First Property (FPO) AI Stock Analysis

• Market Cap: £20.33M
• Dividend Yield: N/A
• Average Volume (3M): 56.40K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.02
• Revenue Growth: 11.29%
• EPS Growth: -80.81%
• Country: UK
• Employees: 51
• Sector: Real Estate
• Sector Strength: 77
• Industry: Real Estate - Services
• EPS (TTM): -0.02
• Shares Outstanding: 147,843,110
• 10 Day Avg. Volume: 30,682
• 30 Day Avg. Volume: 56,401
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): N/A
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

The overall stock score of 48 reflects significant financial performance challenges, including declining income and inconsistent cash flows. Despite positive corporate events that have temporarily improved financial outlook, technical indicators and unattractive valuation metrics contribute to a cautious outlook. The company needs strategic initiatives to reverse the revenue and cash flow decline and improve investor confidence.

First Property Business Overview & Revenue Model

Company Description

First Property Group (FPO) is a property fund manager and investor with a particular focus on commercial real estate. The company operates across the UK and Central Europe, offering investment fund management services and direct property investment opportunities. Its core business activities include managing property investment funds and investing in commercial properties to deliver high returns for its investors.

How the Company Makes Money

First Property Group makes money primarily through its two main business divisions: fund management and direct property investment. In fund management, the company earns fees by managing property investment funds on behalf of institutional and retail investors. These fees are typically based on a percentage of the assets under management (AUM) and can also include performance-based incentives. In direct property investment, FPO generates revenue through rental income from its owned properties, as well as through capital gains realized from the strategic acquisition, development, and sale of commercial properties. Key factors contributing to FPO's earnings include its ability to identify high-potential real estate assets, manage properties efficiently, and create value through active asset management.

First Property Financial Statement Overview

Summary

First Property faces significant challenges, with declining revenues, profitability issues, and inconsistent cash flows. While the balance sheet remains relatively stable with manageable debt levels, the current financial trajectory indicates operational and liquidity risks. The company needs to address its revenue decline and improve cash flow management to enhance financial stability.

Income Statement

The income statement reveals significant volatility. Revenue has decreased from previous years, with a revenue decline of 9.17% in the most recent year. Margins are under pressure, with negative EBIT and net income margins in the latest report, reflecting operational challenges. Despite historical profitability, the recent downturn is concerning.

Balance Sheet

The balance sheet shows a moderate leverage position with a debt-to-equity ratio of 0.27, which is manageable. However, the equity ratio has decreased, reflecting a reduction in asset base. The company has maintained a reasonable level of cash reserves, which is a positive aspect amidst declining equity.

Cash Flow

Cash flows have been inconsistent. The company reported a significant drop in free cash flow, turning negative in the latest year. Operating cash flow has also decreased substantially, suggesting potential liquidity challenges. However, past periods showed stronger cash flows, indicating potential for recovery.

Breakdown
Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
7.85M	7.25M	8.64M	12.12M	16.29M
	Gross Profit
4.97M	4.99M	5.72M	7.99M	12.32M
	EBIT
-189.00K	2.00M	6.06M	-5.07M	5.23M
	EBITDA
-3.56M	3.12M	7.50M	-2.99M	5.80M
	Net Income Common Stockholders
-4.58M	1.92M	6.78M	-7.45M	4.86M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
4.63M	7.65M	6.42M	16.24M	7.34M
	Total Assets
75.81M	83.48M	76.98M	81.28M	124.65M
	Total Debt
10.59M	13.37M	15.03M	35.78M	65.12M
	Net Debt
5.96M	5.72M	8.61M	19.54M	57.78M
	Total Liabilities
34.88M	38.01M	33.99M	44.29M	76.45M
	Stockholders Equity
38.98M	43.44M	42.77M	36.79M	48.05M
Cash Flow		Free Cash Flow
-1.30M	2.45M	-3.12M	38.43M	5.30M
	Operating Cash Flow
398.00K	3.48M	-1.44M	38.73M	5.34M
	Investing Cash Flow
-840.00K	2.76M	-4.28M	1.05M	-198.00K
	Financing Cash Flow
-2.66M	-5.09M	-4.08M	-30.66M	-7.47M

First Property Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 13.75
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:FPO, the sentiment is Neutral. The current price of 13.75 is above the 20-day moving average (MA) of 12.78, above the 50-day MA of 13.54, and below the 200-day MA of 14.48, indicating a neutral trend. The MACD of -0.13 indicates Negative momentum. The RSI at 65.07 is Neutral, neither overbought nor oversold. The STOCH value of 90.78 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:FPO.

First Property Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SGRO	71 Outperform	£9.36B	15.48	5.18%	4.24%	-9.88%	―
BLND	68 Neutral	£3.84B	21.11	3.17%	5.93%	-30.83%	―
Sector *	59 Neutral	$2.72B	11.58	0.09%	8782.99%	5.32%	-16.79%
WKP	58 Neutral	$828.35M	―	-2.20%	6.57%	1.86%	84.48%
HMSO	55 Neutral	£1.21B	―	-2.09%	6.13%	6.08%	―
FPO	48 Neutral	£20.33M	―	-5.74%	―	11.29%	-80.81%
LAND	47 Neutral	£4.30B	40.75	1.61%	6.90%	-1.73%	―

First Property Corporate Events

First Property Group Exceeds Profit Expectations Amid Strategic Financial Moves

First Property Group plc has reported a successful financial year, with profits before tax expected to significantly exceed market expectations. The company benefited from one-off events such as profits from the disposal of investment properties and early receipt of fees, alongside cost-cutting measures and a successful open offer of new shares. These actions have strengthened the company’s financial position, enabling it to trade profitably and position itself for future opportunistic investments.

Spark’s Take on GB:FPO Stock

According to Spark, TipRanks’ AI Analyst, GB:FPO is a Neutral.

The overall stock score of 45 reflects significant financial performance challenges, including declining income and inconsistent cash flows, combined with negative technical indicators and unattractive valuation metrics. The company needs strategic initiatives to reverse the revenue and cash flow decline and improve investor confidence.

To see Spark’s full report on GB:FPO stock, click here.