Firm Capital Property (FCD.UN) AI Stock Analysis

• Market Cap: C$212.14M
• Dividend Yield: 9.05%
• Average Volume (3M): 24.26K
• Price to Earnings (P/E): 6.1
• Beta (1Y): 0.14
• Revenue Growth: 4.62%
• EPS Growth: 103.51%
• Country: CA
• Employees: 1
• Sector: Real Estate
• Sector Strength: 73
• Industry: REIT - Diversified
• EPS (TTM): 0.95
• Shares Outstanding: 36,926,000
• 10 Day Avg. Volume: 20,535
• 30 Day Avg. Volume: 24,262
• PEG Ratio: 0.06
• Price to Book (P/B): N/A
• Price to Sales (P/S): 3.54
• Price to Cash Flow (P/CF): 5.20
• P/FCF Ratio: 4.40
• 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

Firm Capital Property is rated at 73, reflecting its solid financial performance and attractive valuation. The company enjoys strong profitability and revenue growth, though there is room for improvement in cash flow generation and operational efficiency. Its valuation is compelling, with a low P/E ratio and high dividend yield, offering significant appeal. Technical indicators are mixed but lean slightly positive, indicating potential for growth.

Firm Capital Property Business Overview & Revenue Model

Company Description

Firm Capital Property Trust (FCD.UN) is a real estate investment trust focused on acquiring and managing a diversified portfolio of income-producing properties across Canada. The trust invests in various property sectors, including residential, retail, industrial, and office spaces. Firm Capital Property Trust aims to provide investors with stable, growing cash distributions and long-term value appreciation through strategic property acquisition and effective asset management.

How the Company Makes Money

Firm Capital Property Trust generates revenue primarily through the rental income derived from its portfolio of properties, which includes residential, retail, industrial, and office spaces. The trust leases these properties to a variety of tenants, ensuring a steady stream of rental payments. Additionally, the company may increase revenue by actively managing and optimizing its properties to enhance their value and occupancy rates. Significant partnerships with real estate developers, property managers, and other stakeholders also contribute to its earnings by facilitating efficient property operations and strategic acquisitions. The trust's revenue model is further supported by its focus on acquiring high-quality properties in prime locations, which helps maintain strong demand and rental income stability.

Firm Capital Property Financial Statement Overview

Summary

Firm Capital Property exhibits a strong financial profile with consistent revenue growth and profitability. The firm maintains healthy profit margins, though operational efficiency could improve with focus on EBIT. The balance sheet is stable with manageable debt levels, but vigilance is required to mitigate leverage risks. Cash flows are adequate but highlight the need for enhanced cash generation strategies. Overall, the company is well-positioned in the REITs industry, with opportunities for further optimization.

Income Statement

Firm Capital Property shows a positive trajectory in revenue growth with a 3.11% increase in TTM. The gross profit margin stands at 62.2%, indicating strong profitability, while the net profit margin is significantly high at 58.35%, boosted by exceptional net income performance. However, there is a notable decrease in EBIT margin to 41.23% from the previous year's 56.94%. EBITDA margin remains healthy at 47.81%.

Balance Sheet

The firm's balance sheet reveals a moderately leveraged position with a debt-to-equity ratio of 1.1. The equity ratio is a solid 46.8%, providing a stable financial base. Return on equity is robust at 11.44%, reflecting effective utilization of shareholder funds. However, the high level of debt could pose a risk if market conditions change.

Cash Flow

Cash flow analysis indicates a stable operating cash flow to net income ratio of 0.76. Free cash flow growth is negative, with a 4.83% decrease, indicating potential challenges in cash generation. The free cash flow to net income ratio is 0.62, suggesting decent cash conversion, though improvements are needed in free cash flow growth.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
59.89M	58.09M	54.02M	46.43M	44.54M	36.16M
	Gross Profit
37.26M	37.30M	35.46M	30.22M	28.54M	22.99M
	EBIT
24.70M	33.07M	31.37M	21.45M	24.73M	18.49M
	EBITDA
28.63M	29.28M	30.66M	66.76M	24.73M	43.16M
	Net Income Common Stockholders
34.94M	15.37M	-22.00M	58.39M	7.50M	28.32M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
3.42M	8.33M	4.99M	5.90M	5.69M	12.75M
	Total Assets
221.35M	637.38M	633.90M	576.36M	480.52M	475.17M
	Total Debt
92.46M	335.29M	325.73M	264.97M	248.35M	236.97M
	Net Debt
89.05M	326.96M	320.74M	259.07M	242.66M	224.22M
	Total Liabilities
96.90M	345.69M	337.38M	280.44M	257.07M	246.13M
	Stockholders Equity
124.45M	291.69M	296.51M	295.92M	223.45M	229.04M
Cash Flow		Free Cash Flow
21.57M	22.66M	-55.31M	-47.05M	11.73M	-157.06M
	Operating Cash Flow
26.47M	28.92M	29.97M	26.60M	22.32M	22.48M
	Investing Cash Flow
1.77M	-561.66K	-80.71M	-47.83M	-10.55M	-175.29M
	Financing Cash Flow
-29.02M	-25.01M	49.83M	21.44M	-18.84M	162.15M

Firm Capital Property Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5.71
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:FCD.UN, the sentiment is Positive. The current price of 5.71 is below the 20-day moving average (MA) of 5.80, below the 50-day MA of 5.80, and above the 200-day MA of 5.45, indicating a neutral trend. The MACD of -0.04 indicates Positive momentum. The RSI at 47.00 is Neutral, neither overbought nor oversold. The STOCH value of 32.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:FCD.UN.

Firm Capital Property Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BEI.UN	79 Outperform	$3.52B	5.55	13.02%	2.18%	10.56%	-15.69%
MRG.UN	75 Outperform	C$923.94M	9.23	5.29%	4.28%	3.79%	-40.78%
FCD.UN	73 Outperform	C$212.14M	6.07	11.74%	9.05%	4.62%	103.51%
KMP.UN	72 Outperform	C$2.10B	3.22	23.97%	4.05%	5.04%	151.14%
CAR.UN	72 Outperform	C$7.01B	24.84	3.20%	3.41%	4.45%	―
IIP.UN	70 Outperform	C$1.67B	―	-6.27%	3.38%	3.85%	-266.02%
Sector *	61 Neutral	$4.70B	17.65	-3.00%	11.43%	5.99%	-19.07%

Firm Capital Property Corporate Events

Firm Capital Reports Strong Q3 2024 Results

Firm Capital Property Trust reported strong financial results for Q3 2024, with a notable 14% growth in Adjusted Funds From Operations and a reduction in the AFFO payout ratio to 100%. The Trust’s diverse property portfolio and manageable mortgage maturity profile further contribute to its stable financial outlook.