NETSTREIT Corp.
NETSTREIT Corp. Fundamental Analysis
NETSTREIT Corp. (NTST) shows weak financial fundamentals with a PE ratio of 179.61, profit margin of 5.36%, and ROE of 0.78%. The company generates $0.2B in annual revenue with strong year-over-year growth of 20.91%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 37.2/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze NTST's fundamental strength across five key dimensions:
Efficiency Score
WeakNTST struggles to generate sufficient returns from assets.
Valuation Score
ModerateNTST shows balanced valuation metrics.
Growth Score
ModerateNTST shows steady but slowing expansion.
Financial Health Score
ModerateNTST shows balanced financial health with some risks.
Profitability Score
WeakNTST struggles to sustain strong margins.
Key Financial Metrics
Is NTST Expensive or Cheap?
P/E Ratio
NTST trades at 179.61 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, NTST's PEG of 0.01 indicates potential undervaluation.
Price to Book
The market values NETSTREIT Corp. at 1.30 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 2.87 times EBITDA. This is generally considered low.
How Well Does NTST Make Money?
Net Profit Margin
For every $100 in sales, NETSTREIT Corp. keeps $5.36 as profit after all expenses.
Operating Margin
Core operations generate 35.02 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $0.78 in profit for every $100 of shareholder equity.
ROA
NETSTREIT Corp. generates $0.39 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
NETSTREIT Corp. generates strong operating cash flow of $98.44M, reflecting robust business health.
Free Cash Flow
NETSTREIT Corp. generates weak or negative free cash flow of $-108.82M, restricting financial flexibility.
FCF Per Share
Each share generates $-1.32 in free cash annually.
FCF Yield
NTST converts -7.41% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
179.61
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.01
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.30
vs 25 benchmark
P/S Ratio
Price to sales ratio
8.34
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.82
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.52
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.008
vs 25 benchmark
ROA
Return on assets percentage
0.004
vs 25 benchmark
ROCE
Return on capital employed
0.03
vs 25 benchmark
How NTST Stacks Against Its Sector Peers
| Metric | NTST Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 179.61 | 23.35 | Worse (Expensive) |
| ROE | 0.78% | 665.00% | Weak |
| Net Margin | 5.36% | -37485.00% (disorted) | Weak |
| Debt/Equity | 0.82 | -21.05 (disorted) | Distorted |
| Current Ratio | 0.52 | 21.53 | Weak Liquidity |
| ROA | 0.39% | -931.00% (disorted) | Weak |
NTST outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews NETSTREIT Corp.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
14.35%
Industry Style: Income, Inflation Hedge, REIT
High GrowthEPS CAGR
98.00%
Industry Style: Income, Inflation Hedge, REIT
High GrowthFCF CAGR
79.91%
Industry Style: Income, Inflation Hedge, REIT
High Growth