📊 CSR Key Takeaways
Is Centerspace (CSR) a Good Investment?
Centerspace exhibits structural profitability challenges with negative operating income (-$5.4M) and persistent net losses (-$12.9M) despite modest revenue growth. Most critically, the company cannot cover its substantial debt service with operating income (negative interest coverage of -0.6x) while maintaining minimal liquidity ($7.6M cash against $1.0B debt), creating meaningful financial distress risk despite positive operating cash flow.
Centerspace’s fundamentals look stable but not especially strong. Revenue growth is modest, operating profitability is healthy, and operating cash flow generation is solid relative to revenue, but low net profitability, elevated leverage, and limited cash reduce balance-sheet flexibility. The large EPS increase alongside flat net income also suggests earnings quality should be monitored carefully rather than treated as a clean improvement.
Why Buy Centerspace Stock? CSR Key Strengths
- Positive operating cash flow of $21.4M with strong 32.9% FCF margin demonstrates underlying cash generation capability despite accounting losses typical of REITs
- Revenue growth of 4.9% YoY and improving EPS trend (180.3% YoY improvement) suggest operational stabilization from a worse prior position
- Reasonable asset base of $1.9B provides collateral support and market presence as a publicly-traded REIT
- Revenue grew 4.9% year over year, indicating steady underlying top-line expansion
- Operating margin of 23.6% and interest coverage of 7.0x suggest core operations are supporting debt service adequately
- Operating cash flow of $98.45M and a 36.0% FCF margin indicate strong cash generation relative to reported revenue
CSR Stock Risks: Centerspace Investment Risks
- Negative interest coverage ratio (-0.6x) indicates inability to service debt from operating income; company is cash flow dependent for debt payments despite positive OCF
- Excessive leverage with 1.46x Debt/Equity ratio and critically low liquidity position ($7.6M cash against $1.0B long-term debt) creates refinancing and solvency risks
- Persistent operational losses (negative 8.3% operating margin, negative 19.8% net margin) suggest underlying business efficiency or asset quality challenges
- Net margin of 6.2%, ROE of 2.4%, and ROA of 0.9% point to weak bottom-line profitability
- Leverage is meaningful, with $1.02B of long-term debt and debt-to-equity of 1.42x
- Cash of only $12.83M provides limited liquidity cushion if refinancing, occupancy, or operating conditions weaken
Key Metrics to Watch
- Operating income trajectory and return to positive EBIT - critical for debt serviceability
- Interest coverage ratio - must improve significantly above 1.0x to demonstrate sustainable debt service from operations
- Cash position and liquidity metrics - monitor debt refinancing activity and covenant compliance given thin cash reserves
- Debt refinancing profile and interest coverage
- Same-store revenue growth and operating cash flow sustainability
Centerspace (CSR) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 32.9% 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 Profit Margin, ROE & Profitability Analysis
CSR vs Real Estate Sector: How Centerspace Compares
How Centerspace compares to Real Estate sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Centerspace Stock Overvalued? CSR Valuation Analysis 2026
Based on fundamental analysis, Centerspace shows some fundamental concerns relative to the Real Estate sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Centerspace Balance Sheet: CSR Debt, Cash & Liquidity
CSR Revenue & Earnings Growth: 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 Revenue Growth, EPS Growth & YoY Performance
CSR Quarterly Earnings & 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.
Centerspace Dividends, Buybacks & Capital Allocation
CSR SEC Filings: Latest 10-K & 10-Q Analysis
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 a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (HOLD) with 73% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CSR's key strengths?
Claude: Positive operating cash flow of $21.4M with strong 32.9% FCF margin demonstrates underlying cash generation capability despite accounting losses typical of REITs. Revenue growth of 4.9% YoY and improving EPS trend (180.3% YoY improvement) suggest operational stabilization from a worse prior position. ChatGPT: Revenue grew 4.9% year over year, indicating steady underlying top-line expansion. Operating margin of 23.6% and interest coverage of 7.0x suggest core operations are supporting debt service adequately.
What are the risks of investing in CSR?
Claude: Negative interest coverage ratio (-0.6x) indicates inability to service debt from operating income; company is cash flow dependent for debt payments despite positive OCF. Excessive leverage with 1.46x Debt/Equity ratio and critically low liquidity position ($7.6M cash against $1.0B long-term debt) creates refinancing and solvency risks. ChatGPT: Net margin of 6.2%, ROE of 2.4%, and ROA of 0.9% point to weak bottom-line profitability. Leverage is meaningful, with $1.02B of long-term debt and debt-to-equity of 1.42x.
What is CSR's revenue and growth?
Centerspace reported revenue of $65.1M.
Does CSR pay dividends?
Centerspace pays dividends, with $12.9M 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 $-0.77.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is CSR a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Centerspace has a SELL rating with 73% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is CSR stock overvalued or undervalued?
Valuation metrics for CSR: ROE of -1.9% (sector avg: 8%), net margin of -19.8% (sector avg: 20%). Compare these metrics with sector averages to assess valuation.
Should I buy CSR stock in 2026?
Our dual AI analysis gives Centerspace a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is CSR's free cash flow?
Centerspace's operating cash flow is $21.4M, with capital expenditures of $0.0. FCF margin is 32.9%.
How does CSR compare to other Real Estate stocks?
Vs Real Estate sector averages: Net margin -19.8% (avg: 20%), ROE -1.9% (avg: 8%), current ratio N/A (avg: 1.5).