Real Estate ate ate Investors (RLE) AI Stock Analysis

• Market Cap: £56.83M
• Dividend Yield: 5.02%
• Average Volume (3M): 105.56K
• Price to Earnings (P/E): 49.2
• Beta (1Y): 0.13
• Revenue Growth: -9.28%
• EPS Growth: N/A
• Country: UK
• Employees: 7
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): <0.01
• Shares Outstanding: 174,848,190
• 10 Day Avg. Volume: 158,177
• 30 Day Avg. Volume: 105,561
• PEG Ratio: 0.29
• Price to Book (P/B): 0.57
• Price to Sales (P/S): 4.77
• P/FCF Ratio: 17.90
• 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: 54 Neutral
• Price Target: 32.00p ▲(0.31% Upside)

The overall stock score is primarily influenced by financial performance and technical analysis. The company's stable balance sheet and positive cash flow are offset by declining revenue and profitability challenges. Technical indicators suggest neutral momentum, while valuation highlights a high dividend yield but negative earnings.

Positive Factors

Stable Balance Sheet

A moderate debt-to-equity ratio indicates manageable leverage, providing a stable financial foundation and flexibility for future investments.

Positive Operating Cash Flow

Consistent positive operating cash flow demonstrates the company's ability to sustain operations and invest in growth, despite profitability challenges.

EPS Growth

Significant EPS growth suggests improving efficiency and potential for future profitability, enhancing shareholder value over the long term.

Negative Factors

Declining Revenue

Declining revenue indicates challenges in market demand or competitive positioning, which could impact long-term growth and profitability.

Negative Profit Margins

Negative profit margins reflect operational inefficiencies and profitability challenges, potentially limiting reinvestment and growth opportunities.

Decreased Free Cash Flow

A significant drop in free cash flow suggests potential liquidity issues, constraining the company's ability to fund new projects or reduce debt.

Real Estate ate ate Investors Business Overview & Revenue Model

Company Description

Real Estate Investors Plc is a publicly quoted, internally managed property investment company and REIT with a portfolio of 1.59 million sq ft of mixed-use commercial property, managed by a highly-experienced property team with over 100 years of combined experience of operating in the Midlands property market across all sectors. The Company's strategy is to invest in well located, real estate assets in the established and proven markets across the Midlands, with income and capital growth potential, realisable through active portfolio management, refurbishment, change of use and lettings. The portfolio has no material reliance on a single asset or occupier. On 1st January 2015, the Company converted to a REIT. Real Estate Investment Trusts are listed property investment companies or groups not liable to corporation tax on their rental income or capital gains from their qualifying activities. The Company aims to deliver capital growth and income enhancement from its assets, supporting its progressive dividend policy, which has enjoyed 7 years of consecutive growth. Further information on the Company can be found at www.reiplc.com.

How the Company Makes Money

RLE generates revenue through multiple streams, including rental income from its managed properties, profits from property sales after appreciation and renovations, and fees from advisory services provided to clients. The company also collaborates with financial institutions and real estate investment trusts (REITs) to leverage additional capital for acquisitions, enhancing its investment capabilities. Key partnerships with local contractors and real estate agencies further facilitate cost-effective renovations and market access, contributing significantly to its overall earnings.

Real Estate ate ate Investors Financial Statement Overview

Summary

The company's financial health shows both strengths and weaknesses. The balance sheet is stable with moderate leverage, but the income statement reflects declining revenue and profitability challenges. Cash flow generation is positive but has decreased, indicating potential liquidity management concerns.

Income Statement

The company has experienced declining revenue over the past years, with a revenue decrease of 6.44% from 2023 to 2024. The net profit margin is negative in recent years, indicating profitability challenges, with net income at a loss of -21.88% in 2024. Additionally, margins have deteriorated, with a gross profit margin of 79.38% in 2024, down from previous years. The EBIT margin dropped significantly, and negative EBITDA further reflects operational difficulties.

Balance Sheet

The company maintains a moderate debt-to-equity ratio of 0.44 in 2024, which shows a manageable level of leverage. However, the equity ratio has decreased over time, indicating reduced equity in relation to total assets. ROE is negative due to net losses, impacting shareholders' returns. Overall, the balance sheet is stable but suggests room for improvement in financial leverage management.

Cash Flow

Operating cash flow remains positive, showing the company's ability to generate cash from operations, with a ratio to net income improving as losses narrow. However, free cash flow has decreased by 51.04% from 2023 to 2024, reflecting a need for better cash management strategies. The operating cash flow to net income ratio indicates resilience despite net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	10.01M	10.77M	11.51M	13.29M	15.97M	16.43M
Gross Profit	4.11M	8.55M	9.28M	10.80M	12.64M	15.03M
EBITDA	5.57M	983.00K	-7.04M	13.92M	10.99M	11.29M
Net Income	1.14M	-2.36M	-9.41M	10.93M	13.92M	-20.64M
Balance Sheet
Total Assets	130.72M	133.93M	156.03M	186.42M	204.30M	209.90M
Cash, Cash Equivalents and Short-Term Investments	6.10M	6.88M	7.98M	7.82M	9.84M	4.24M
Total Debt	37.87M	39.20M	54.41M	71.47M	89.44M	101.35M
Total Liabilities	42.29M	44.43M	60.48M	77.45M	99.28M	112.22M
Stockholders Equity	88.43M	89.50M	95.56M	108.97M	105.02M	97.67M
Cash Flow
Free Cash Flow	279.00K	2.87M	5.86M	4.19M	8.62M	5.70M
Operating Cash Flow	1.51M	5.98M	6.60M	4.19M	8.62M	6.04M
Investing Cash Flow	12.78M	15.37M	16.72M	19.55M	15.16M	-341.00K
Financing Cash Flow	-13.58M	-22.45M	-23.16M	-25.77M	-18.19M	-11.55M

Real Estate ate ate Investors Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 31.90
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:RLE, the sentiment is Positive. The current price of 31.9 is below the 20-day moving average (MA) of 32.30, below the 50-day MA of 32.37, and above the 200-day MA of 31.09, indicating a bullish trend. The MACD of -0.02 indicates Negative momentum. The RSI at 57.58 is Neutral, neither overbought nor oversold. The STOCH value of 82.79 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:RLE.

Real Estate ate ate Investors Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AIRE	73 Outperform	£61.18M	8.43	10.96%	8.23%	8.48%	207.85%
AEWU	71 Outperform	£170.73M	13.38	7.37%	7.43%	-10.95%	-30.09%
PCA	66 Neutral	£42.07M	22.63	4.34%	7.14%	-41.22%	―
SREI	66 Neutral	£274.88M	―	―	6.64%	―	―
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
RLE	54 Neutral	£56.83M	49.24	1.28%	5.02%	-9.28%	―
TOWN	46 Neutral	£51.98M	-15.08	-2.97%	3.94%	16.08%	56.94%

Real Estate ate ate Investors Corporate Events

Real Estate Investors Plc Declares Q3 2025 Dividend Amid Strategic Portfolio Sale

Real Estate Investors Plc has declared a Q3 dividend of 0.4 pence per share for the period from July 1 to September 30, 2025, to be paid on January 16, 2026. This announcement is part of the company’s ongoing strategy to provide consistent shareholder returns while executing a strategic sale of its portfolio to optimize financial outcomes and reduce debt.

The most recent analyst rating on (GB:RLE) stock is a Hold with a £32.00 price target. To see the full list of analyst forecasts on Real Estate ate ate Investors stock, see the GB:RLE Stock Forecast page.