Whitestone REIT (WSR) AI Stock Analysis

• Market Cap: $1.23B
• Dividend Yield: 4.41%
• Average Volume (3M): 203.17K
• Price to Earnings (P/E): 18.5
• Beta (1Y): 0.64
• Revenue Growth: 4.04%
• EPS Growth: 107.96%
• Country: US
• Employees: 69
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Retail
• EPS (TTM): 0.10
• Shares Outstanding: 51,016,945
• 10 Day Avg. Volume: 191,893
• 30 Day Avg. Volume: 203,173
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 8.45
• Enterprise Value/Gross Profit: 12.08
• Enterprise Value/Ebitda: 14.59
• 1Y Price Target: $14.75
• Price Target Upside: 22.20% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 73 Outperform
• Price Target: $14.00 ▲(15.99% Upside)

Whitestone REIT's overall stock score is driven by strong financial performance and positive earnings call sentiment. The company's robust profitability, strategic acquisitions, and redevelopment initiatives contribute significantly to its score. However, high leverage and moderate technical indicators slightly temper the overall outlook.

Positive Factors

Strategic Acquisitions

These acquisitions in high-growth markets are expected to drive future growth, enhancing the company's portfolio and market position.

Revenue Growth

The increase in core FFO per share reflects strong financial performance and effective management, supporting long-term revenue growth.

Leasing Environment

Robust leasing spreads indicate strong demand and pricing power, contributing to sustained revenue and occupancy growth.

Negative Factors

High Leverage

High leverage can limit financial flexibility and increase risk, potentially impacting the company's ability to invest in growth opportunities.

Interest Expense Increase

Rising interest expenses can pressure margins and cash flow, affecting profitability and financial stability over time.

Challenges with Timing

Timing issues in acquisitions and dispositions can disrupt cash flow management and financial planning, posing operational challenges.

Whitestone REIT Business Overview & Revenue Model

Company Description

Whitestone is a community-centered shopping center REIT that acquires, owns, manages, develops and redevelops high-quality open-air neighborhood centers primarily in the largest, fastest-growing and most affluent markets in the Sunbelt. Whitestone seeks to create communities that thrive through creating local connections between consumers in the surrounding communities and a well-crafted mix of national, regional and local tenants that provide daily necessities, needed services, entertainment and experiences. Whitestone is a monthly dividend paying stock and has consistently paid dividends for over 15 years. Whitestone's strong, balanced and managed capital structure provides stability and flexibility for growth and positions Whitestone to perform well through economic cycles.

How the Company Makes Money

Whitestone REIT generates revenue primarily through leasing space to tenants in its retail properties. The company earns rental income from long-term leases with a diverse mix of tenants, which includes national and regional retailers, service providers, and local businesses. Additionally, WSR benefits from ancillary income sources such as management fees and reimbursements from tenants for property expenses. The company's revenue model is supported by its focus on community-oriented properties, which tends to attract stable tenant demand and lower vacancy rates. Strategic partnerships with local businesses and a commitment to enhancing tenant relationships further contribute to consistent revenue streams.

Whitestone REIT Financial Statement Overview

Summary

Whitestone REIT exhibits strong financial health with robust profitability and cash flow generation. The company shows strong revenue growth and solid profit margins, but high leverage presents a potential risk. The ability to generate consistent cash flow and maintain a solid equity base provides a firm foundation for future growth.

Income Statement

Whitestone REIT shows strong revenue growth with a consistent increase over the years, achieving a TTM gross profit margin of 69.93% and a net profit margin of 21.63%, indicating solid profitability. The EBIT and EBITDA margins are also favorable at 33.72% and 57.92% respectively. However, there has been a slight decline in net income compared to the previous annual report.

Balance Sheet

The company's balance sheet reflects a stable equity base, with an equity ratio of 41.22% in TTM. The debt-to-equity ratio is relatively high at 1.57, suggesting significant leverage. ROE stands at 7.89%, which is moderate but shows room for improvement. Overall, the balance sheet presents a stable but leveraged financial position.

Cash Flow

Whitestone REIT demonstrates strong cash flow management with a consistent positive free cash flow and a TTM operating cash flow to net income ratio of 1.52, indicating efficient cash generation relative to net income. The free cash flow to net income ratio is also healthy at 1.52. The company has managed to maintain free cash flow despite fluctuations in investing and financing cash flows.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	155.91M	155.51M	147.92M	140.58M	125.36M	123.56M
Gross Profit	109.04M	109.53M	97.96M	97.28M	86.04M	80.35M
EBITDA	90.30M	85.18M	87.18M	79.30M	64.14M	59.23M
Net Income	33.72M	36.89M	19.18M	35.27M	12.05M	6.03M
Balance Sheet
Total Assets	1.16B	1.13B	1.11B	1.10B	1.10B	1.05B
Cash, Cash Equivalents and Short-Term Investments	5.32M	5.22M	7.18M	6.17M	15.72M	25.78M
Total Debt	670.35M	632.36M	640.89M	626.16M	642.84M	644.18M
Total Liabilities	722.53M	690.80M	693.62M	678.31M	703.05M	706.68M
Stockholders Equity	427.51M	438.15M	413.74M	418.45M	392.78M	332.08M
Cash Flow
Free Cash Flow	51.36M	58.23M	47.60M	44.43M	48.87M	42.78M
Operating Cash Flow	51.36M	58.23M	47.60M	44.43M	48.87M	42.78M
Investing Cash Flow	-33.28M	-16.01M	-36.31M	-6.71M	-91.23M	-6.44M
Financing Cash Flow	-15.98M	-31.49M	-13.00M	-47.28M	32.31M	-26.02M

Whitestone REIT Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 12.07
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WSR, the sentiment is Negative. The current price of 12.07 is below the 20-day moving average (MA) of 12.62, below the 50-day MA of 12.49, and below the 200-day MA of 12.84, indicating a bearish trend. The MACD of -0.13 indicates Positive momentum. The RSI at 34.77 is Neutral, neither overbought nor oversold. The STOCH value of 12.32 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for WSR.

Whitestone REIT Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GTY	77 Outperform	$1.51B	23.25	6.87%	7.04%	6.62%	-3.87%
WSR	73 Outperform	$1.23B	18.53	7.97%	4.41%	4.04%	107.96%
CBL	72 Outperform	$925.83M	14.32	21.97%	9.52%	2.20%	128.61%
NTST	66 Neutral	$1.78B	―	-0.43%	4.57%	21.31%	-199.59%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
BFS	65 Neutral	$768.77M	23.94	12.90%	7.48%	5.17%	-25.96%
ALX	61 Neutral	$1.24B	33.43	20.89%	7.39%	-6.45%	-27.49%

Whitestone REIT Corporate Events

Whitestone REIT Launches $100 Million Share Offering

On September 16, 2025, Whitestone REIT entered into equity distribution agreements with several financial institutions to facilitate the sale of up to $100 million of its common shares through an ‘at the market’ offering program. This move allows the company to raise capital flexibly, potentially enhancing its financial position and operational capabilities, while also impacting its market presence and stakeholder interests.

The most recent analyst rating on (WSR) stock is a Buy with a $16.00 price target. To see the full list of analyst forecasts on Whitestone REIT stock, see the WSR Stock Forecast page.