Earnings Preview: Centerspace

Centerspace CSR is gearing up to announce its quarterly earnings on Monday, 2024-10-28. Here's a quick overview of what investors should know before the release.

Analysts are estimating that Centerspace will report an earnings per share (EPS) of $1.19.

Investors in Centerspace are eagerly awaiting the company's announcement, hoping for news of surpassing estimates and positive guidance for the next quarter.

It's worth noting for new investors that stock prices can be heavily influenced by future projections rather than just past performance.

Historical Earnings Performance

In the previous earnings release, the company beat EPS by $0.07, leading to a 0.83% drop in the share price the following trading session.

Performance of Centerspace Shares

Shares of Centerspace were trading at $70.89 as of October 24. Over the last 52-week period, shares are up 20.89%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analysts' Perspectives on Centerspace

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Centerspace.

The consensus rating for Centerspace is Outperform, based on 4 analyst ratings. With an average one-year price target of $77.25, there's a potential 8.97% upside.

Comparing Ratings with Peers

This comparison focuses on the analyst ratings and average 1-year price targets of NexPoint Residential, Elme and Veris Residential, three major players in the industry, shedding light on their relative performance expectations and market positioning.

• As per analysts' assessments, NexPoint Residential is favoring an Neutral trajectory, with an average 1-year price target of $49.0, suggesting a potential 30.88% downside.
• The consensus among analysts is an Neutral trajectory for Elme, with an average 1-year price target of $18.0, indicating a potential 74.61% downside.
• Veris Residential is maintaining an Outperform status according to analysts, with an average 1-year price target of $16.5, indicating a potential 76.72% downside.

Peers Comparative Analysis Summary

The peer analysis summary provides a snapshot of key metrics for NexPoint Residential, Elme and Veris Residential, illuminating their respective standings within the industry. These metrics offer valuable insights into their market positions and comparative performance.

Key Takeaway:

Centerspace ranks at the top for Revenue Growth among its peers, showing a positive trend. In terms of Gross Profit, Centerspace is in the middle compared to its peers. However, its Return on Equity is at the bottom, indicating lower profitability compared to others in the group. Overall, Centerspace's performance is mixed when compared to its peers in the analysis.

Get to Know Centerspace Better

Centerspace is a real estate investment trust (REIT) that focuses on the ownership, management, acquisitions, redevelopment, and development of apartment communities. The company operates through a single reportable segment which includes the ownership, management, development, redevelopment, and acquisition of apartment communities and they conduct their corporate operations from offices in Minot, North Dakota and Minneapolis, Minnesota.

Key Indicators: Centerspace's Financial Health

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Revenue Growth: Centerspace displayed positive results in 3 months. As of 30 June, 2024, the company achieved a solid revenue growth rate of approximately 0.41%. This indicates a notable increase in the company's top-line earnings. When compared to others in the Real Estate sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Centerspace's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of -4.46%, the company may face hurdles in effective cost management.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of -0.49%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Centerspace's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of -0.15%, the company may face hurdles in achieving optimal financial returns.

Debt Management: Centerspace's debt-to-equity ratio stands notably higher than the industry average, reaching 1.59. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

To track all earnings releases for Centerspace visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.