JBG Smith Properties (JBGS) AI Stock Analysis

• Market Cap: $1.73B
• Dividend Yield: 3.07%
• Average Volume (3M): 1.27M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.80
• Revenue Growth: -11.33%
• EPS Growth: -22.04%
• Country: US
• Employees: 645
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Office
• EPS (TTM): -0.29
• Shares Outstanding: 61,724,342
• 10 Day Avg. Volume: 1,664,623
• 30 Day Avg. Volume: 1,269,572
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.41
• Enterprise Value/Revenue: 8.10
• Enterprise Value/Gross Profit: 14.45
• Enterprise Value/Ebitda: 28.76
• 1Y Price Target: $18.50
• Price Target Upside: -18.93% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 2

• Rating: 53 Neutral
• Price Target: $20.50 ▼(-10.17% Downside)

JBG Smith Properties faces significant financial challenges with declining revenues and high leverage, which weigh heavily on its overall score. However, the stock's technical indicators show some positive momentum, and the dividend yield provides a modest offset to the financial concerns. The lack of earnings call and corporate events data limits further insights.

Positive Factors

Diverse Revenue Streams

The company's diverse revenue streams from residential, commercial, and retail leasing provide a stable income base, reducing dependency on any single market segment and enhancing resilience against sector-specific downturns.

Strategic Partnerships

Strategic partnerships enable JBGS to leverage external expertise and resources, facilitating large-scale developments and potentially leading to increased revenue and market influence in the Washington, D.C. area.

Mixed-Use Development Focus

The focus on mixed-use developments aligns with urbanization trends, offering integrated living, working, and shopping spaces that meet modern consumer demands, potentially driving long-term occupancy and rental growth.

Negative Factors

High Leverage

High leverage increases financial risk, potentially limiting the company's ability to invest in new projects or weather economic downturns, and may lead to higher interest expenses impacting profitability.

Declining Revenue

Declining revenue indicates potential challenges in maintaining market share or pricing power, which could impact long-term profitability and the ability to fund future growth initiatives.

Negative Profitability

Negative profitability reflects operational inefficiencies and financial strain, which may hinder the company's ability to reinvest in its properties and sustain competitive positioning in the market.

JBG Smith Properties Business Overview & Revenue Model

Company Description

JBG Smith Properties (JBGS) is a real estate investment trust (REIT) that focuses on the ownership, development, and management of mixed-use properties in the Washington, D.C. metropolitan area. The company operates primarily in the sectors of residential, commercial, and retail real estate, providing a diverse portfolio that includes multifamily apartments, office spaces, and retail environments. Through strategic developments and property management, JBGS aims to enhance the urban landscape and create vibrant communities.

How the Company Makes Money

JBG Smith Properties generates revenue through several key streams. Primarily, the company earns income from leasing residential units and commercial spaces, which includes long-term leases in their multifamily and office properties. Additionally, JBGS profits from rental income in retail spaces located in their mixed-use developments. The company also engages in property development projects, which can lead to significant gains upon completion and leasing of new developments. Strategic partnerships with other real estate developers and local government entities further enhance their ability to undertake large-scale projects, contributing to additional revenue sources. Furthermore, JBGS may benefit from property appreciation over time, leading to increased asset value and potential capital gains upon sale.

JBG Smith Properties Financial Statement Overview

Summary

JBG Smith Properties is facing financial difficulties with declining revenues, negative profitability, and high leverage. The income statement shows operational challenges, while the balance sheet reflects significant debt levels. Cash flow constraints further exacerbate the situation. The company needs to focus on improving operational efficiency and managing its debt to enhance financial health.

Income Statement

The income statement reveals significant challenges, with declining revenue and negative net income. The TTM data shows a gross profit margin of 56.05%, but a concerning net profit margin of -29.54%. Revenue has been decreasing over the past periods, and the EBIT margin is negative, indicating operational inefficiencies. EBITDA margin remains positive at 28.16%, suggesting some operational cash flow generation capability.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio of 1.92 in the TTM period, indicating significant leverage. The return on equity is negative, reflecting ongoing losses. The equity ratio is not explicitly calculated, but the high debt levels suggest potential financial risk. The company needs to manage its leverage to improve financial stability.

Cash Flow

Cash flow analysis indicates a challenging environment with negative free cash flow and a significant decline in free cash flow growth. The operating cash flow to net income ratio is 0.33, suggesting that operating cash flow is insufficient to cover net losses. The free cash flow to net income ratio is negative, highlighting cash flow constraints.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	513.97M	547.31M	604.20M	605.82M	634.36M	602.72M
Gross Profit	288.06M	273.83M	313.53M	299.12M	305.74M	250.97M
EBITDA	144.74M	214.44M	242.89M	239.40M	225.51M	172.22M
Net Income	-151.84M	-143.53M	-79.98M	85.37M	-82.11M	-65.40M
Balance Sheet
Total Assets	4.55B	5.02B	5.52B	5.90B	6.39B	6.08B
Cash, Cash Equivalents and Short-Term Investments	61.43M	145.80M	164.77M	241.10M	264.36M	225.60M
Total Debt	2.54B	2.62B	2.64B	2.44B	2.82B	1.99B
Total Liabilities	2.68B	2.79B	2.83B	2.71B	3.45B	2.34B
Stockholders Equity	1.32B	1.81B	2.22B	2.68B	2.92B	3.21B
Cash Flow
Free Cash Flow	-4.26M	-88.64M	-150.37M	-148.70M	44.45M	-138.48M
Operating Cash Flow	100.34M	129.39M	183.37M	178.04M	217.62M	169.02M
Investing Cash Flow	352.89M	144.16M	-98.18M	524.02M	-368.74M	-167.69M
Financing Cash Flow	-568.16M	-290.80M	-158.82M	-730.08M	189.88M	119.49M

JBG Smith Properties Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 22.82
• 50DMA: Positive
• 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 JBGS, the sentiment is Positive. The current price of 22.82 is below the 20-day moving average (MA) of 22.86, above the 50-day MA of 20.99, and above the 200-day MA of 16.96, indicating a neutral trend. The MACD of 0.80 indicates Positive momentum. The RSI at 55.51 is Neutral, neither overbought nor oversold. The STOCH value of 24.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JBGS.

JBG Smith Properties Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DEA	66 Neutral	1.03B	57.76	1.29%	9.76%	8.18%	-15.35%
PGRE	64 Neutral	1.52B	-18.18	-1.47%	―	-1.68%	63.27%
ELME	60 Neutral	1.47B	-101.21	-1.36%	4.31%	4.59%	73.22%
PDM	57 Neutral	1.11B	-15.86	-4.42%	5.72%	-6.74%	17.44%
JBGS	53 Neutral	$1.73B	―	-9.19%	3.07%	-11.33%	-22.04%
HPP	50 Neutral	1.03B	-0.93	-12.34%	―	-9.68%	-69.03%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%