MacKenzie Realty Capital, Inc. (MKZR) AI Stock Analysis

• Market Cap: $10.38M
• Dividend Yield: 30.44%
• Average Volume (3M): 59.55K
• Price to Earnings (P/E): ―
• Beta (1Y): 21.78
• Revenue Growth: 43.87%
• EPS Growth: -4679.89%
• Country: US
• Employees: N/A
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): -1.51
• Shares Outstanding: 15,781,929
• 10 Day Avg. Volume: 55,880
• 30 Day Avg. Volume: 59,545
• PEG Ratio: 0.03
• Price to Book (P/B): 0.15
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -13.06
• Enterprise Value/Market Cap: 13.16
• Enterprise Value/Revenue: 1.79
• Enterprise Value/Gross Profit: 12.34
• Enterprise Value/Ebitda: -56.60
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 45 Neutral
• Price Target: $0.50 ▼(-53.70%Downside)

MacKenzie Realty Capital, Inc. is under financial strain with high leverage and poor profitability, which are the most significant concerns. The technical analysis suggests bearish sentiment, and the mixed valuation signals further complicate the outlook. While corporate events show some proactive financial maneuvers, they are overshadowed by fundamental weaknesses.

MacKenzie Realty Capital, Inc. Business Overview & Revenue Model

Company Description

MacKenzie Realty Capital, Inc. (MKZR) is a real estate investment company primarily focused on providing capital solutions to small and middle-market companies. It engages in the acquisition, ownership, and management of a diversified portfolio of real estate assets, including properties and loans. The company operates within the real estate and financial services sectors, aiming to generate stable returns through its investments.

How the Company Makes Money

MacKenzie Realty Capital, Inc. generates revenue primarily through the acquisition and management of real estate assets and loans. The company earns income from property leases, interest payments on loans, and capital gains from the sale of appreciated assets. Additionally, MKZR may engage in strategic partnerships and joint ventures to enhance its investment portfolio and revenue streams. The company's earnings are significantly influenced by its ability to identify lucrative investment opportunities and effectively manage its real estate holdings.

MacKenzie Realty Capital, Inc. Financial Statement Overview

Summary

MacKenzie Realty Capital, Inc. faces financial challenges with negative profitability, high leverage, and liquidity issues. Despite revenue growth, persistent operational losses and high debt levels are significant concerns, indicating weak financial health.

Income Statement

The company's income statement reveals a challenging financial position with negative net income and EBIT for TTM (Trailing-Twelve-Months). While there is a positive revenue growth trajectory, the persistent negative profit margins indicate that operational costs are not being covered effectively. The company's EBIT and EBITDA margins are also negative, suggesting operational inefficiencies.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio, reflecting significant leverage which poses financial risk. Stockholders' equity has decreased over time, and the equity ratio indicates moderate reliance on equity financing. Return on equity is negative due to consistent losses. Overall, the high level of debt compared to equity is a concern.

Cash Flow

Cash flow analysis indicates negative free cash flow, which, coupled with negative operating cash flow, highlights liquidity issues. The operating cash flow to net income ratio is unfavorable, suggesting poor cash generation from operations. Moreover, the free cash flow to net income ratio is also negative, underscoring cash inefficiencies.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2020
Income Statement
Total Revenue	21.72M	15.74M	15.11M	10.37M	8.73M
Gross Profit	11.07M	5.99M	3.07M	1.49M	5.59M
EBITDA	-2.98M	2.05M	8.68M	11.18M	3.47M
Net Income	-22.17M	-12.08M	-4.10M	4.56M	-11.73M
Balance Sheet
Total Assets	224.65M	233.09M	213.16M	182.56M	104.17M
Cash, Cash Equivalents and Short-Term Investments	5.14M	11.85M	17.24M	7.40M	8.96M
Total Debt	131.19M	118.50M	94.94M	69.43M	0.00
Total Liabilities	139.22M	125.14M	102.15M	78.34M	941.04K
Stockholders Equity	66.65M	82.36M	98.91M	97.85M	103.23M
Cash Flow
Free Cash Flow	-806.15K	-595.52K	-6.62M	4.62M	-1.73M
Operating Cash Flow	-806.15K	-595.52K	-6.62M	4.62M	-1.73M
Investing Cash Flow	-16.31M	-1.30M	2.36M	-32.16M	0.00
Financing Cash Flow	6.43M	-3.17M	451.00K	28.79M	9.41M

MacKenzie Realty Capital, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.08
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MKZR, the sentiment is Negative. The current price of 1.08 is above the 20-day moving average (MA) of 0.67, above the 50-day MA of 0.87, and below the 200-day MA of 2.18, indicating a neutral trend. The MACD of -0.06 indicates Negative momentum. The RSI at 36.76 is Neutral, neither overbought nor oversold. The STOCH value of 40.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MKZR.

MacKenzie Realty Capital, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MDV	64 Neutral	$148.85M	75.12	1.54%	7.95%	-4.13%	79.39%
Sector *	64 Neutral	$6.97B	18.66	-1.93%	6.82%	4.65%	-25.39%
FVR	62 Neutral	$227.50M	―	-0.37%	3.54%	―	―
SQFT	50 Neutral	$6.01M	―	-49.21%	4.02%	2.72%	-584.61%
MDRR	46 Neutral	$25.03M	471.19	-16.85%	2.40%	-10.27%	-32.99%
MKZR	45 Neutral	$10.38M	―	-28.98%	30.44%	43.87%	-4679.89%
GIPR	44 Neutral	$8.00M	―	-110.42%	7.75%	10.31%	39.90%

MacKenzie Realty Capital, Inc. Corporate Events

MacKenzie Realty Capital Announces Quarterly Dividends Approval

On July 11, 2025, MacKenzie Realty Capital, Inc. announced the approval of regular dividends for the quarter ending September 30, 2025, for its Series A and B Preferred shares. The dividends are structured based on the investor’s date of acceptance into the fund, with varying amounts distributed accordingly. This decision reflects the company’s commitment to maintaining investor confidence and capitalizing on new investment opportunities.

MacKenzie Realty Announces 1-for-10 Reverse Stock Split

On July 9, 2025, MacKenzie Realty Capital, Inc. announced its Board of Directors’ approval of a 1-for-10 reverse stock split, effective from July 3, 2025. This move aims to increase the per share trading price of the company’s common stock to meet the minimum bid price requirement for continued listing on the Nasdaq Capital Market. The reverse stock split will reduce the number of outstanding shares from approximately 15.78 million to 1.58 million, with proportional adjustments to stock warrants. The effective date will be announced at least two business days prior to implementation, and stockholders are not required to take any action to receive post-split shares.

MacKenzie Realty Capital Secures $3M Loan for REIT Investment

On June 11, 2025, MacKenzie Realty Capital, Inc. entered into a $3 million loan agreement with Streeterville Capital, LLC to purchase non-traded REIT shares. This strategic move is part of MacKenzie’s ongoing business strategy to strengthen its balance sheet and increase cash flow by investing in non-traded REITs. The loan will fund recent and future purchases of Starwood REIT shares, allowing MacKenzie to continue its investment activities with greater financial flexibility.

MacKenzie Realty Updates Series C Articles Supplementary

MacKenzie Realty Capital, Inc. has made an update regarding its Series C Articles Supplementary, as outlined in their recent Form 8-K filing. This update may have implications for the company’s operational strategies and stakeholder interests.

MacKenzie Realty Capital Secures $9.5M Loan Refinancing

On June 6, 2025, MacKenzie Realty Capital, Inc. successfully refinanced its Main Street West property in Napa, California, with a $9.5 million loan from Evertrust Bank. This refinancing replaces the previous loan from First Northern Bank of Dixon, which was in maturity default. The new loan, with a 7.5% interest rate and a maturity date of May 30, 2028, is part of MacKenzie’s strategy to manage its balance sheet and drive long-term growth, highlighting the company’s proactive approach and strong lender relationships in the challenging commercial real estate market.

MacKenzie Realty Capital Suspends Quarterly Cash Dividend

On May 19, 2025, MacKenzie Realty Capital announced its financial results for the third quarter ending March 31, 2025, reporting a net revenue increase to $4.3 million but also a net operating loss of $5.8 million. The company has decided to suspend its quarterly cash dividend to common stockholders as part of a strategy to strengthen its balance sheet by reducing debt and improving free cash flow. This decision comes amidst economic uncertainties and fluctuating interest rates, with the company focusing on growth initiatives and financial discipline to ensure long-term value creation.