📊 CSR Key Takeaways
Investment Thesis
CenterSpace demonstrates solid operational efficiency with 23.6% operating margins and strong free cash flow generation ($98.5M, 36% FCF margin), indicating healthy core business performance in the REIT sector. Revenue growth of 4.9% YoY is modest but coupled with excellent cash conversion, though the low net margin (6.2%) and ROE (2.4%) raise concerns about capital deployment efficiency and leverage management.
CSR Strengths
- Strong free cash flow generation at $98.5M with 36% FCF margin, indicating efficient cash conversion from operations
- Solid operating margin of 23.6% demonstrates operational efficiency and pricing power in real estate portfolio
- Healthy interest coverage ratio of 7.0x provides comfortable debt service capacity and financial stability
- Positive revenue growth of 4.9% YoY with improving EPS (+180.3% YoY) suggests earnings quality improvement
CSR Risks
- High leverage with debt-to-equity ratio of 1.42x and $1.0B long-term debt against only $12.8M cash creates refinancing risk
- Low profitability returns: ROE of 2.4% and ROA of 0.9% indicate poor capital efficiency and shareholder value generation relative to asset base
- Minimal net margin of 6.2% despite 23.6% operating margin suggests significant interest expense burden offsetting operational gains
- Low cash position ($12.8M) relative to $1.1B liabilities creates limited financial flexibility for opportunities or downturns
Key Metrics to Watch
- Debt-to-equity ratio trend and refinancing schedule for $1.0B long-term debt maturity dates
- Net income growth sustainability and operating margin maintenance amid interest rate environment changes
- Free cash flow consistency and dividend coverage to ensure capital return capability
- Same-store NOI growth and occupancy rates as indicators of portfolio health
CSR Financial Metrics
💡 AI Analyst Insight
The 36.0% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.
CSR Profitability Ratios
CSR vs Default Sector
How CENTERSPACE compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
CSR Balance Sheet & Liquidity
CSR 5-Year Financial Trend
5-Year Trend Summary: CENTERSPACE's revenue has grown significantly by 36% over the 5-year period, indicating strong business expansion. The most recent EPS of $2.32 reflects profitable operations.
CSR Growth Metrics (YoY)
CSR Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2024 | $1.2M | -$1.0M | $-0.40 |
| Q2 2024 | $1.1M | -$1.3M | $-0.19 |
| Q1 2024 | $1.2M | -$3.9M | $-0.37 |
| Q3 2023 | $1.2M | -$523.0K | $-0.14 |
| Q2 2023 | $1.1M | -$1.9M | $-0.23 |
| Q1 2023 | $1.1M | -$8.6M | $-0.68 |
| Q3 2022 | $950.0K | -$523.0K | $0.12 |
| Q2 2022 | $894.0K | -$3.0M | $-0.30 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
CSR Capital Allocation
CSR SEC Filings
Access official SEC EDGAR filings for CENTERSPACE (CIK: 0000798359)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CSR
What is the AI rating for CSR?
CENTERSPACE (CSR) has an AI rating of BUY with 72% confidence, based on fundamental analysis of SEC EDGAR filings.
What are CSR's key strengths?
Strong free cash flow generation at $98.5M with 36% FCF margin, indicating efficient cash conversion from operations. Solid operating margin of 23.6% demonstrates operational efficiency and pricing power in real estate portfolio.
What are the risks of investing in CSR?
High leverage with debt-to-equity ratio of 1.42x and $1.0B long-term debt against only $12.8M cash creates refinancing risk. Low profitability returns: ROE of 2.4% and ROA of 0.9% indicate poor capital efficiency and shareholder value generation relative to asset base.
What is CSR's revenue and growth?
CENTERSPACE reported revenue of $273.7M.
Does CSR pay dividends?
CENTERSPACE pays dividends, with $51.1M distributed to shareholders in the trailing twelve months.
Where can I find CSR SEC filings?
Official SEC filings for CENTERSPACE (CIK: 0000798359) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CSR's EPS?
CENTERSPACE has a diluted EPS of $1.02.
How is the AI analysis conducted?
Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.