KCR Residential REIT PLC (KCR) AI Stock Analysis

KCR Residential REIT PLC

(LSE:KCR)

Select Model

Rating:41Neutral

Price Target:GBX 6.50▼(-3.70% Downside)

Action:reiterated

Date:10/26/26

The score is weighed down primarily by weak financial performance: a large 2026 loss, chronically negative operating/free cash flow, and rising leverage as equity declined. Technicals also pressure the score, with the stock trading below all key moving averages and a negative MACD. Valuation is only modestly supportive because the negative P/E reflects loss-making performance and no dividend yield data is available.

Positive Factors

Revenue GrowthThe sustained increase in revenue indicates that KCR has expanded its income base over several years, including further growth in the latest period. Continued top-line progress can support operating scale and provide a foundation for improved earnings if costs and financing pressures are controlled.

Negative Factors

Severe Profitability DeteriorationThe sharp swing from profit to a large loss materially weakens earnings quality and reduces the capital available to support the portfolio. Negative operating profitability in most years also indicates that gross rental income is not consistently covering overhead, financing costs, or other reported pressures.

KCR Residential REIT PLC (KCR) vs. iShares MSCI United Kingdom ETF (EWC)

Market Cap: GBP 2.92M
Dividend Yield: ―
Average Volume (3M): 5,099
Price to Earnings (P/E): -1.0
Beta (1Y): 0.12
Revenue Growth: 14.94%
EPS Growth: -979.75%
Country: UK
Employees: 8
Sector: Real Estate
Sector Strength: 65
Industry: REIT - Residential

KCR Residential REIT PLC Business Overview & Revenue Model

Company Description

KCR Residential REIT plc operates as a publicly traded real estate investment trust, primarily focusing its investments on residential properties within the Central London market. This entity is headquartered in the United Kingdom.

How the Company Makes Money

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KCR Residential REIT PLC Financial Statement Overview

Summary

Revenue has grown steadily, but 2026 profitability deteriorated sharply to a large net loss and operating profitability is weak. Cash flow is persistently negative (operating and free cash flow negative across all periods), increasing reliance on external funding. Leverage rose as equity fell, reducing the capital cushion and raising financial risk.

Income Statement

34Negative

Balance Sheet

46Neutral

Cash Flow

22Negative

Financial statement breakdown
Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	2.17M	2.17M	1.89M	1.80M	1.58M	1.28M
Gross Profit	1.54M	1.54M	1.39M	1.37M	1.26M	1.21M
EBITDA	-2.03M	-2.03M	-95.61K	-524.80K	-392.50K	-151.15K
Net Income	-2.90M	-2.90M	327.64K	-1.19M	-166.14K	-342.08K
Balance Sheet
Total Assets	24.99M	24.99M	27.31M	26.71M	27.24M	27.37M
Cash, Cash Equivalents and Short-Term Investments	231.66K	231.66K	174.31K	931.60K	980.85K	2.52M
Total Debt	14.56M	14.56M	14.14M	13.90M	13.27M	13.27M
Total Liabilities	15.24M	15.24M	14.66M	14.39M	13.73M	13.69M
Stockholders Equity	9.75M	9.75M	12.65M	12.32M	13.51M	13.68M
Cash Flow
Free Cash Flow	-375.29K	-367.90K	-778.92K	-700.31K	-1.14M	-876.12K
Operating Cash Flow	-375.29K	-367.90K	-778.92K	-659.42K	-928.71K	-823.10K
Investing Cash Flow	7,391	0	-210.00K	-19.58K	-609.79K	-58.01K
Financing Cash Flow	425.25K	425.25K	231.64K	629.75K	0	3.33M

KCR Residential REIT PLC Technical Analysis

Technical Analysis SentimentNegative

Last Price6.75

Price Trends

50DMA7.77Negative

100DMA8.12Negative

200DMA8.86Negative

Market Momentum

MACD-0.32Negative

RSI19.67Positive

STOCH96.15Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:KCR, the sentiment is Negative. The current price of 6.75 is below the 20-day moving average (MA) of 6.94, below the 50-day MA of 7.77, and below the 200-day MA of 8.86, indicating a bearish trend. The MACD of -0.32 indicates Negative momentum. The RSI at 19.67 is Positive, neither overbought nor oversold. The STOCH value of 96.15 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:KCR.

KCR Residential REIT PLC Peers Comparison

Overall Rating

UnderperformOutperform

Sector (65)

Financial Indicators

GB:KCR against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GB:AEWU	69Neutral	GBP 163.12M	16.39	5.76%	7.78%	-3.39%	-59.21%
Sector *	65Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
GB:RESI	55Neutral	GBP 16.08M	-1.30	-6.40%	352.97%	―	―
GB:KCR	41Neutral	GBP 2.81M	-1.00	-26.30%	―	14.94%	-979.75%

* Real Estate Sector Average

Performance Comparison

GB:KCR and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
GB:KCR	KCR Residential REIT PLC	6.75	-1.85	-21.51%
GB:AEWU	AEW UK REIT	102.80	4.31	4.38%
GB:RESI	Residential Secure Income Plc	6.40	-0.10	-1.60%
GB:HOME	Home REIT PLC	8.20	-0.80	-8.89%

KCR Residential REIT PLC Corporate Events

Business Operations and StrategyFinancial Disclosures

KCR Residential REIT grows rental income but London valuations hit annual results

Negative

Oct 22, 2026

KCR Residential REIT reported a 15% rise in revenue to £2.17 million for the year to 30 June 2026, driven by a 19% increase in core rental income and improved occupancy at Deanery Court, which rose to 83%. The company achieved its first positive...

Business Operations and Strategy

KCR Residential REIT Consolidates City Advisory Roles With New Broker

Positive

Oct 1, 2026

KCR Residential REIT plc has announced a change in its corporate brokerage arrangements within the UK residential property investment sector. Effective 30 September 2026, Zeus Capital Limited has been replaced by Cairn Financial Advisers LLP as the C...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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.

Date of analysis: Oct 26, 2026

KCR Residential REIT PLC AI Stock Analysis