📊 FSP Key Takeaways
Is Franklin Street Properties Corp. /Ma/ (FSP) a Good Investment?
FSP exhibits severe financial distress with unprofitable operations (-36.3% net margin), negative operating cash flow (-$5.2M), and declining revenue (-10.8% YoY). The company lacks the cash generation needed to sustain operations, with only $23.8M in cash against $881.8M in assets, while failing to generate returns for shareholders (ROE: -1.6%, ROA: -1.1%).
Franklin Street Properties shows weak fundamentals, with double-digit revenue decline, deeply negative operating and net margins, and negative free cash flow. The balance sheet appears relatively unlevered and equity remains substantial, but current operating performance and cash generation do not support a stronger fundamental outlook. Unless revenue stabilizes and cash flow materially improves, the business looks fundamentally pressured.
Why Buy Franklin Street Properties Corp. /Ma/ Stock? FSP Key Strengths
- Modest equity cushion with stockholders equity of $596.4M exceeding liabilities
- Minimal long-term debt burden (Debt/Equity: 0.00x reduces refinancing risk)
- Marginal improvement in diluted EPS (+15.7% YoY, though still -$0.09)
- Low reported leverage with 0.00x debt-to-equity reduces balance sheet risk
- Substantial stockholders' equity of $606.98M provides asset backing
- Positive operating cash flow, though modest, indicates the portfolio still generates some cash before capital spending
FSP Stock Risks: Franklin Street Properties Corp. /Ma/ Investment Risks
- Persistent unprofitability with negative net income and operating margins exceeding -36%
- Negative free cash flow (-$7.8M) indicates unsustainable cash burn and deteriorating liquidity
- Revenue decline (-10.8% YoY) signals deteriorating asset performance or occupancy issues typical of REIT stress
- Inadequate interest coverage (-1.4x) suggests inability to service debt obligations
- Severely depleted cash position ($23.8M or 2.7% of total assets) limits operational flexibility
- Revenue declined 10.8% year over year, pointing to weakening top-line performance
- Operating margin of -41.8% and net margin of -42.0% reflect severe profitability pressure
- Free cash flow was negative at -$12.66M, limiting internal funding flexibility
Key Metrics to Watch
- Operating cash flow trend - monitor for continued negative cash generation
- Revenue stabilization - critical indicator of underlying property performance
- Quarterly cash burn rate and runway - essential for solvency assessment
- Same-property NOI and occupancy rates - operational fundamentals of REIT viability
- Revenue trend and occupancy-driven leasing performance
- Operating cash flow relative to capital expenditures
Franklin Street Properties Corp. /Ma/ (FSP) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
FSP Profit Margin, ROE & Profitability Analysis
FSP vs Real Estate Sector: How Franklin Street Properties Corp. /Ma/ Compares
How Franklin Street Properties Corp. /Ma/ compares to Real Estate sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Franklin Street Properties Corp. /Ma/ Stock Overvalued? FSP Valuation Analysis 2026
Based on fundamental analysis, Franklin Street Properties Corp. /Ma/ has mixed fundamental signals 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.
Franklin Street Properties Corp. /Ma/ Balance Sheet: FSP Debt, Cash & Liquidity
FSP Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Franklin Street Properties Corp. /Ma/'s revenue has declined by 46% over the 5-year period, indicating business contraction. The most recent EPS of $-0.47 indicates the company is currently unprofitable.
FSP Revenue Growth, EPS Growth & YoY Performance
FSP Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $26.2M | -$9.5M | $-0.09 |
| Q3 2025 | $27.3M | -$37.6M | $-0.08 |
| Q2 2025 | $26.7M | -$28.6M | $-0.08 |
| Q1 2025 | $27.1M | -$7.6M | $-0.07 |
| Q3 2024 | $29.7M | -$44.2M | $-0.15 |
| Q2 2024 | $30.8M | -$6.0M | $-0.06 |
| Q1 2024 | $31.2M | $2.4M | $0.02 |
| Q3 2023 | $36.9M | $4.0M | $0.04 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Franklin Street Properties Corp. /Ma/ Dividends, Buybacks & Capital Allocation
FSP SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Franklin Street Properties Corp. /Ma/ (CIK: 0001031316)
📋 Recent SEC Filings
❓ Frequently Asked Questions about FSP
What is the AI rating for FSP?
Franklin Street Properties Corp. /Ma/ (FSP) has a Combined AI Rating of SELL from Claude (STRONG SELL) and ChatGPT (SELL) with 86% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are FSP's key strengths?
Claude: Modest equity cushion with stockholders equity of $596.4M exceeding liabilities. Minimal long-term debt burden (Debt/Equity: 0.00x reduces refinancing risk). ChatGPT: Low reported leverage with 0.00x debt-to-equity reduces balance sheet risk. Substantial stockholders' equity of $606.98M provides asset backing.
What are the risks of investing in FSP?
Claude: Persistent unprofitability with negative net income and operating margins exceeding -36%. Negative free cash flow (-$7.8M) indicates unsustainable cash burn and deteriorating liquidity. ChatGPT: Revenue declined 10.8% year over year, pointing to weakening top-line performance. Operating margin of -41.8% and net margin of -42.0% reflect severe profitability pressure.
What is FSP's revenue and growth?
Franklin Street Properties Corp. /Ma/ reported revenue of $26.2M.
Does FSP pay dividends?
Franklin Street Properties Corp. /Ma/ pays dividends, with $1.0M distributed to shareholders in the trailing twelve months.
Where can I find FSP SEC filings?
Official SEC filings for Franklin Street Properties Corp. /Ma/ (CIK: 0001031316) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is FSP's EPS?
Franklin Street Properties Corp. /Ma/ has a diluted EPS of $-0.09.
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 FSP a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Franklin Street Properties Corp. /Ma/ has a SELL rating with 86% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is FSP stock overvalued or undervalued?
Valuation metrics for FSP: ROE of -1.6% (sector avg: 8%), net margin of -36.3% (sector avg: 20%). Compare these metrics with sector averages to assess valuation.
Should I buy FSP stock in 2026?
Our dual AI analysis gives Franklin Street Properties Corp. /Ma/ a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is FSP's free cash flow?
Franklin Street Properties Corp. /Ma/'s operating cash flow is $-5.2M, with capital expenditures of $2.7M. FCF margin is -29.9%.
How does FSP compare to other Real Estate stocks?
Vs Real Estate sector averages: Net margin -36.3% (avg: 20%), ROE -1.6% (avg: 8%), current ratio N/A (avg: 1.5).