Greystone Housing Impact Investors (GHI) AI Stock Analysis

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Greystone Housing Impact Investors

(NYSE:GHI)

80Outperform

Greystone Housing Impact Investors presents a strong financial profile with impressive revenue growth and profitability, supported by a solid balance sheet free of debt. The stock's valuation is appealing, highlighted by a high dividend yield and fair P/E ratio. While technical indicators show neutral momentum, the company's strategic initiatives and liquidity improvements provide a positive outlook. However, potential challenges such as decreased book value and market uncertainties may impact future performance.

Positive Factors

Investment Opportunities

GHI is well-positioned to take advantage of an attractive investment and lending environment due to strong demand for affordable housing.

Joint Ventures

The company recently entered into a new joint venture with BlackRock to provide construction financing on new LIHTC projects.

Operational Stability

Six of the JV projects have completed the construction phase and have stabilized operations, with three achieving occupancy of over 90%.

Negative Factors

Earnings Impact

GAAP earnings were negatively impacted by a $9.7M unrealized fair value loss related to the interest rate hedges.

Greystone Housing Impact Investors (GHI) vs. S&P 500 (SPY)

Market Cap

$269.48M

Dividend Yield12.77%

Average Volume (3M)48.11K

Price to Earnings (P/E)15.4

Beta (1Y)0.33

Revenue Growth-26.83%

EPS Growth-62.54%

CountryUS

Employees1

SectorFinancial

Sector Strength87

IndustryFinancial - Mortgages

Share Statistics

EPS (TTM)0.31

Shares Outstanding23,171,227

10 Day Avg. Volume51,458

30 Day Avg. Volume48,113

Financial Highlights & Ratios

PEG Ratio-0.13

Price to Book (P/B)<0.01

Price to Sales (P/S)0.00

P/FCF Ratio15.07

Enterprise Value/Market Cap-53.55

Enterprise Value/Revenue-34.68

Enterprise Value/Gross Profit-142.49

Enterprise Value/Ebitda-61.35

Forecast

1Y Price Target

$16.00

Price Target Upside38.05% Upside

Rating ConsensusStrong Buy

Number of Analyst Covering3

Greystone Housing Impact Investors Business Overview & Revenue Model

Company DescriptionGreystone Housing Impact Investors (GHI) is a real estate investment company focused on creating and managing housing solutions that drive social impact. The company operates primarily within the affordable housing sector, providing high-quality, sustainable housing options to underserved communities. GHI is committed to addressing the housing crisis by investing in projects that deliver both financial returns and positive community outcomes.

How the Company Makes MoneyGreystone Housing Impact Investors generates revenue through a combination of rental income from its portfolio of affordable housing properties and fees associated with the management and development of these projects. The company invests in various housing developments, earning income as these properties are leased to tenants. Additionally, GHI may partner with government agencies, non-profit organizations, and private investors to secure funding and subsidies, which enhance the viability and profitability of their housing projects. These partnerships and financial arrangements are critical to supporting the company's mission-driven approach while maintaining financial sustainability.

Greystone Housing Impact Investors Financial Statement Overview

Summary

Greystone Housing Impact Investors demonstrates impressive financial strength with robust revenue growth, solid profitability, and a strong balance sheet. The absence of debt enhances financial flexibility, but there is potential to further improve returns on equity to maximize shareholder value. Overall, the company's financial health is commendable, with strong cash flow generation supporting ongoing operations.

Income Statement

Very Positive

Greystone Housing Impact Investors shows strong profitability with high gross and net profit margins in the latest year, indicating efficient cost management. Revenue has grown substantially, showcasing robust growth momentum.

Balance Sheet

Positive

The company exhibits a strong balance sheet with no debt reported in the latest year, significantly improving its debt-to-equity ratio. The equity ratio remains strong, indicating financial stability. However, the return on equity, while positive, reveals room for improvement in generating shareholder returns.

Cash Flow

Positive

Operating cash flow is healthy, and the company has maintained positive free cash flow, indicating strong cash generation. The free cash flow to net income ratio highlights effective cash management, despite fluctuations in investing cash flow.

Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Breakdown
Income Statement		Total Revenue
101.31M	38.18M	90.41M	62.01M	35.73M
	Gross Profit
40.00M	134.25M	-4.65B	55.29M	28.57M
	EBIT
21.36M	17.78M	95.98M	38.16M	7.29M
	EBITDA
81.41B	118.97M	106.39M	0.00	0.00
	Net Income Common Stockholders
21.32M	50.42M	65.56M	38.10M	7.21M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
14.70B	600.00K	51.19M	68.29M	44.50M
	Total Assets
1.58B	1.51B	1.57B	1.39B	1.18B
	Total Debt
0.00	714.23M	1.11B	892.62M	699.94M
	Net Debt
-14.70B	676.31M	1.06B	824.33M	655.45M
	Total Liabilities
1.20B	1.08B	1.15B	919.04M	721.05M
	Stockholders Equity
383.43B	431.19M	418.12M	466.11M	453.26M
Cash Flow		Free Cash Flow
17.99M	24.14M	19.32M	33.78M	15.42M
	Operating Cash Flow
17.99M	24.94M	21.13M	33.94M	15.84M
	Investing Cash Flow
-105.20B	53.56M	-278.60M	-187.47M	-38.14M
	Financing Cash Flow
70.78B	-123.40M	198.18M	182.47M	102.11M

Greystone Housing Impact Investors Technical Analysis

Technical Analysis Sentiment

Negative

Last Price11.59

Price Trends

50DMA

11.96

Negative

100DMA

11.64

Negative

200DMA

11.88

Negative

Market Momentum

MACD

-0.06

Positive

RSI

47.94

Neutral

STOCH

13.67

Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GHI, the sentiment is Negative. The current price of 11.59 is below the 20-day moving average (MA) of 11.59, below the 50-day MA of 11.96, and below the 200-day MA of 11.88, indicating a bearish trend. The MACD of -0.06 indicates Positive momentum. The RSI at 47.94 is Neutral, neither overbought nor oversold. The STOCH value of 13.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GHI.

Greystone Housing Impact Investors Risk Analysis

Greystone Housing Impact Investors disclosed 66 risk factors in its most recent earnings report. Greystone Housing Impact Investors reported the most risks in the “Finance & Corporate” category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added 0 New Risks

Greystone Housing Impact Investors Peers Comparison

Overall Rating

UnderperformOutperform

Sector (64)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GHI	80 Outperform	$269.48M	15.42	3.32%	12.77%	-26.83%	-62.54%
VEL	68 Neutral	$594.81M	8.51	13.62%	―	32.62%	16.91%
IOR	64 Neutral	$73.11M	16.44	3.69%	―	―	-32.53%
Sector *	64 Neutral	$12.60B	9.73	7.92%	16985.68%	12.21%	-5.61%
ONIT	61 Neutral	$303.04M	13.27	5.50%	―	-3.14%	264.15%
SNFCA	54 Neutral	$251.61M	9.40	8.14%	―	5.03%	83.63%
LDI	48 Neutral	$378.06M	―	-29.48%	―	3.76%	16.19%

* Financial Sector Average

Performance Comparison

GHI

Greystone Housing Impact Investors

11.59

-2.45

-17.45%

ONIT

Onity Group

37.84

12.56

49.68%

SNFCA

Security National Financial

10.25

3.91

61.67%

LDI

loanDepot

1.13

-1.17

-50.87%

IOR

Income Opportunity Realty Investors

17.98

1.63

9.97%

VEL

Velocity Financial

16.30

-1.37

-7.75%

Greystone Housing Impact Investors Earnings Call Summary

Earnings Call Date:May 07, 2025

(Q1-2025)

% Change Since: -0.34%|

Next Earnings Date:Jul 31, 2025

Earnings Call Sentiment Neutral

The earnings call presented a balanced view with significant achievements such as successful property sales, increased cash reserves, and strategic financial maneuvers. However, these were offset by notable challenges like decreased book value, unrealized losses, and adverse market conditions.

Q1-2025 Updates

Positive Updates

No Forbearance Requests

All borrowers are current on their principal and interest payments as of March 31, 2025, with no forbearance requests for multifamily mortgage revenue bonds.

Vantage Property Sales

The Vantage at Tomball project was sold in January 2025, and Vantage at Helotes was sold earlier this week. The Helotes sale was notable for being acquired by a local housing authority and a non-profit using tax-exempt bonds.

Preferred Return from Vantage Refinancing

$2.2 million of investment income was received from Vantage at Loveland upon refinancing of the property’s original construction loan, contributing approximately $0.10 per unit.

Increased Unrestricted Cash

Unrestricted cash and cash equivalents increased significantly to $51.4 million as of March 31, from $14.7 million as of December 31, due to property sales and a Series B preferred unit issuance.

Successful Series B Preferred Units Issuance

Successfully issued $20 million of Series B preferred units in March 2025.

Negative Updates

Decreased Book Value Per Unit

Book value per unit decreased by $0.56 from December 31, primarily due to a decrease in fair value of the mortgage revenue bond portfolio and a disparity between GAAP net income and distributions declared.

Significant Unrealized Losses on Interest Rate Derivatives

$3.9 million of non-cash unrealized losses on interest rate derivatives negatively impacted GAAP net income, translating to approximately $0.17 per unit.

Insurance Cost Impact on Vantage Sales

Insurance costs significantly impacted the profitability of Vantage at Tomball sale, with costs increasing 3.5 times the original underwriting.

Muni Market Challenges

Investment-grade tax-exempt bonds were the worst-performing U.S. fixed income asset class in Q1 2025, with municipal bond yields increasing significantly.

Company Guidance

In the first quarter of 2025, Greystone Housing Impact Investors reported a GAAP net income of $3.3 million, translating to $0.11 per unit, with cash available for distribution (CAD) standing at $7.1 million or $0.31 per unit. The company's book value per unit decreased by $0.56 to $12.59 from December 31, primarily due to a $0.24 per unit drop in the fair value of their mortgage revenue bond portfolio. The portfolio's physical occupancy was 89.5% as of March 31, 2025. Greystone's unrestricted cash and cash equivalents rose significantly to $51.4 million from $14.7 million at the end of 2024, partly due to the sale of Vantage at Tomball and a $20 million Series B preferred unit issuance. The company managed a total debt investment portfolio of $1.29 billion, comprising 85 mortgage revenue bonds across 13 states. Additionally, their first quarter results were notably impacted by $3.9 million in non-cash unrealized losses on interest rate derivatives, though this is expected to minimally affect net cash flows. The interest rate sensitivity analysis indicated that a 200 basis point increase in rates could decrease net interest income and CAD by $2.4 million, whereas a 100 basis point decrease could increase these metrics by $1.2 million.

Greystone Housing Impact Investors Corporate Events

Business Operations and StrategyFinancial Disclosures

Greystone Housing Impact Investors Reports Q4 2024 Financials

Neutral

Mar 5, 2025

On March 5, 2025, Greystone Housing Impact Investors LP released supplemental financial information for the fourth quarter of 2024, reporting total revenues of $22.6 million and a net income of $0.39 per Beneficial Unit Certificate (BUC). The company advanced significant funds across various investments and completed a notable securitization transaction. Despite challenges in the multifamily markets due to higher interest rates and operating expenses, Greystone sees new opportunities in 2025, particularly with the support of a new joint venture with BlackRock, as traditional affordable housing lenders become more restrictive.

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.