Whitestone REIT (WSR) AI Stock Analysis

• Market Cap: $1.23B
• Dividend Yield: 4.42%
• Average Volume (3M): 208.36K
• Price to Earnings (P/E): 18.6
• Beta (1Y): 0.66
• Revenue Growth: 4.04%
• EPS Growth: 107.96%
• Country: US
• Employees: 69
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Retail
• EPS (TTM): 0.35
• Shares Outstanding: 51,016,945
• 10 Day Avg. Volume: 159,580
• 30 Day Avg. Volume: 208,360
• PEG Ratio: 0.22
• Price to Book (P/B): 1.62
• Price to Sales (P/S): 4.58
• P/FCF Ratio: 12.22
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 8.45
• Enterprise Value/Gross Profit: 12.08
• Enterprise Value/Ebitda: 14.59
• 1Y Price Target: $15.00
• Price Target Upside: 24.58% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 72 Outperform
• Price Target: $13.50 ▲(12.13% Upside)

Whitestone REIT's strong financial performance and positive earnings call sentiment are the most significant factors contributing to its score. The company's robust cash flow and strategic acquisitions support its growth prospects. However, high leverage and bearish technical indicators present potential risks.

Positive Factors

Revenue Growth

Whitestone REIT's ability to exceed revenue expectations indicates strong demand and effective management, supporting long-term growth.

Strategic Acquisitions

Strategic acquisitions in high-growth markets enhance Whitestone's portfolio, driving future revenue and market position.

Leasing Environment

Strong leasing spreads reflect robust demand and pricing power, which contribute to sustained revenue and profitability.

Negative Factors

High Leverage

High leverage can limit financial flexibility and increase risk, especially if interest rates rise or revenue growth slows.

Interest Expense Increase

Rising interest expenses can pressure margins and reduce net income, impacting cash flow and financial stability.

EBIT Margin Pressure

A declining EBIT margin suggests cost pressures, which could erode profitability if not managed effectively.

Whitestone REIT Business Overview & Revenue Model

Company Description

Whitestone is a community-centered shopping center REIT that acquires, owns, manages, develops and redevelops high-quality open-air neighborhood centers primarily in the largest, fastest-growing and most affluent markets in the Sunbelt. Whitestone seeks to create communities that thrive through creating local connections between consumers in the surrounding communities and a well-crafted mix of national, regional and local tenants that provide daily necessities, needed services, entertainment and experiences. Whitestone is a monthly dividend paying stock and has consistently paid dividends for over 15 years. Whitestone's strong, balanced and managed capital structure provides stability and flexibility for growth and positions Whitestone to perform well through economic cycles.

How the Company Makes Money

Whitestone REIT generates revenue primarily through leasing space to tenants in its retail properties. The company earns rental income from long-term leases with a diverse mix of tenants, which includes national and regional retailers, service providers, and local businesses. Additionally, WSR benefits from ancillary income sources such as management fees and reimbursements from tenants for property expenses. The company's revenue model is supported by its focus on community-oriented properties, which tends to attract stable tenant demand and lower vacancy rates. Strategic partnerships with local businesses and a commitment to enhancing tenant relationships further contribute to consistent revenue streams.

Whitestone REIT Financial Statement Overview

Summary

Whitestone REIT exhibits strong financial health with robust profitability and cash flow generation. The company has a high net profit margin and efficient cash flow management. However, the high leverage presents a potential risk, which slightly tempers the overall financial performance score.

Income Statement

Whitestone REIT shows strong revenue growth with a consistent increase over the years, achieving a TTM gross profit margin of 69.93% and a net profit margin of 21.63%, indicating solid profitability. The EBIT and EBITDA margins are also favorable at 33.72% and 57.92% respectively. However, there has been a slight decline in net income compared to the previous annual report.

Balance Sheet

The company's balance sheet reflects a stable equity base, with an equity ratio of 41.22% in TTM. The debt-to-equity ratio is relatively high at 1.57, suggesting significant leverage. ROE stands at 7.89%, which is moderate but shows room for improvement. Overall, the balance sheet presents a stable but leveraged financial position.

Cash Flow

Whitestone REIT demonstrates strong cash flow management with a consistent positive free cash flow and a TTM operating cash flow to net income ratio of 1.52, indicating efficient cash generation relative to net income. The free cash flow to net income ratio is also healthy at 1.52. The company has managed to maintain free cash flow despite fluctuations in investing and financing cash flows.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	155.91M	155.51M	147.92M	140.58M	125.36M	123.56M
Gross Profit	109.04M	109.53M	97.96M	97.28M	86.04M	80.35M
EBITDA	90.30M	85.18M	87.18M	79.30M	64.14M	59.23M
Net Income	33.72M	36.89M	19.18M	35.27M	12.05M	6.03M
Balance Sheet
Total Assets	1.16B	1.13B	1.11B	1.10B	1.10B	1.05B
Cash, Cash Equivalents and Short-Term Investments	5.32M	5.22M	7.18M	6.17M	15.72M	25.78M
Total Debt	670.35M	632.36M	640.89M	626.16M	642.84M	644.18M
Total Liabilities	722.53M	690.80M	693.62M	678.31M	703.05M	706.68M
Stockholders Equity	427.51M	438.15M	413.74M	418.45M	392.78M	332.08M
Cash Flow
Free Cash Flow	51.36M	58.23M	47.60M	44.43M	48.87M	42.78M
Operating Cash Flow	51.36M	58.23M	47.60M	44.43M	48.87M	42.78M
Investing Cash Flow	-33.28M	-16.01M	-36.31M	-6.71M	-91.23M	-6.44M
Financing Cash Flow	-15.98M	-31.49M	-13.00M	-47.28M	32.31M	-26.02M

Whitestone REIT Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 12.04
• 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 WSR, the sentiment is Negative. The current price of 12.04 is above the 20-day moving average (MA) of 11.94, below the 50-day MA of 12.42, and below the 200-day MA of 12.68, indicating a neutral trend. The MACD of -0.05 indicates Negative momentum. The RSI at 46.43 is Neutral, neither overbought nor oversold. The STOCH value of 73.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for WSR.

Whitestone REIT Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GTY	―	$1.60B	21.99	7.54%	6.83%	8.17%	9.96%
WSR	―	$1.23B	18.64	7.97%	4.42%	4.04%	107.96%
NTST	―	$1.81B	11,052.94	0.02%	4.32%	19.92%	―
Sector *	―	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
BFS	―	$724.91M	22.97	12.90%	7.93%	5.17%	-25.96%
CBL	―	$910.05M	14.07	21.97%	9.69%	2.20%	128.61%
ALX	―	$1.14B	31.71	20.89%	8.07%	-6.45%	-27.49%

Whitestone REIT Corporate Events

Whitestone REIT Expands $750 Million Credit Facility

On September 19, 2025, Whitestone REIT announced the amendment, expansion, and extension of its $750 million credit facility, which includes a $375 million revolver and a $375 million term loan. The revolver matures in September 2029, with options to extend, while the term loan matures in January 2031. The new facility, which features lower interest rates and extended maturities, aims to strengthen Whitestone’s financial flexibility and support its growth targets. The company has improved its leverage metrics and expanded its bank group, reflecting a strengthened financial position and providing additional liquidity.

The most recent analyst rating on (WSR) stock is a Buy with a $14.50 price target. To see the full list of analyst forecasts on Whitestone REIT stock, see the WSR Stock Forecast page.

Whitestone REIT Launches $100 Million Share Offering

On September 16, 2025, Whitestone REIT entered into equity distribution agreements with several financial institutions to facilitate the sale of up to $100 million of its common shares through an ‘at the market’ offering program. This move allows the company to raise capital flexibly, potentially enhancing its financial position and operational capabilities, while also impacting its market presence and stakeholder interests.

The most recent analyst rating on (WSR) stock is a Buy with a $16.00 price target. To see the full list of analyst forecasts on Whitestone REIT stock, see the WSR Stock Forecast page.

Whitestone REIT’s Earnings Call Highlights Growth and Strategy

Whitestone REIT’s recent earnings call conveyed a generally positive sentiment, underscoring the company’s robust financial performance and strategic advancements. The call highlighted achievements in leasing and occupancy, alongside strategic acquisitions. However, challenges such as increased interest expenses and timing issues in capital recycling were noted. Despite these hurdles, the overall sentiment remained optimistic, with positive achievements outweighing the challenges.

Whitestone REIT Reports Strong Q2 2025 Results

Whitestone REIT is a community-centered real estate investment trust that acquires, owns, operates, and develops open-air retail centers in high-growth markets such as Phoenix, Austin, Dallas-Fort Worth, Houston, and San Antonio.