First Real Estate Investment Trust of New Jersey, Inc.
First Real Estate Investment Trust of New Jersey, Inc. Fundamental Analysis
First Real Estate Investment Trust of New Jersey, Inc. (FREVS) shows moderate financial fundamentals with a PE ratio of 27.25, profit margin of 12.99%, and ROE of 11.33%. The company generates $0.0B in annual revenue with weak year-over-year growth of 1.18%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 26.6/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze FREVS's fundamental strength across five key dimensions:
Efficiency Score
WeakFREVS struggles to generate sufficient returns from assets.
Valuation Score
WeakFREVS trades at a premium to fair value.
Growth Score
ModerateFREVS shows steady but slowing expansion.
Financial Health Score
WeakFREVS carries high financial risk with limited liquidity.
Profitability Score
WeakFREVS struggles to sustain strong margins.
Key Financial Metrics
Is FREVS Expensive or Cheap?
P/E Ratio
FREVS trades at 27.25 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, FREVS's PEG of 2.56 indicates potential overvaluation.
Price to Book
The market values First Real Estate Investment Trust of New Jersey, Inc. at 3.06 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 0.23 times EBITDA. This is generally considered low.
How Well Does FREVS Make Money?
Net Profit Margin
For every $100 in sales, First Real Estate Investment Trust of New Jersey, Inc. keeps $12.99 as profit after all expenses.
Operating Margin
Core operations generate 36.28 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $11.33 in profit for every $100 of shareholder equity.
ROA
First Real Estate Investment Trust of New Jersey, Inc. generates $2.58 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
First Real Estate Investment Trust of New Jersey, Inc. produces operating cash flow of $6.08M, showing steady but balanced cash generation.
Free Cash Flow
First Real Estate Investment Trust of New Jersey, Inc. generates strong free cash flow of $6.11M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.82 in free cash annually.
FCF Yield
FREVS converts 5.82% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
27.25
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
2.56
vs 25 benchmark
P/B Ratio
Price to book value ratio
3.06
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.54
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
3.52
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.62
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.12
vs 25 benchmark
How FREVS Stacks Against Its Sector Peers
| Metric | FREVS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 27.25 | 22.46 | Worse (Expensive) |
| ROE | 11.33% | 681.00% | Weak |
| Net Margin | 12.99% | -37308.00% (disorted) | Strong |
| Debt/Equity | 3.52 | -20.87 (disorted) | Distorted |
| Current Ratio | 0.62 | 1953.63 | Weak Liquidity |
| ROA | 2.58% | -1226.00% (disorted) | Weak |
FREVS outperforms its industry in 1 out of 6 key metrics, particularly excelling in Net Margin, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews First Real Estate Investment Trust of New Jersey, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-55.71%
Industry Style: Income, Inflation Hedge, REIT
DecliningEPS CAGR
201.42%
Industry Style: Income, Inflation Hedge, REIT
High GrowthFCF CAGR
35.82%
Industry Style: Income, Inflation Hedge, REIT
High Growth