Ground Rents Income Fund (GRIO) AI Stock Analysis

• Market Cap: N/A
• Dividend Yield: N/A
• Average Volume (3M): 20.91K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.11
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: UK
• Employees: 4
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): N/A
• Shares Outstanding: 95,667,625
• 10 Day Avg. Volume: 23,307
• 30 Day Avg. Volume: 20,910
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.42
• Price to Sales (P/S): -0.89
• P/FCF Ratio: 11.48
• 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

• Rating: 56 Neutral
• Price Target: 27.00p ▲(2.66% Upside)

The overall stock score is primarily influenced by the mixed financial performance, with a strong balance sheet but profitability challenges. Technical analysis suggests a neutral to slightly bearish trend, while incomplete valuation data limits a comprehensive assessment. The absence of earnings call and corporate events data further constrains the analysis.

Ground Rents Income Fund Business Overview & Revenue Model

Company Description

Ground Rents Income Fund PLC is a real estate investment trust externally managed by Braemar Estates (Residential) Ltd, Asset Management Arm. The firm invest in long dated United Kingdom ground rents. It acquire a portfolio of freeholds and head leases, offering the potential for income generation from ground rents, that is both secure and hedged against inflation, and the potential for capital growth from active asset management. Ground Rents Income Fund PLC was launched in August, 2012 and is based in England, United Kingdom.

How the Company Makes Money

GRIO generates revenue primarily through the collection of ground rents from its portfolio of leased properties. Ground rents are typically paid by property owners to GRIO in exchange for the right to use the land, often on a long-term basis, such as 99 years or more. This creates a recurring income stream that is relatively stable over time. Additionally, the company may benefit from annual increases in ground rent tied to inflation or set periodic escalations. GRIO's revenue model is further enhanced by its focus on acquiring high-quality ground rent portfolios, which can lead to appreciation in asset value and potential capital gains. The company may also engage in partnerships with real estate developers and other investment firms to expand its portfolio and optimize its income-generating capabilities.

Ground Rents Income Fund Financial Statement Overview

Summary

The company exhibits a mixed financial performance. The balance sheet is strong with no debt and a solid equity position, but the income statement reveals profitability issues with negative revenue and net income. Cash flow generation is adequate but inconsistent, indicating potential operational challenges.

Income Statement

The company's income statement shows significant volatility, with negative revenue and net income in the latest period. Gross profit margin is also negative, indicating challenges in maintaining profitability. However, there is a positive EBIT in the latest year, suggesting some operational efficiencies.

Balance Sheet

The balance sheet reflects a solid equity position with no debt in the latest year, improving the debt-to-equity ratio to a favorable level. The equity ratio is strong, indicating good financial stability. However, the decline in total assets over time is a concern.

Cash Flow

The cash flow statement highlights moderate operational cash flow relative to net income, suggesting reasonable cash generation. Free cash flow is positive, indicating good cash management, but growth is inconsistent over the periods analyzed.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	-26.82M	-26.96M	1.16M	5.60M	5.69M	4.21M
Gross Profit	-26.82M	-26.96M	1.16M	4.73M	4.71M	4.21M
EBITDA	23.80M	2.32M	-4.08M	-18.91M	3.81M	-1.09M
Net Income	-15.77M	-29.71M	-1.12M	-7.52M	1.19M	-1.59M
Balance Sheet
Total Assets	63.51M	79.59M	110.45M	112.24M	122.34M	128.49M
Cash, Cash Equivalents and Short-Term Investments	4.26M	5.53M	1.60M	1.91M	1.09M	2.44M
Total Debt	8.90M	19.33M	20.85M	20.73M	19.11M	18.99M
Total Liabilities	13.09M	23.10M	24.25M	23.71M	22.63M	25.93M
Stockholders Equity	50.42M	56.49M	86.20M	88.52M	99.71M	102.56M
Cash Flow
Free Cash Flow	1.81M	2.08M	735.37K	2.95M	2.27M	2.14M
Operating Cash Flow	1.81M	2.08M	735.37K	2.95M	2.27M	2.14M
Investing Cash Flow	8.26M	3.56M	149.85K	42.80K	419.47K	-1.50M
Financing Cash Flow	-12.19M	-1.72M	-1.20M	-2.17M	-4.04M	-4.34M

Ground Rents Income Fund Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 26.30
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:GRIO, the sentiment is Negative. The current price of 26.3 is below the 20-day moving average (MA) of 26.55, below the 50-day MA of 26.64, and below the 200-day MA of 28.66, indicating a bearish trend. The MACD of -0.06 indicates Positive momentum. The RSI at 36.99 is Neutral, neither overbought nor oversold. The STOCH value of 43.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:GRIO.

Ground Rents Income Fund Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AIRE	―	£56.27M	7.75	10.96%	8.50%	8.48%	207.85%
Sector *	―	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
PCA	―	£43.69M	47.58	1.67%	6.94%	-32.42%	―
TOWN	―	£55.98M	-16.28	-2.97%	1.88%	16.08%	56.94%
GRIO	―	―	―	―	―	―	―
RLE	―	£57.18M	49.55	1.28%	5.20%	-9.28%	―

Ground Rents Income Fund Corporate Events

High Court Dismisses Ground Rents Income Fund’s Leasehold Reform Challenge

Ground Rents Income Fund PLC, along with five other claimant groups, has been involved in a Judicial Review challenging the enfranchisement provisions of the Leasehold and Freehold Reform Act 2024. The High Court has dismissed their claim, and the company is currently reviewing the judgment with its advisers. This decision could have implications for the company’s operations and its stakeholders, as it affects the legal framework governing leasehold and freehold properties.

The most recent analyst rating on (GB:GRIO) stock is a Hold with a £28.00 price target. To see the full list of analyst forecasts on Ground Rents Income Fund stock, see the GB:GRIO Stock Forecast page.

Ground Rents Income Fund Announces Chairman’s Resignation

Ground Rents Income Fund PLC, a company involved in managing leasehold and building safety reforms, announced the resignation of Barry Gilbertson as Non-Executive Chairman. The Board has started the search for a new Chair, acknowledging Gilbertson’s leadership in navigating complex industry challenges and progressing the company’s strategic goals.

Ground Rents Income Fund PLC Appoints New Auditor

Ground Rents Income Fund PLC, a company involved in the real estate investment sector, has announced a change in its auditing firm. The Board has appointed RSM UK Audit LLP as the new auditor for the financial year ending September 30, 2025, following a competitive tender process. PricewaterhouseCoopers LLP, the previous auditor, has resigned, and the Board expressed gratitude for their service. This change may impact the company’s financial reporting and auditing processes, potentially affecting stakeholders’ confidence and the company’s industry positioning.