Whitestone REIT
Whitestone REIT Fundamental Analysis
Whitestone REIT (WSR) shows moderate financial fundamentals with a PE ratio of 19.37, profit margin of 30.50%, and ROE of 11.26%. The company generates $0.2B in annual revenue with moderate year-over-year growth of 3.44%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 47.1/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze WSR's fundamental strength across five key dimensions:
Efficiency Score
WeakWSR struggles to generate sufficient returns from assets.
Valuation Score
ExcellentWSR trades at attractive valuation levels.
Growth Score
ModerateWSR shows steady but slowing expansion.
Financial Health Score
ModerateWSR shows balanced financial health with some risks.
Profitability Score
ModerateWSR maintains healthy but balanced margins.
Key Financial Metrics
Is WSR Expensive or Cheap?
P/E Ratio
WSR trades at 19.37 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, WSR's PEG of 0.31 indicates potential undervaluation.
Price to Book
The market values Whitestone REIT at 2.10 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 2.67 times EBITDA. This is generally considered low.
How Well Does WSR Make Money?
Net Profit Margin
For every $100 in sales, Whitestone REIT keeps $30.50 as profit after all expenses.
Operating Margin
Core operations generate 32.98 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $11.26 in profit for every $100 of shareholder equity.
ROA
Whitestone REIT generates $4.31 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Whitestone REIT generates strong operating cash flow of $51.26M, reflecting robust business health.
Free Cash Flow
Whitestone REIT generates strong free cash flow of $51.26M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.00 in free cash annually.
FCF Yield
WSR converts 5.25% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
19.37
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.31
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.10
vs 25 benchmark
P/S Ratio
Price to sales ratio
5.91
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.41
vs 25 benchmark
Current Ratio
Current assets to current liabilities
180.98
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.05
vs 25 benchmark
How WSR Stacks Against Its Sector Peers
| Metric | WSR Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 19.37 | 23.35 | Better (Cheaper) |
| ROE | 11.26% | 665.00% | Weak |
| Net Margin | 30.50% | -37485.00% (disorted) | Strong |
| Debt/Equity | 1.41 | -21.05 (disorted) | Distorted |
| Current Ratio | 180.98 | 21.53 | Strong Liquidity |
| ROA | 4.31% | -931.00% (disorted) | Weak |
WSR outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Whitestone REIT's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
8.58%
Industry Style: Income, Inflation Hedge, REIT
GrowingEPS CAGR
590.09%
Industry Style: Income, Inflation Hedge, REIT
High GrowthFCF CAGR
-1.00%
Industry Style: Income, Inflation Hedge, REIT
Declining