Medalist Diversified REIT Inc (MDRR)
NASDAQ:MDRR
US Market

Medalist Diversified REIT (MDRR) AI Stock Analysis

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Medalist Diversified REIT

(NASDAQ:MDRR)

53Neutral
Medalist Diversified REIT exhibits moderate recovery and stability signals. Financial improvements are evident with reduced leverage and positive cash flow, though revenue growth challenges persist. Technical indicators suggest stable momentum, but high P/E ratio raises valuation concerns. Recent corporate events reflect strategic focus, contributing positively to overall stability and potential growth.

Medalist Diversified REIT (MDRR) vs. S&P 500 (SPY)

Medalist Diversified REIT Business Overview & Revenue Model

Company DescriptionMedalist Diversified REIT, Inc. (MDRR) is a real estate investment trust that focuses on acquiring, owning, and managing income-producing properties across various sectors within secondary and tertiary markets in the southeastern United States. The company's portfolio typically includes retail, office, and industrial properties, providing a diversified mix of real estate assets aimed at generating stable cash flows and long-term value for investors.
How the Company Makes MoneyMedalist Diversified REIT makes money primarily through the acquisition, ownership, and management of commercial real estate properties. The company's revenue model is centered around collecting rental income from its tenants, which can include businesses occupying retail, office, or industrial spaces. Additionally, MDRR may realize capital appreciation from the strategic acquisition and eventual sale of properties. The company may also engage in partnerships or joint ventures to enhance its investment opportunities and leverage its expertise in property management. Factors contributing to its earnings include tenant occupancy rates, lease terms, property management efficiency, and market conditions in the regions where it operates.

Medalist Diversified REIT Financial Statement Overview

Summary
Medalist Diversified REIT shows signs of financial recovery with improvements in operational efficiency and balance sheet strength. However, challenges in revenue growth and profitability persist, as indicated by a minimal net profit margin and historical financial volatility.
Income Statement
45
Neutral
The income statement reveals moderate performance with significant volatility. The Gross Profit Margin for 2024 is stable, but the Net Profit Margin is minimal at 0.28%, indicating potential profitability challenges. There is a notable revenue decline from 2023 to 2024, with a decrease of approximately 5.3%, suggesting difficulties in maintaining revenue growth. While EBIT and EBITDA margins have improved compared to previous years, this comes after periods of negative EBIT, indicating past operational challenges.
Balance Sheet
55
Neutral
The balance sheet shows improvement in the company's financial structure. The Debt-to-Equity ratio has significantly decreased to 0 in 2024, reflecting a reduction in leverage, which reduces financial risk. Stockholders' Equity has also improved, resulting in an Equity Ratio of approximately 20%, up from previous years, suggesting increased financial stability. However, historical high debt levels have been a concern, indicating potential past financial strain.
Cash Flow
50
Neutral
Cash flow analysis indicates mixed performance. The Free Cash Flow has turned positive in 2024 after being negative in several prior years, reflecting improved cash management. The Operating Cash Flow to Net Income ratio is strong at approximately 65.3, highlighting efficient cash generation relative to net income. However, the Free Cash Flow growth shows volatility, with periods of negative cash flow, indicating past cash flow management issues.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
9.74M10.27M11.09M11.47M9.28M
Gross Profit
7.38M7.67M7.16M6.51M4.52M
EBIT
3.73M-997.16K119.17K1.09M-1.47M
EBITDA
7.68M3.54M4.60M4.68M2.51M
Net Income Common Stockholders
27.52K-4.57M-4.97M-10.26M-12.26M
Balance SheetCash, Cash Equivalents and Short-Term Investments
4.78M2.41M3.92M4.37M2.86M
Total Assets
75.10M82.75M87.92M92.55M79.27M
Total Debt
50.00M51.77M61.34M54.52M50.86M
Net Debt
45.23M49.54M57.42M50.15M47.99M
Total Liabilities
54.10M69.02M69.22M69.55M67.56M
Stockholders Equity
15.03M12.32M17.25M21.47M10.86M
Cash FlowFree Cash Flow
893.74K-1.38M175.32K295.93K-2.10M
Operating Cash Flow
1.80M104.01K1.19M832.61K-1.68M
Investing Cash Flow
2.06M-1.48M-9.32M-19.14M-414.36K
Financing Cash Flow
-1.60M-474.14K6.40M20.60M5.12M

Medalist Diversified REIT Technical Analysis

Technical Analysis Sentiment
Positive
Last Price12.94
Price Trends
50DMA
12.58
Positive
100DMA
12.57
Positive
200DMA
12.27
Positive
Market Momentum
MACD
0.02
Negative
RSI
54.79
Neutral
STOCH
63.48
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MDRR, the sentiment is Positive. The current price of 12.94 is above the 20-day moving average (MA) of 12.58, above the 50-day MA of 12.58, and above the 200-day MA of 12.27, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 54.79 is Neutral, neither overbought nor oversold. The STOCH value of 63.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MDRR.

Medalist Diversified REIT Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
OO
80
Outperform
$50.48B57.672.40%5.53%29.49%-22.38%
CTCTO
68
Neutral
$614.88M36.87-0.37%7.88%14.11%-667.02%
66
Neutral
$1.07B8.9710.49%10.12%12.24%-3.21%
61
Neutral
$4.72B17.64-3.07%10.89%5.99%-21.86%
GNGNL
60
Neutral
$1.85B-5.48%13.68%56.29%55.99%
53
Neutral
$22.00M515.670.20%1.66%-3.42%89.29%
SLSLG
52
Neutral
$4.36B734.100.71%5.21%5.12%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
MDRR
Medalist Diversified REIT
12.94
1.39
12.03%
CTO
CTO Realty Growth
19.36
3.90
25.23%
O
Realty Income
57.15
7.15
14.30%
SLG
SL Green Realty
57.98
8.98
18.33%
GNL
Global Net Lease
7.98
1.62
25.47%
BCSF
Bain Capital Specialty Finance
16.67
2.67
19.07%

Medalist Diversified REIT Corporate Events

M&A TransactionsBusiness Operations and StrategyFinancial Disclosures
Medalist Diversified REIT Reports Strong 2024 Financial Results
Positive
Mar 18, 2025

On March 14, 2025, Medalist Diversified REIT announced its financial results for the year ended December 31, 2024. The company reported a net income per diluted share of $0.024 and funds from operations (FFO) per diluted share of $1.52, indicating strong operational efficiency and portfolio stability. The adjusted funds from operations (AFFO) per diluted share was $1.09, supporting dividends and portfolio performance. The same-store net operating income (SS NOI) increased by 4.6% year-over-year, with significant growth in flex industrial properties. Medalist completed the acquisition of a property for $2.4 million and divested another for $3.1 million in 2024, optimizing its portfolio. The results highlight the resilience of Medalist’s investment strategy and its focus on delivering long-term value to shareholders.

Executive/Board ChangesBusiness Operations and Strategy
Medalist Diversified REIT Expands Board with New Director
Positive
Feb 6, 2025

On January 31, 2025, Medalist Diversified REIT appointed Marc Carlson as a Class II director, expanding its board to seven members. Mr. Carlson, a seasoned executive with a background in technology, sales, and strategic leadership, brings valuable expertise to support the company’s long-term growth and innovation goals. His appointment is seen as a strategic move to strengthen Medalist’s leadership team, reflecting the company’s commitment to enhancing its industry positioning and operational strategy.

Business Operations and StrategyFinancial Disclosures
Medalist Diversified REIT Announces Strategic Repositioning
Positive
Jan 22, 2025

On January 22, 2025, Medalist Diversified REIT announced the availability of its financial supplements for 2024 and a Board decision to permit C. Brent Winn, Jr. to own up to 4.90% of the company’s shares, potentially impacting share ownership dynamics. The company’s strategic repositioning towards net-leased assets and recent acquisition of a Citibank property in Chicago mark a significant operational focus shift aimed at enhancing stability and income predictability.

Executive/Board ChangesDividends
Medalist Diversified REIT Appoints Kramer and Declares Dividend
Positive
Jan 7, 2025

Medalist Diversified REIT has appointed Kory J. Kramer to its Board of Directors, highlighting his extensive experience in real estate investment and development. This appointment aims to bolster the company’s strategic vision and enhance its portfolio management. Additionally, the company declared a quarterly cash dividend of $0.065 per share, payable on January 23, 2025, to shareholders on record as of January 20, 2025, reflecting its ongoing commitment to delivering shareholder value.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.