Firm Capital Property (FCD.UN) AI Stock Analysis

• Market Cap: C$225.25M
• Dividend Yield: 8.65%
• Average Volume (3M): 16.27K
• Price to Earnings (P/E): 11.9
• Beta (1Y): 0.23
• Revenue Growth: 2.69%
• EPS Growth: -45.80%
• Country: CA
• Employees: 1
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): 0.12
• Shares Outstanding: 36,925,682
• 10 Day Avg. Volume: 17,552
• 30 Day Avg. Volume: 16,271
• PEG Ratio: 0.05
• Price to Book (P/B): 0.67
• Price to Sales (P/S): 3.38
• P/FCF Ratio: 6.89
• 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: 68 Neutral
• Price Target: C$6.50 ▲(6.04% Upside)

The score is driven primarily by solid profitability and generally positive cash generation, tempered by earnings/free-cash-flow volatility, recent TTM revenue softness, and moderate-to-elevated REIT leverage. Technicals are mildly supportive with a modest uptrend and neutral momentum, while valuation is helped by a moderate P/E and a high dividend yield.

Positive Factors

High net margin

Sustained TTM net margin near 30% indicates strong operating profitability for a diversified REIT. Higher margins support distributable cash, underwriting of value-add projects and resilience to downside, enabling longer-term payouts and reinvestment capacity.

Positive operating and free cash flow

Consistent operating cash flow with recent positive free cash flow that covers most net income demonstrates reliable cash generation. This underpins dividend funding and capex for redevelopment, supporting capital allocation without immediate reliance on external financing.

Diversified income-generating portfolio

A diversified mix of commercial and residential assets and focus on value-added acquisitions reduces tenant and sector concentration risk. Active management and redevelopment capability improve long-term cash flow stability and potential for property-level returns.

Negative Factors

Moderate-to-elevated leverage

Debt roughly equal to equity is typical for REITs but leaves limited financial flexibility. Elevated leverage increases refinancing and interest-rate sensitivity, constraining ability to pursue opportunistic acquisitions or absorb cash-flow shocks during market stress.

TTM revenue decline

A near-term TTM revenue decline of ~4.9% signals weakening top-line momentum that can pressure distributable income and coverage metrics. If indicative of softer leasing or rental rates, it may reduce funds available for reinvestment and heighten dependence on external financing.

Earnings and free cash flow volatility

Material swings in earnings and free cash flow, including a loss year, make forecasting distributions and capital allocation harder. Volatility raises refinancing and liquidity risk during downturns and may necessitate more conservative payout policies or asset sales to stabilize cash flows.

Firm Capital Property Business Overview & Revenue Model

Company Description

Firm Capital Property Trust is focused on creating long-term value for Unitholders, through capital preservation and disciplined investing to achieve stable distributable income. In partnership with management and industry leaders, The Trust's plan is to own as well as to co-own a diversified property portfolio of multi-residential, flex industrial, net lease convenience retail, and core service provider professional space. In addition to stand alone accretive acquisitions, the Trust will make joint acquisitions with strong financial partners and acquisitions of partial interests from existing ownership groups, in a manner that provides liquidity to those selling owners and professional management for those remaining as partners. Firm Capital Realty Partners Inc., through a structure focused on an alignment of interests with the Trust sources, syndicates and property and asset manages investments on behalf of the Trust.

How the Company Makes Money

Firm Capital Property generates revenue primarily through rental income from its portfolio of properties. The company leases space to a variety of tenants, which provides a steady stream of cash flow. Additionally, Firm Capital may engage in property development and redevelopment projects, which can lead to increased property value and additional income through selling or leasing enhanced properties. Key revenue streams include long-term lease agreements with tenants in commercial and residential sectors, as well as potential profit from asset sales and capital appreciation. The company may also benefit from strategic partnerships, joint ventures, or collaborations that enhance its investment opportunities and operational efficiencies, contributing to its overall earnings.

Firm Capital Property Financial Statement Overview

Summary

Profitability is a key strength (TTM net margin ~30%) with generally positive operating cash flow and recent positive free cash flow. Offsetting this, revenue declined in TTM (~-4.9%), earnings and free cash flow have been volatile across years, and leverage is moderate-to-elevated for a REIT (debt-to-equity ~1.04 TTM), limiting flexibility.

Income Statement

Revenue has grown over the long run (2020–2024), but momentum softened in TTM (Trailing-Twelve-Months) with a ~4.9% decline. Profitability is a clear strength: gross and operating profitability remain solid in recent periods, and net margin is healthy in TTM (Trailing-Twelve-Months) (~30%). However, earnings have been volatile across years (notably a loss in 2022 and unusually high profitability in 2021), which lowers confidence in the stability of bottom-line performance.

Balance Sheet

The balance sheet reflects typical REIT leverage: debt is roughly in line with equity (debt-to-equity around ~1.0–1.15 across periods, ~1.04 in TTM (Trailing-Twelve-Months)). Asset base is sizable and fairly steady, but leverage remains a key constraint and reduces flexibility if financing costs rise or property values soften. Returns on equity are positive in TTM (Trailing-Twelve-Months) (~6%), but have fluctuated materially over time, including negative in 2022.

Cash Flow

Operating cash flow is consistently positive and free cash flow is positive in the last two periods, with TTM (Trailing-Twelve-Months) free cash flow covering most of net income (~85%). The main weakness is volatility: free cash flow swung sharply negative in 2021–2022 and the TTM (Trailing-Twelve-Months) free cash flow growth rate is meaningfully negative, indicating recent pressure versus the prior period. Cash generation is adequate, but less predictable than ideal.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	61.77M	60.58M	58.09M	54.02M	46.43M	44.54M
Gross Profit	35.21M	35.19M	37.30M	35.46M	30.22M	28.54M
EBITDA	33.28M	47.67M	29.28M	30.66M	66.76M	24.73M
Net Income	18.94M	33.89M	15.37M	-22.00M	58.39M	7.50M
Balance Sheet
Total Assets	637.04M	651.95M	637.38M	633.90M	576.36M	480.52M
Cash, Cash Equivalents and Short-Term Investments	5.88M	9.18M	8.33M	4.99M	5.90M	5.69M
Total Debt	318.71M	332.67M	335.29M	325.73M	264.97M	248.35M
Total Liabilities	331.88M	345.57M	345.69M	337.38M	280.44M	257.07M
Stockholders Equity	305.16M	306.38M	291.69M	296.51M	295.92M	223.45M
Cash Flow
Free Cash Flow	27.68M	29.70M	22.66M	-55.31M	-47.05M	11.73M
Operating Cash Flow	32.74M	34.42M	28.92M	29.97M	26.60M	22.32M
Investing Cash Flow	15.01M	1.96M	-561.66K	-80.71M	-47.83M	-10.55M
Financing Cash Flow	-49.18M	-35.53M	-25.01M	49.83M	21.44M	-18.84M

Firm Capital Property Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.13
• 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 TSE:FCD.UN, the sentiment is Positive. The current price of 6.13 is above the 20-day moving average (MA) of 6.08, above the 50-day MA of 5.97, and above the 200-day MA of 5.81, indicating a bullish trend. The MACD of 0.04 indicates Positive momentum. The RSI at 55.88 is Neutral, neither overbought nor oversold. The STOCH value of 64.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:FCD.UN.

Firm Capital Property Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BTB.UN	78 Outperform	C$368.08M	8.78	8.60%	7.37%	0.92%	92.93%
NET.UN	69 Neutral	C$126.98M	9.41	10.16%	6.15%	3.20%	39.37%
FCD.UN	68 Neutral	C$225.25M	11.89	6.20%	8.65%	2.69%	-45.80%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
MRT.UN	55 Neutral	C$441.78M	-9.69	-4.91%	3.85%	-5.37%	13.86%
HR.UN	52 Neutral	C$2.84B	-6.88	-8.74%	7.05%	-0.83%	-56.21%
MPCT.UN	44 Neutral	C$36.41M	-0.91	-9.99%	―	-25.69%	0.12%

Firm Capital Property Corporate Events

Firm Capital Property Trust Reports Q3/2025 Results with Strategic Refinancing

Firm Capital Property Trust reported its Q3/2025 financial results, highlighting a $38 million mortgage refinancing and a declining AFFO payout ratio. The Trust’s portfolio remains robust with high occupancy rates and a conservative leverage profile. Despite a slight decrease in net income and AFFO compared to the previous year, the Trust continues to maintain stable rental revenue and net operating income, reflecting its strong market positioning.

The most recent analyst rating on ($TSE:FCD.UN) stock is a Buy with a C$7.00 price target. To see the full list of analyst forecasts on Firm Capital Property stock, see the TSE:FCD.UN Stock Forecast page.