📊 FREVS Key Takeaways
Is FREVS a Good Investment? Thesis Analysis
FREVS exhibits weak fundamental returns with ROE of 2.8% and ROA of 0.6%, indicating poor capital efficiency despite positive revenue growth of 2.2% YoY. The company carries excessive leverage at 3.52x debt-to-equity with marginal interest coverage of 2.1x, creating significant financial risk that outweighs modest profitability improvements.
Why Buy FREVS? Key Strengths
- Strong operating margin of 50.9% demonstrates pricing power and operational efficiency
- Positive net income growth of 11.5% YoY shows operational improvement trend
- Adequate cash position of $18.5M provides near-term liquidity buffer
- Consistent positive free cash flow generation of $1.3M supports sustainability
FREVS Investment Risks to Consider
- Excessive leverage at 3.52x debt-to-equity ratio creates material financial risk and limits flexibility
- Weak interest coverage ratio of 2.1x indicates limited ability to service debt from operating earnings
- Severely diluted EPS declined 77.9% YoY despite net income growth, signaling substantial equity dilution
- Poor return metrics (ROE 2.8%, ROA 0.6%) indicate inadequate capital deployment returns
- Long-term debt of $120.4M represents 80.6% of total assets, indicating asset-heavy financing structure
Key Metrics to Watch
- Debt-to-equity ratio trajectory and debt refinancing schedule
- Interest coverage ratio improvement relative to operating income growth
- ROE and ROA progression to assess capital efficiency improvements
- Share dilution metrics and insider transaction patterns
- Operating cash flow stability and debt service coverage
FREVS Financial Metrics
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
FREVS Profitability Ratios
FREVS vs Default Sector
How FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY, INC. compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is FREVS Overvalued or Undervalued?
Based on fundamental analysis, FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY, INC. shows some fundamental concerns relative to the Default 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.
FREVS Balance Sheet & Liquidity
FREVS 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY, INC.'s revenue has declined by 51% over the 5-year period, indicating business contraction. The most recent EPS of $0.10 reflects profitable operations.
FREVS Growth Metrics (YoY)
FREVS Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $7.3M | $614.0K | $0.08 |
| Q3 2025 | $7.1M | $879.0K | $0.12 |
| Q2 2025 | $7.3M | $21.0K | $0.00 |
| Q1 2025 | $7.0M | -$512.0K | $-0.07 |
| Q3 2024 | $7.1M | $104.0K | $0.01 |
| Q2 2024 | $6.9M | $21.0K | $0.00 |
| Q1 2024 | $7.0M | $419.0K | $0.06 |
| Q3 2023 | $7.0M | $104.0K | $0.01 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
FREVS Capital Allocation
FREVS SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY, INC. (CIK: 0000036840)
📋 Recent SEC Filings
❓ Frequently Asked Questions about FREVS
What is the AI rating for FREVS?
FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY, INC. (FREVS) has an AI rating of SELL with 72% confidence, based on fundamental analysis of SEC EDGAR filings.
What are FREVS's key strengths?
Claude: Strong operating margin of 50.9% demonstrates pricing power and operational efficiency. Positive net income growth of 11.5% YoY shows operational improvement trend.
What are the risks of investing in FREVS?
Claude: Excessive leverage at 3.52x debt-to-equity ratio creates material financial risk and limits flexibility. Weak interest coverage ratio of 2.1x indicates limited ability to service debt from operating earnings.
What is FREVS's revenue and growth?
FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY, INC. reported revenue of $7.5M.
Does FREVS pay dividends?
FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY, INC. pays dividends, with $0.7M distributed to shareholders in the trailing twelve months.
Where can I find FREVS SEC filings?
Official SEC filings for FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY, INC. (CIK: 0000036840) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is FREVS's EPS?
FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY, INC. has a diluted EPS of $0.13.
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 FREVS a good stock to buy right now?
Based on our AI fundamental analysis in March 2026, FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY, INC. has a SELL rating with 72% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is FREVS stock overvalued or undervalued?
Valuation metrics for FREVS: ROE of 2.8% (sector avg: 15%), net margin of 12.6% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy FREVS stock in 2026?
Our dual AI analysis gives FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY, INC. a combined SELL rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is FREVS's free cash flow?
FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY, INC.'s operating cash flow is $1.3M, with capital expenditures of N/A. FCF margin is 17.9%.
How does FREVS compare to other Default stocks?
Vs Default sector averages: Net margin 12.6% (avg: 12%), ROE 2.8% (avg: 15%), current ratio N/A (avg: 1.8).