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Transcontinental Realty Investors Inc. (TCI) Fundamental Analysis & AI Grade 2026

TCI NYSE Real Estate Investment Trusts NV CIK: 0000733590
Updated This Month • Analysis: May 16, 2026 • SEC Data: 2026-03-31
Combined AI Grade
C
78% Confidence
N/A
C
78% Conf
Pending
Analysis scheduled

📊 TCI Key Takeaways

Revenue: $12.3M
Net Margin: 1.4%
Free Cash Flow: $-13.5M
Current Ratio: N/A
Debt/Equity: 0.25x
EPS: $0.02
AI Grade: C with 78% confidence
Transcontinental Realty Investors Inc. (TCI) receives a C fundamental grade with 78% confidence from our AI analysis based on SEC 10-K filings. With revenue of $12.3M, net profit margin of 1.4%, and return on equity (ROE) of 0.0%, Transcontinental Realty Investors Inc. demonstrates mixed fundamentals in the Real Estate sector. Below is our complete TCI stock analysis for 2026.

Is Transcontinental Realty Investors Inc. (TCI) a Good Investment?

Claude

TCI exhibits severe operational distress with negative operating income of $2.0M and critically unsustainable free cash flow of -$13.5M annually, indicating the company is burning cash despite maintaining a substantial asset base. The inability to generate positive operating cash flows or cover interest expenses from operations (-0.7x coverage), combined with minimal net profitability (1.4% margin), signals fundamental business deterioration that conservative leverage cannot offset long-term.

Transcontinental Realty Investors Inc. Key Strengths (TCI)

Claude
  • + Conservative debt/equity ratio of 0.25x provides financial stability cushion
  • + Substantial asset base of $1.1B with reasonable stockholders equity of $846.9M
  • + Modest revenue growth of 4.2% YoY indicating market demand persists

TCI Stock Risks: Transcontinental Realty Investors Inc. Investment Risks

Claude
  • ! Negative operating cash flow of -$2.9M indicates core business cannot self-fund operations
  • ! Unsustainable free cash flow burn of -$13.5M annually depleting capital reserves
  • ! Negative interest coverage ratio of -0.7x means operating income cannot cover debt service obligations
  • ! Critically low cash position of $9.5M relative to $262.3M liabilities creates depletion risk
  • ! Negative operating margin of -15.9% despite positive revenue indicates structural profitability failure
  • ! Declining net income (-4.4% YoY) and zero ROE/ROA show complete absence of shareholder returns

Key Metrics to Watch

Claude
  • * Operating cash flow trend and path to positive generation
  • * Free cash flow depletion rate and cash runway sustainability
  • * Interest coverage ratio improvement and debt service capability
  • * Operating margin expansion toward profitability
  • * Asset quality and impairment indicators

Transcontinental Realty Investors Inc. (TCI) Financial Metrics & Key Ratios

Revenue
$12.3M
Net Income
$168.0K
EPS (Diluted)
$0.02
Free Cash Flow
$-13.5M
Total Assets
$1.1B
Cash Position
$9.5M

💡 AI Analyst Insight

The current ratio below 1.0x warrants monitoring of short-term liquidity.

TCI Profit Margin, ROE & Profitability Analysis

Gross Margin N/A
Operating Margin -15.9%
Net Margin 1.4%
ROE 0.0%
ROA 0.0%
FCF Margin -109.4%

TCI vs Real Estate Sector: How Transcontinental Realty Investors Inc. Compares

How Transcontinental Realty Investors Inc. compares to Real Estate sector averages

Net Margin
TCI 1.4%
vs
Sector Avg 20.0%
TCI Sector
ROE
TCI 0.0%
vs
Sector Avg 8.0%
TCI Sector
Current Ratio
TCI 0.0x
vs
Sector Avg 1.5x
TCI Sector
Debt/Equity
TCI 0.3x
vs
Sector Avg 1.5x
TCI Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Transcontinental Realty Investors Inc. Stock Overvalued? TCI Valuation Analysis 2026

Based on fundamental analysis, Transcontinental Realty Investors Inc. has mixed fundamental signals relative to the Real Estate sector in 2026.

Return on Equity
0.0%
Sector avg: 8%
Net Profit Margin
1.4%
Sector avg: 20%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.25x
Sector avg: 1.5x

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.

Transcontinental Realty Investors Inc. Balance Sheet: TCI Debt, Cash & Liquidity

Current Ratio
N/A
Quick Ratio
N/A
Debt/Equity
0.25x
Debt/Assets
23.2%
Interest Coverage
-0.67x
Long-term Debt
$211.9M

TCI Revenue & Earnings Growth: 5-Year Financial Trend

TCI 5-year financial data: Year 2021: Revenue $57.0M, Net Income -$26.9M, EPS $-3.09. Year 2022: Revenue $57.0M, Net Income $6.7M, EPS $0.77. Year 2023: Revenue $49.9M, Net Income $9.4M, EPS $1.09. Year 2024: Revenue $49.9M, Net Income $468.3M, EPS $54.20. Year 2025: Revenue $49.9M, Net Income $5.9M, EPS $0.69.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Transcontinental Realty Investors Inc.'s revenue has declined by 12% over the 5-year period, indicating business contraction. The most recent EPS of $0.69 reflects profitable operations.

TCI Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-109.4%
Free cash flow / Revenue

TCI Quarterly Earnings & Performance

Quarterly financial performance data for Transcontinental Realty Investors Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q1 2026 $12.0M $168.0K $0.02
Q3 2025 $11.6M $724.0K $0.08
Q2 2025 $11.8M $169.0K $0.02
Q1 2025 $11.9M $2.5M $0.30
Q3 2024 $11.6M $1.7M $0.20
Q2 2024 $11.8M $530.0K $0.06
Q1 2024 $11.7M $2.5M $0.30
Q3 2023 $8.3M $4.5M $0.52

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Transcontinental Realty Investors Inc. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
-$2.9M
Cash generated from operations
Capital Expenditures
$10.6M
Investment in assets
Dividends
None
No dividend program

TCI SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Transcontinental Realty Investors Inc. (CIK: 0000733590)

📋 Recent SEC Filings

Date Form Document Action
May 12, 2026 4 xslF345X06/primary_doc.xml View →
May 7, 2026 8-K tci-20260507.htm View →
May 7, 2026 10-Q tci-20260331.htm View →
Apr 7, 2026 4 xslF345X06/primary_doc.xml View →
Mar 12, 2026 8-K tci-20260312.htm View →

Frequently Asked Questions about TCI

What is the AI rating for TCI?

Transcontinental Realty Investors Inc. (TCI) has an AI grade of C with 78% confidence, based on fundamental analysis of SEC EDGAR filings.

What are TCI's key strengths?

Claude: Conservative debt/equity ratio of 0.25x provides financial stability cushion. Substantial asset base of $1.1B with reasonable stockholders equity of $846.9M.

What are the risks of investing in TCI?

Claude: Negative operating cash flow of -$2.9M indicates core business cannot self-fund operations. Unsustainable free cash flow burn of -$13.5M annually depleting capital reserves.

What is TCI's revenue and growth?

Transcontinental Realty Investors Inc. reported revenue of $12.3M.

Does TCI pay dividends?

Transcontinental Realty Investors Inc. does not currently pay dividends.

Where can I find TCI SEC filings?

Official SEC filings for Transcontinental Realty Investors Inc. (CIK: 0000733590) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is TCI's EPS?

Transcontinental Realty Investors Inc. has a diluted EPS of $0.02.

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 grade reflects both perspectives for balanced insights.

What is TCI's fundamental grade?

Based on our AI fundamental analysis in June 2026, Transcontinental Realty Investors Inc. has a C grade with 78% confidence. Review the strengths and risks sections above for full context. This is not investment advice.

Is TCI stock overvalued or undervalued?

Valuation metrics for TCI: ROE of 0.0% (sector avg: 8%), net margin of 1.4% (sector avg: 20%). Compare these metrics with sector averages to assess valuation.

What is TCI's AI grade for 2026?

Our dual AI analysis gives Transcontinental Realty Investors Inc. a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is TCI's free cash flow?

Transcontinental Realty Investors Inc.'s operating cash flow is $-2.9M, with capital expenditures of $10.6M. FCF margin is -109.4%.

How does TCI compare to other Real Estate stocks?

Vs Real Estate sector averages: Net margin 1.4% (avg: 20%), ROE 0.0% (avg: 8%), current ratio N/A (avg: 1.5).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: May 16, 2026 | Data as of: 2026-03-31 | Powered by Claude AI