Zoned Properties (ZDPY) AI Stock Analysis

• Market Cap: $4.55M
• Dividend Yield: N/A
• Average Volume (3M): 1.55K
• Price to Earnings (P/E): 5.8
• Beta (1Y): 0.52
• Revenue Growth: 27.41%
• EPS Growth: N/A
• Country: US
• Employees: 7
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 0.01
• Shares Outstanding: 12,030,829
• 10 Day Avg. Volume: 3,250
• 30 Day Avg. Volume: 1,548
• PEG Ratio: -0.05
• Price to Book (P/B): 0.97
• Price to Sales (P/S): 1.49
• P/FCF Ratio: 14.06
• Enterprise Value/Market Cap: -243.62
• Enterprise Value/Revenue: -266.69
• Enterprise Value/Gross Profit: -298.41
• Enterprise Value/Ebitda: -12.39
• 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: 62 Neutral
• Price Target: $0.41 ▼(-11.52% Downside)
• Action: Downgraded Date: 01/29/26
• Date: Action: Downgraded 01/29/26

The score is primarily driven by improved financial performance and strong recent cash generation, supported by a low P/E valuation. These positives are tempered by weak technical trend signals and event-driven uncertainty tied to the proposed management buyout/asset liquidation and related incentive changes.

Positive Factors

Free Cash Flow Strength

Sustained TTM free cash flow that closely matches net income signals durable earnings-to-cash conversion. This supports reinvestment, debt reduction or distributions and reduces refinancing risk, improving financial flexibility and resilience over the next several quarters.

Deleveraged Balance Sheet

A shift from meaningful prior leverage to zero reported debt materially lowers financial risk and interest burden. With a stronger capital structure, the company has greater capacity to withstand cyclical pressure and execute strategic options over a multi-quarter horizon.

Long-Term Leases with Guarantor

Fourteen-year absolute net leases backed by a third-party guarantor provide predictable, long-duration rent rolls and potential buyer-guaranteed cash flows. Embedded ROFR and sale options also create clearer exit pathways for properties, supporting stable recurring revenue.

Negative Factors

Management Buyout and Asset Liquidation Risk

A proposed management buyout and full-asset liquidation is a structural governance and execution event. It creates approval, financing and fairness dependencies and could materially alter ownership, strategy, and cash distributions, introducing execution and minority shareholder risks.

Revenue and Margin Sustainability

An abrupt TTM revenue step-change and inconsistent margin relationships raise concerns about quality of earnings. If growth is driven by one-offs, asset sales, or mix shifts, underlying organic revenue and margin sustainability may weaken, threatening future cash generation.

Tenant Credit and Concessions

Material past-due tenant obligations and negotiated rent concessions signal concentrated tenant credit risk. Dependence on tenant cures and conditional guarantor substitutions can pressure rental cash flow and complicate property dispositions or securitization over the medium term.

Zoned Properties Business Overview & Revenue Model

Company Description

Zoned Properties, Inc., a real estate development firm, owns, develops, operates, and leases a portfolio of commercial properties in the United States. It provides site identification, advisory, and brokerage services for the cannabis real estate sector. The company was formerly known as Vanguard Minerals Corporation and changed its name to Zoned Properties Inc. in October 2013. Zoned Properties Inc. was incorporated in 2003 and is headquartered in Scottsdale, Arizona.

How the Company Makes Money

Zoned Properties generates revenue through a multi-faceted business model that includes leasing properties to cannabis operators, consulting services for land use and regulatory compliance, and property management fees. The primary revenue stream comes from long-term leases with licensed cannabis businesses, providing stable and recurring income. Additionally, the company may earn revenue through advisory services to help clients navigate the complexities of cannabis regulations and real estate development. Strategic partnerships with local governments and cannabis entrepreneurs also contribute to its earnings by ensuring access to prime properties and facilitating smoother operational processes for tenants.

Zoned Properties Financial Statement Overview

Summary

Financials show a clear recent inflection: profitability turned positive (2024) and TTM cash generation is very strong with solid earnings-to-cash conversion. Balance sheet risk appears reduced with reported zero debt TTM. Offsetting factors are volatility and comparability/quality concerns (step-change TTM revenue, and operating margin not aligning cleanly with other profit measures).

Income Statement

Profitability has improved meaningfully versus earlier years: annual results moved from net losses (2020–2023) to positive net income in 2024 with a solid net margin (~15%). TTM (Trailing-Twelve-Months) shows very large reported revenue and strong gross and EBITDA margins, suggesting strong operating leverage. However, the operating profit margin shown for TTM is unusually low relative to EBITDA and net margin, and the extreme TTM revenue growth rate implies a step-change that may be non-recurring or affected by reporting/mix changes—creating quality and sustainability risk despite the strong headline trajectory.

Balance Sheet

The balance sheet shows a major improvement in leverage: TTM (Trailing-Twelve-Months) reports zero debt alongside a large equity base and assets, which materially reduces financial risk. Earlier annual periods (2022–2024) carried relatively high leverage (debt meaningfully above equity), so the deleveraging is a clear positive inflection. Returns on equity have turned positive (TTM and 2024), but remain moderate, and the sharp shift from leveraged to no-debt warrants some caution on comparability across periods.

Cash Flow

Cash generation is a key strength. TTM (Trailing-Twelve-Months) operating cash flow and free cash flow are very strong and nearly identical, indicating limited drag from capital spending, and free cash flow closely matches net income, suggesting good earnings-to-cash conversion. Annual cash flow coverage was weak in 2023–2024 (cash flow running below net income), but the TTM surge and strong free cash flow growth point to a materially improved cash profile, albeit with some volatility across years.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.16M	3.79M	2.89M	2.66M	1.82M	1.22M
Gross Profit	3.72M	3.13M	2.27M	2.11M	1.47M	1.13M
EBITDA	89.56M	1.51M	564.95K	260.68K	351.92K	400.57K
Net Income	778.28K	573.96K	-540.26K	-574.36K	-165.82K	-78.34K
Balance Sheet
Total Assets	16.80B	16.18M	14.44M	14.38M	8.14M	8.13M
Cash, Cash Equivalents and Short-Term Investments	1.11B	1.02M	3.10M	4.34M	1.19M	699.34K
Total Debt	0.00	9.09M	8.14M	7.79M	2.02M	2.02M
Total Liabilities	10.55B	10.32M	9.20M	8.70M	2.22M	2.19M
Stockholders Equity	6.25B	5.86M	5.24M	5.68M	5.92M	5.94M
Cash Flow
Free Cash Flow	239.55M	402.75K	43.45K	868.14K	486.63K	169.12K
Operating Cash Flow	239.70M	578.22K	82.55K	871.90K	489.26K	170.04K
Investing Cash Flow	-197.61M	-3.53M	-1.24M	-2.01M	3.35K	-110.49K
Financing Cash Flow	-50.20M	869.90K	-79.51K	4.28M	37.80M	0.00

Zoned Properties Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.46
• 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 ZDPY, the sentiment is Negative. The current price of 0.46 is above the 20-day moving average (MA) of 0.39, above the 50-day MA of 0.42, and below the 200-day MA of 0.46, indicating a bearish trend. The MACD of -0.01 indicates Negative momentum. The RSI at 45.49 is Neutral, neither overbought nor oversold. The STOCH value of 51.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ZDPY.

Zoned Properties Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
ZDPY	62 Neutral	$4.55M	5.81	11.96%	―	27.41%	―
GBR	44 Neutral	$3.87M	-52.80	-1.70%	―	4.08%	-102.70%
LRHC	42 Neutral	$706.20K	―	-856.84%	―	24.52%	-270.54%

Zoned Properties Corporate Events

Zoned Properties updates executive pay and stock incentives

On January 28, 2026, Zoned Properties, Inc. implemented a series of executive and board compensation changes, increasing base salaries for Chairman, CEO and CFO Bryan McLaren to $275,000 and President and COO Berekk Blackwell to $210,000, while issuing sizable grants of restricted common stock to its executive officers and independent directors as compensation for services during 2026 and 2027. These awards, along with similar restricted stock issued to management team member Patrick Moroney following the January 15, 2026 management buyout agreement with BPB Partners, LLC, replace previously canceled unvested stock options as of January 19, 2026, and are subject to forfeiture and clawback provisions tied to continued service, with special treatment and tax gross-up protections in the event of a change of control, signaling an effort to realign leadership incentives, retain key personnel, and potentially position the company for strategic corporate transactions.

The most recent analyst rating on (ZDPY) stock is a Hold with a $0.48 price target. To see the full list of analyst forecasts on Zoned Properties stock, see the ZDPY Stock Forecast page.

Zoned Properties Announces Management Buyout and Asset Liquidation

On January 15, 2026, Zoned Properties entered into an asset purchase agreement for a management buyout in which an entity owned by senior executives Bryan McLaren and Berekk Blackwell, along with partner Patrick Moroney, agreed to acquire essentially all of the company’s business and assets, including key cannabis-related real estate holdings, subsidiaries, contracts, and intellectual property, for a base price of $7 million adjusted for assumed debt and any additional assets acquired or sold before closing. A special committee of independent directors negotiated and approved the transaction, which, together with a separate $9 million option agreement for the sale of three Arizona properties and potential disposition of other assets, contemplates the liquidation of 100% of the company’s assets and operations for a gross value of about $16 million, subject to shareholder and regulatory approvals, financing, a fairness opinion, and a range of termination and closing conditions, with closing targeted by the end of 2026. In connection with the planned management buyout and any similar “Material Event,” Zoned Properties also entered into amended compensation and severance arrangements for McLaren, Blackwell and Moroney providing for stock grants and cash payments, including one year of base salary and an additional amount tied to the fair market value of new share awards upon completion of such a transaction, and the company has indicated that, if it successfully completes the asset sale and liquidation, it plans to pay remaining debts, redeem preferred shares, distribute remaining cash to shareholders by special dividend, and then seek a reverse merger or similar transaction involving the public shell, potentially reshaping value prospects and ownership dynamics for existing investors.

The most recent analyst rating on (ZDPY) stock is a Hold with a $0.49 price target. To see the full list of analyst forecasts on Zoned Properties stock, see the ZDPY Stock Forecast page.

Zoned Properties Enters Long-Term Amended Cannabis Lease Agreements

On December 31, 2025, Zoned Properties, Inc., through its subsidiaries Chino Valley Properties, LLC, Green Valley Group, LLC and Kingman Property Group, LLC, entered into amended and restated absolute net lease agreements with cannabis tenants Broken Arrow Herbal Center, Inc. and CJK, Inc., effective January 1, 2026, for an initial 14-year term through December 31, 2039. The leases are contingent on a change-of-control transaction transferring majority ownership of the tenants and the associated cannabis licenses to A&R Consultants, LLC (or its designee), which will guarantee lease payments and performance; they set property-specific base rents and embed both a right of first refusal and a short-term exclusive option for the tenants to acquire all three leased properties for $9 million, with a mix of cash and $5 million in seller financing at 7% interest over 36 months if exercised by March 30, 2026. In connection with the anticipated change of control for the Chino Valley tenant, a December 30, 2025 consent agreement requires the buyer to cure nearly $390,000 of past-due obligations and pay $965,000 for rent concessions at closing, in exchange for releasing the existing guarantor from post-closing liabilities and substituting A&R Consultants, LLC as the new guarantor, tightening landlord protections while potentially positioning Zoned Properties for an eventual asset sale and loan receivable tied to the three cannabis properties.

The most recent analyst rating on (ZDPY) stock is a Buy with a $0.54 price target. To see the full list of analyst forecasts on Zoned Properties stock, see the ZDPY Stock Forecast page.

Zoned Properties Reports Strong Q3 2025 Financial Results

Zoned Properties announced its financial results for the third quarter of 2025, highlighting a profitable quarter with positive cash flow from operations. The company reported a 14% increase in revenue and a 166% rise in net income for the nine months ended September 30, 2025, compared to the same period in 2024. Despite a slight decrease in quarterly revenues, net income for the quarter surged by 164%, reflecting the company’s focus on improving operational cash generation and optimizing its bottom line. The results underscore Zoned Properties’ strategic efforts to enhance shareholder value and strengthen its position in the regulated cannabis industry.

The most recent analyst rating on (ZDPY) stock is a Buy with a $0.50 price target. To see the full list of analyst forecasts on Zoned Properties stock, see the ZDPY Stock Forecast page.