Elite Commercial REIT (MXNU) AI Stock Analysis

• Market Cap: £222.75M
• Dividend Yield: 8.36%
• Average Volume (3M): 458.74K
• Price to Earnings (P/E): 14.2
• Beta (1Y): 0.47
• Revenue Growth: -9.87%
• EPS Growth: N/A
• Country: SG
• Employees: N/A
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Office
• EPS (TTM): <0.01
• Shares Outstanding: 610,286,000
• 10 Day Avg. Volume: 315,330
• 30 Day Avg. Volume: 458,736
• PEG Ratio: -0.05
• Price to Book (P/B): 0.71
• Price to Sales (P/S): 4.41
• P/FCF Ratio: 7.59
• 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: £40.00
• Price Target Upside: 12.68% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Neutral
• Price Target: 39.00p ▲(9.86% Upside)

The most significant factor is the strong financial performance, particularly the gross profit margins and capital structure. However, concerns about declining revenue growth and net profit margins, along with liquidity challenges, weigh on the score. The technical analysis supports a positive trend, and the valuation is attractive, especially for income investors.

Positive Factors

Gross Profit Margin

A high gross profit margin indicates efficient cost management, which supports long-term profitability and competitiveness in the market.

Balanced Capital Structure

A balanced capital structure with moderate leverage provides financial stability and flexibility, enabling strategic investments and growth.

Board Restructuring

Restructuring the board enhances governance and strategic oversight, potentially leading to improved decision-making and long-term success.

Negative Factors

Declining Revenue Growth

Negative revenue growth suggests challenges in market expansion and customer acquisition, which could impact future earnings and market position.

Decreasing Net Profit Margin

A declining net profit margin indicates reduced profitability, which may affect the company's ability to reinvest in growth and maintain shareholder returns.

Liquidity Challenges

Declining free cash flow growth indicates potential liquidity issues, limiting the company's ability to fund operations and strategic initiatives.

Elite Commercial REIT Business Overview & Revenue Model

Company Description

Elite Commercial REIT (MXNU) is a real estate investment trust focused on acquiring and managing a diversified portfolio of commercial properties primarily in the retail and office sectors. The company aims to generate stable, long-term income through strategic investments in income-producing real estate while maximizing value for its shareholders. With a commitment to high-quality assets and operational excellence, Elite Commercial REIT positions itself as a leader in the commercial real estate market.

How the Company Makes Money

Elite Commercial REIT generates revenue primarily through leasing its commercial properties to tenants, which includes retail stores and office spaces. The company earns rental income from long-term leases, often structured to provide a steady cash flow. Additionally, Elite Commercial REIT may benefit from property appreciation, allowing for potential capital gains when properties are sold. The company may also engage in property management services, further diversifying its revenue streams. Strategic partnerships with property developers and local businesses can enhance its market reach and occupancy rates, contributing positively to its earnings.

Elite Commercial REIT Financial Statement Overview

Summary

Elite Commercial REIT shows strong gross profit margins and a balanced capital structure. However, declining revenue growth and net profit margins, along with challenges in free cash flow generation, suggest potential areas of concern. The company should focus on improving revenue streams and maintaining profitability to enhance financial stability.

Income Statement

Elite Commercial REIT's income statement shows a strong gross profit margin of 92.73% for 2024, indicating efficient cost management. However, the net profit margin has decreased significantly from 104.31% in 2020 to 52.45% in 2024, reflecting challenges in maintaining profitability. The revenue growth rate has been negative in recent years, with a decline of 5.31% in 2024, suggesting potential issues in revenue generation.

Balance Sheet

The balance sheet reveals a moderate debt-to-equity ratio of 0.77 in 2024, indicating a balanced approach to leveraging. However, the return on equity has decreased over the years, reaching 8.50% in 2024, which may affect investor confidence. The equity ratio stands at 54.77%, reflecting a stable capital structure with a good proportion of equity financing.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth by 33.73% in 2024, indicating potential liquidity challenges. The operating cash flow to net income ratio is strong at 1.81, suggesting efficient cash generation relative to net income. However, the free cash flow to net income ratio has decreased slightly, pointing to potential issues in converting income into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	39.17M	39.08M	45.21M	37.08M	34.73M	23.27M
Gross Profit	34.20M	36.24M	41.26M	35.63M	33.63M	18.97M
EBITDA	11.78M	33.13M	-10.05M	-10.84M	546.00K	15.56M
Net Income	14.85M	20.50M	-22.17M	-18.33M	-4.74M	24.27M
Balance Sheet
Total Assets	434.47M	440.30M	444.04M	486.80M	533.36M	332.89M
Cash, Cash Equivalents and Short-Term Investments	3.34M	6.63M	20.82M	7.44M	19.48M	20.15M
Total Debt	173.59M	184.56M	221.54M	221.51M	225.10M	101.91M
Total Liabilities	200.97M	199.13M	236.80M	238.89M	244.34M	115.73M
Stockholders Equity	233.50M	241.17M	207.24M	247.90M	289.02M	217.16M
Cash Flow
Free Cash Flow	25.87M	22.71M	40.88M	20.43M	22.69M	21.61M
Operating Cash Flow	25.87M	26.38M	44.55M	27.86M	22.69M	21.61M
Investing Cash Flow	-1.68M	-2.45M	-463.00K	-7.44M	-9.40M	0.00
Financing Cash Flow	-28.54M	-32.91M	-33.92M	-33.15M	-14.10M	-11.29M

Elite Commercial REIT Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 35.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:MXNU, the sentiment is Neutral. The current price of 35.5 is below the 20-day moving average (MA) of 35.95, below the 50-day MA of 35.87, and above the 200-day MA of 33.25, indicating a neutral trend. The MACD of 0.05 indicates Positive momentum. The RSI at 44.38 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SG:MXNU.

Elite Commercial REIT Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MXNU	70 Neutral	£222.75M	14.20	6.30%	8.36%	-9.87%	―
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
UD1U	65 Neutral	S$396.73M	30.61	1.69%	8.37%	-11.29%	―
ODBU	64 Neutral	$314.84M	11.06	6.49%	8.23%	-1.34%	-6.08%
OXMU	57 Neutral	$287.49M	95.24	0.38%	2.40%	-12.01%	―
XZL	53 Neutral	$147.93M	-6.49	-5.62%	5.06%	-6.01%	-36.46%
CMOU	51 Neutral	$245.45M	-15.77	-2.12%	―	-1.55%	78.22%