Inovalis REIT (INO.UN) AI Stock Analysis

• Market Cap: C$27.55M
• Dividend Yield: N/A
• Average Volume (3M): 26.66K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.04
• Revenue Growth: -10.79%
• EPS Growth: 34.71%
• Country: CA
• Employees: 300
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Office
• EPS (TTM): -0.34
• Shares Outstanding: 33,206,180
• 10 Day Avg. Volume: 31,344
• 30 Day Avg. Volume: 26,662
• 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$0.85
• Price Target Upside: 4.94% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 45 Neutral
• Price Target: C$1.00 ▲(23.46% Upside)

Inovalis REIT's overall stock score is primarily impacted by its poor financial performance, characterized by declining revenues and profitability challenges. Technical analysis indicates a bearish trend with weak momentum, while valuation metrics highlight financial distress with a negative P/E ratio. The absence of earnings call data and corporate events means these factors do not influence the score.

Inovalis REIT Business Overview & Revenue Model

Company Description

Inovalis Real Estate Investment Trust (Inovalis REIT) is a Canadian-based investment trust engaged in the acquisition and management of commercial real estate properties, primarily targeting office buildings in France and Germany. The company leverages its expertise in the European real estate market to provide investors with access to high-quality properties, focusing on metropolitan areas with strong economic fundamentals. Inovalis REIT is committed to delivering stable and growing cash distributions to its unit holders through an actively managed portfolio that balances growth and income.

How the Company Makes Money

Inovalis REIT generates revenue primarily through the leasing of office space within its portfolio of properties. The company earns rental income from tenants occupying its commercial real estate assets, which is the main source of its cash flow. In addition to rental income, Inovalis REIT may also engage in property development or redevelopment projects that can lead to increased property values and potential capital gains upon sale or refinancing. The company also benefits from strategic partnerships and joint ventures with local real estate operators, which enhance its ability to identify and manage attractive investment opportunities in the European market. Inovalis REIT's focus on properties in high-demand metropolitan areas helps maintain high occupancy rates and steady rental income, contributing to its financial performance.

Inovalis REIT Financial Statement Overview

Summary

Inovalis REIT is facing financial headwinds, with declining revenues and profitability challenges. The balance sheet indicates high leverage, while cash flow metrics underscore cash management issues. The firm needs strategic interventions to improve profitability and stabilize financial health.

Income Statement

The company's income statement shows a decline in revenue from the previous year, with a negative revenue growth rate of -28.1%. Gross profit margin is 56.0%, but the net profit margin is substantially negative at -286.7%. The company is also operating with negative EBIT and EBITDA margins, indicating challenges in profitability.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 1.18, indicating significant leverage. The equity ratio stands at 44.1%, showing some asset backing. However, the return on equity is negative at -37.9%, reflecting poor returns on equity investments.

Cash Flow

Cash flow analysis indicates a significant decline in operating cash flow, with a free cash flow growth rate of -77.0%. The operating cash flow to net income ratio is negative, suggesting cash flow challenges. However, free cash flow remains positive, albeit reduced.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	22.62M	24.11M	33.57M	31.14M	34.46M	35.77M
Gross Profit	11.53M	13.78M	23.22M	21.63M	24.19M	26.60M
EBITDA	-37.68M	-61.80M	-21.80M	16.23M	35.87M	17.54M
Net Income	-44.74M	-69.13M	-29.69M	-36.98M	30.33M	18.20M
Balance Sheet
Total Assets	415.53M	412.22M	484.06M	561.11M	587.25M	712.09M
Cash, Cash Equivalents and Short-Term Investments	12.61M	6.25M	12.61M	45.18M	76.63M	80.38M
Total Debt	213.75M	215.51M	219.45M	243.09M	207.12M	288.66M
Total Liabilities	228.88M	230.11M	236.69M	272.93M	241.16M	335.43M
Stockholders Equity	186.77M	182.04M	246.42M	286.98M	344.79M	375.24M
Cash Flow
Free Cash Flow	-5.21M	913.00K	3.97M	21.43M	-112.81M	6.04M
Operating Cash Flow	-5.21M	913.00K	3.97M	21.43M	-7.92M	-2.67M
Investing Cash Flow	29.12M	701.00K	2.15M	-60.47M	106.61M	33.00M
Financing Cash Flow	-18.73M	-7.92M	-39.08M	9.70M	-97.54M	-37.17M

Inovalis REIT Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.81
• 50DMA: Positive
• 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 TSE:INO.UN, the sentiment is Positive. The current price of 0.81 is above the 20-day moving average (MA) of 0.81, below the 50-day MA of 0.81, and below the 200-day MA of 0.89, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 53.43 is Neutral, neither overbought nor oversold. The STOCH value of 52.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:INO.UN.

Inovalis REIT Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UFC	66 Neutral	C$45.16M	5.09	10.65%	5.99%	-17.79%	15.08%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
RPR.UN	53 Neutral	C$35.20M	―	-155.02%	―	-5.30%	-16.47%
INO.UN	45 Neutral	C$27.55M	―	-22.37%	―	-10.79%	34.71%
MPCT.UN	45 Neutral	C$31.85M	―	-9.01%	―	-28.04%	18.47%