First Capital Realty (FCR.UN) AI Stock Analysis

• Market Cap: C$4.09B
• Dividend Yield: 4.67%
• Average Volume (3M): 241.01K
• Price to Earnings (P/E): 15.6
• Beta (1Y): 0.82
• Revenue Growth: 2.53%
• EPS Growth: N/A
• Country: CA
• Employees: 364
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Retail
• EPS (TTM): 0.30
• Shares Outstanding: 212,400,000
• 10 Day Avg. Volume: 222,254
• 30 Day Avg. Volume: 241,007
• 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: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$21.50
• Price Target Upside: 11.57% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 73 Outperform
• Price Target: C$21.00 ▲(8.98% Upside)

First Capital Realty's overall stock score is driven by strong earnings call performance and positive technical indicators. The company's solid financial foundation and fair valuation further support the score, despite challenges in revenue growth and cash flow stability. The positive outlook from the earnings call, with record occupancy and rental rates, is a significant strength, while the need for strategic improvements in financial performance remains a key area to watch.

Positive Factors

Asset Management

The REIT's asset sales strategy focuses on non-core properties, achieving a sale price 25% above the IFRS value for a Montreal site.

Debt Reduction

Net debt to EBITDA is currently 9.0x, down from 9.9x, and the REIT appears on track to reach management's target of the ‘low-8x range’.

Leasing and Occupancy

Leasing spreads continued to accelerate, and occupancy has reached record levels, indicating strong demand for high-quality and well-located retail space.

Negative Factors

Business Plan Execution

Failure to execute on the three-year business plan is the primary risk.

Interest Expense

Interest expense rose due to refinancing debt maturities at higher interest rates, increasing FCR's weighted average interest rate.

Same-Property NOI

Same-property NOI was down 0.1% in the quarter when including bad debt expense and lease termination income.

First Capital Realty Business Overview & Revenue Model

Company Description

First Capital is a leading developer, owner and manager of mixed-use real estate located in Canada's most densely populated cities. First Capital's focus is on creating thriving urban neighbourhoods to generate value for businesses, residents, communities and our investors.

How the Company Makes Money

First Capital Realty makes money primarily through rental income generated from its extensive portfolio of urban retail properties. The company leases space to a diverse range of tenants, including supermarkets, drugstores, banks, and restaurants, which provide stable and recurring cash flows. Additionally, First Capital Realty enhances its revenue by strategically developing and redeveloping properties to increase their value and attractiveness to tenants. The company may also engage in selective property sales to optimize its portfolio and recycle capital into higher-growth opportunities. Partnerships with leading retailers and a focus on prime urban locations further contribute to its financial performance.

First Capital Realty Financial Statement Overview

Summary

First Capital Realty demonstrates a solid financial foundation with strong profit margins and balanced leverage. However, the company faces challenges in revenue growth and cash flow stability. While profitability has improved, historical volatility in net income and cash flow metrics suggests the need for strategic improvements to ensure sustainable growth and financial resilience.

Income Statement

First Capital Realty's income statement shows a mixed performance. The company has maintained a strong gross profit margin consistently above 60%, indicating efficient cost management. However, the revenue growth rate has been negative in recent periods, with a notable decline in the TTM period. The net profit margin has improved significantly in the TTM period, reflecting better profitability, but the historical volatility in net income, including periods of losses, suggests potential risks.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio around 1, indicating balanced leverage. The return on equity has improved in the TTM period, suggesting better utilization of equity. However, the equity ratio has slightly decreased, which could indicate increased reliance on debt financing. Overall, the balance sheet shows stability but with a need for cautious leverage management.

Cash Flow

Cash flow analysis reveals challenges in free cash flow growth, with a significant decline in the TTM period. The operating cash flow to net income ratio is relatively low, indicating potential issues in converting income to cash. Despite this, the free cash flow to net income ratio remains reasonable, suggesting some level of cash generation efficiency. The company needs to focus on improving cash flow stability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	718.95M	713.52M	755.87M	712.20M	674.89M	672.89M
Gross Profit	451.00M	447.29M	493.14M	444.61M	411.94M	399.03M
EBITDA	451.89M	386.27M	445.48M	3.15M	373.67M	194.71M
Net Income	261.09M	204.93M	-134.06M	-160.00M	460.13M	2.70M
Balance Sheet
Total Assets	9.39B	9.18B	9.19B	9.58B	10.11B	10.03B
Cash, Cash Equivalents and Short-Term Investments	275.70M	153.54M	90.22M	36.03M	60.67M	104.16M
Total Debt	4.23B	4.05B	4.09B	4.14B	4.43B	4.79B
Total Liabilities	5.32B	5.17B	5.19B	5.25B	5.44B	5.78B
Stockholders Equity	4.00B	3.95B	3.93B	4.28B	4.62B	4.23B
Cash Flow
Free Cash Flow	84.64M	110.02M	84.71M	126.21M	96.09M	14.47M
Operating Cash Flow	220.99M	233.79M	227.73M	251.22M	249.61M	219.50M
Investing Cash Flow	-38.43M	33.38M	83.69M	133.98M	154.89M	10.23M
Financing Cash Flow	-365.27M	-204.30M	-256.70M	-387.21M	-470.25M	-154.79M

First Capital Realty Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 19.27
• 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:FCR.UN, the sentiment is Positive. The current price of 19.27 is above the 20-day moving average (MA) of 19.04, above the 50-day MA of 18.60, and above the 200-day MA of 17.08, indicating a bullish trend. The MACD of 0.20 indicates Positive momentum. The RSI at 63.64 is Neutral, neither overbought nor oversold. The STOCH value of 66.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:FCR.UN.

First Capital Realty Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FCR.UN	73 Outperform	C$4.09B	15.57	6.58%	4.67%	2.53%	―
Sector *	63 Neutral	$7.02B	13.41	-0.50%	6.86%	4.08%	-25.24%
RIOCF	―	$3.94B	19.14	3.81%	6.10%	―	―
CRT.UN	81 Outperform	C$3.91B	8.75	11.08%	5.82%	4.26%	72.02%
DIR.UN	76 Outperform	C$3.43B	16.12	4.60%	5.68%	7.23%	20.37%
SRU.UN	72 Outperform	C$4.53B	20.58	4.42%	6.91%	7.01%	-15.80%
CRR.UN	69 Neutral	C$2.79B	―	-0.21%	5.88%	6.86%	92.60%

First Capital Realty Corporate Events

First Capital REIT Declares August 2025 Distribution

First Capital REIT announced a cash distribution of $0.074167 per REIT unit for August, translating to $0.89 annually. This distribution, payable on September 15, 2025, reflects the company’s ongoing commitment to providing returns to its unitholders, potentially enhancing its attractiveness in the real estate investment market.

The most recent analyst rating on ($TSE:FCR.UN) stock is a Hold with a C$17.50 price target. To see the full list of analyst forecasts on First Capital Realty stock, see the TSE:FCR.UN Stock Forecast page.

First Capital REIT Achieves Strong Q2 2025 Results with Record Occupancy

First Capital Real Estate Investment Trust reported strong financial results for the second quarter of 2025, with a 6.2% year-over-year growth in Operating Funds from Operations (FFO) per unit. The company achieved a record-high total portfolio occupancy of 97.2% and a significant lease renewal spread of 16.2%. This performance is attributed to positive leasing momentum driven by population growth and limited supply in the grocery-anchored shopping center market, positioning First Capital favorably in the industry. The results indicate continued strong performance and potential growth, benefiting stakeholders and reinforcing the company’s competitive positioning.

The most recent analyst rating on ($TSE:FCR.UN) stock is a Hold with a C$17.50 price target. To see the full list of analyst forecasts on First Capital Realty stock, see the TSE:FCR.UN Stock Forecast page.

First Capital REIT Declares July 2025 Cash Distribution

First Capital REIT announced a cash distribution of $0.074167 per REIT unit for July 2025, equating to $0.89 annually per unit. This distribution reflects the company’s ongoing commitment to providing returns to its unitholders and highlights its stable financial operations within the Canadian real estate market.

The most recent analyst rating on ($TSE:FCR.UN) stock is a Hold with a C$17.50 price target. To see the full list of analyst forecasts on First Capital Realty stock, see the TSE:FCR.UN Stock Forecast page.

First Capital REIT Schedules Q2 2025 Financial Results Call

First Capital REIT has announced a conference call scheduled for July 30, 2025, to discuss its financial results for the second quarter ending June 30, 2025. The announcement reflects First Capital’s commitment to transparency and engagement with stakeholders, providing insights into its financial performance and strategic positioning in the Canadian real estate market.

The most recent analyst rating on ($TSE:FCR.UN) stock is a Hold with a C$17.50 price target. To see the full list of analyst forecasts on First Capital Realty stock, see the TSE:FCR.UN Stock Forecast page.

First Capital REIT Completes C$300 Million Debenture Offering

First Capital REIT has successfully completed a C$300 million offering of Series E senior unsecured debentures, which were issued on a private placement basis. The debentures, rated ‘BBB’ with a ‘Positive’ outlook by Morningstar DBRS, will bear interest at 4.832% per annum and mature in 2033. The proceeds from this offering will be used to repay existing debt, including the full repayment of the REIT’s Series S Debentures due in July 2025, and for general business purposes. This strategic financial move is expected to strengthen First Capital’s financial position and support its ongoing operations.

The most recent analyst rating on ($TSE:FCR.UN) stock is a Hold with a C$17.50 price target. To see the full list of analyst forecasts on First Capital Realty stock, see the TSE:FCR.UN Stock Forecast page.

First Capital REIT Launches C$300 Million Debenture Offering

First Capital REIT announced a C$300 million offering of Series E senior unsecured debentures, set to mature in 2033, with a 4.832% interest rate. The proceeds will be used to repay existing debt, including the full repayment of Series S Debentures due in July 2025, and for general business purposes, potentially strengthening the company’s financial position and operational flexibility.

The most recent analyst rating on ($TSE:FCR.UN) stock is a Hold with a C$17.50 price target. To see the full list of analyst forecasts on First Capital Realty stock, see the TSE:FCR.UN Stock Forecast page.

First Capital REIT Declares May 2025 Cash Distribution

First Capital REIT announced a cash distribution of $0.074167 per REIT unit for May, amounting to $0.89 per unit annually. This distribution, payable on June 16, 2025, reflects the company’s ongoing commitment to providing returns to its unitholders, reinforcing its position in the Canadian real estate market.

The most recent analyst rating on ($TSE:FCR.UN) stock is a Hold with a C$17.50 price target. To see the full list of analyst forecasts on First Capital Realty stock, see the TSE:FCR.UN Stock Forecast page.

First Capital Reports Strong Q1 2025 Results Amid Robust Leasing

First Capital reported strong financial results for the first quarter of 2025, driven by robust leasing activity and strategic capital allocation. The company achieved a total portfolio occupancy of 96.9%, matching its all-time high, and reported a 5.3% growth in Same Property NOI, excluding certain expenses. Despite a decrease in Operating FFO per unit due to a prior year’s assignment fee, First Capital’s fundamentals remain strong, supporting stability and growth in cash flow.