of £0.70365143 each, totaling £24,627.80, on the London Stock Exchange. This transaction reflects a strategic financial decision by a key stakeholder, potentially impacting the company’s market positioning and shareholder value.

Alternative Income REIT Plc Announces Share Sale by Glenstone REIT

Alternative Income REIT Plc announced the sale of 85,000 ordinary shares at a price of £0.70141177 each, totaling £59,620.00. This transaction was conducted by Glenstone REIT plc, a person closely associated with Adam C Smith, on the London Stock Exchange. The sale of shares could impact the company’s stock liquidity and market perception, potentially influencing stakeholder decisions.

Alternative Income REIT Plc Announces Share Sale by Glenstone REIT

Alternative Income REIT Plc announced the sale of 150,000 ordinary shares at a price of £0.69816 each, totaling £104,724.00. This transaction, conducted on the London Stock Exchange, involves Glenstone REIT plc, a person closely associated with Adam C Smith, highlighting the ongoing financial activities and adjustments within the company’s shareholder structure.

Alternative Income REIT Plc Announces Share Sale by Glenstone Property

Alternative Income REIT Plc has announced the sale of shares by Glenstone Property plc, a person closely associated with Adam C Smith. The transactions involved the sale of 160,000 ordinary shares at varying prices, conducted on the London Stock Exchange between March 7 and March 11, 2025. This notification highlights the ongoing management of shareholdings within the company, which may impact investor perceptions and the company’s stock market performance.

Alternative Income REIT Plc Announces Share Sale by Glenstone Property

Alternative Income REIT Plc announced a transaction involving the sale of 250,000 ordinary shares by Glenstone Property plc, a person closely associated with Adam C Smith. The shares were sold at a price of £0.7172 each, totaling £179,300, on the London Stock Exchange. This transaction may impact the company’s market positioning and shareholder dynamics by altering the distribution of shares among stakeholders.

Alternative Income REIT Plc Announces Change in Voting Rights

Alternative Income REIT Plc has announced a change in its voting rights structure following an acquisition or disposal of shares by Glenstone REIT Plc. The transaction resulted in Glenstone REIT holding 24.73% of the voting rights, down from a previous 25.04%. This adjustment in holdings may influence the company’s strategic decisions and stakeholder dynamics, as Glenstone REIT remains a significant shareholder.

Alternative Income REIT Reports Strong Half-Year Performance with Increased NAV and Dividend Prospects

Alternative Income REIT plc reported a positive interim financial performance for the half year ending 31 December 2024, with a 1.3% increase in Net Asset Value (NAV) and a share price total return of 11.8%. The company is on track to meet its annual dividend target of 6.2 pence per share, supported by a resilient portfolio and successful acquisition of Champney’s Beauty College. The portfolio’s value increased to £106.2 million, and the company maintained a strong income stream with 91.5% of leases being index-linked. The board remains confident in the company’s future positioning, despite anticipating higher interest rates upon refinancing its loan in 2025.

Alternative Income REIT Announces Dividend and Portfolio Performance Update

Alternative Income REIT PLC announced an interim dividend of 1.55 pence per share for the quarter ending December 31, 2024, maintaining its target annual dividend of 6.2 pence per share for the year ending June 2025. The company’s unaudited net asset value (NAV) increased by 0.8% to £66.0 million, with a total NAV return of 2.7% for the quarter. Despite a decrease in share price, resulting in an increased discount to NAV, the company demonstrates resilience with a fully let portfolio and 100% rent collection. The portfolio’s valuation increased by £0.6 million, and the company is preparing for future refinancing of its senior loan maturing in October 2025.