Stratus Properties AI Stock Analysis
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Stratus Properties (STRS) AI Stock Analysis
Stratus Properties
(Other OTC:STRS)
Stratus Properties scores low primarily because of weak core financial performance: revenue is volatile and declining, gross margins are deeply negative, and the company has not generated positive operating or free cash flow in any of the past five years, burning roughly $37M in cash on a TTM basis. Reported profits stem largely from asset sales rather than sustainable operations. The main offset is a much cleaner balance sheet, with total debt effectively eliminated and equity rising to $211.7M, though returns on that equity remain modest. Technicals reinforce caution, with the price below all key moving averages and negative MACD momentum, despite an RSI near oversold levels that could support a short-term bounce. Valuation screens cheap on a 7.2x P/E with an unusually large dividend yield, but both metrics are distorted by one-time gains and asset dispositions rather than recurring earnings or cash flow.
Stratus Properties (STRS) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $154.23M
- Dividend Yield
- 28.41%
- Average Volume (3M)
- 15.00K
- Price to Earnings (P/E)
- 7.2
- Beta (1Y)
- 0.79
- Revenue Growth
- -12.40%
- EPS Growth
- ―
- Country
- US
- Employees
- 34
- Sector
- Real Estate
- Sector Strength
- 65
- Industry
- Real Estate - Diversified
Stratus Properties Business Overview & Revenue Model
Company Description
Stratus Properties Inc. is a real estate company primarily active in Texas, specializing in the entire property lifecycle from acquisition and obtaining necessary permits to development, ongoing management, and eventual sale. Their portfolio encompas...
Stratus Properties Financial Statement Overview
Summary
Financials are weak overall. The income statement (score 28) shows highly volatile and declining revenue (down ~45% to $29.9M in 2025, TTM $28.7M) with deeply negative gross margins near -50%, and reported profits that appear driven by one-time gains rather than core operations. Cash flow (score 15) is the biggest concern: operating cash flow has been negative in every one of the last five years (TTM -$37.2M) and free cash flow has never been positive (TTM -$40.9M), with profits failing to convert into cash. The balance sheet (score 52) is the relative bright spot, with total debt eliminated on a TTM basis, equity growing to $211.7M, and a conservative capital structure — though return on equity remains modest at roughly 6%. The combination of a clean balance sheet against persistent cash burn and negative operating margins leaves material execution and sustainability risk.
Income Statement
28NegativeBalance Sheet
52NeutralCash Flow
15Very Negative| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 28.66M | 29.91M | 54.18M | 17.27M | 37.50M | 28.24M |
| Gross Profit | -8.69M | -14.12M | 11.17M | -1.78M | 5.71M | 9.47M |
| EBITDA | 31.84M | 16.57M | 1.78M | -10.71M | -3.07M | -10.52M |
| Net Income | 21.48M | 11.98M | 1.96M | -14.81M | 90.43M | 57.39M |
Balance Sheet | ||||||
| Total Assets | 532.49M | 563.43M | 532.61M | 517.77M | 445.14M | 541.23M |
| Cash, Cash Equivalents and Short-Term Investments | 74.30M | 74.29M | 20.18M | 31.40M | 37.67M | 24.23M |
| Total Debt | 159.75M | 158.99M | 210.29M | 191.03M | 137.61M | 120.63M |
| Total Liabilities | 182.06M | 216.35M | 235.04M | 223.16M | 173.07M | 332.61M |
| Stockholders Equity | 211.72M | 204.49M | 194.71M | 191.48M | 207.25M | 158.14M |
Cash Flow | ||||||
| Free Cash Flow | -40.86M | -38.04M | -34.98M | -97.22M | -110.07M | -73.17M |
| Operating Cash Flow | -37.20M | -29.90M | -5.84M | -51.25M | -55.26M | -53.61M |
| Investing Cash Flow | 128.43M | 61.03M | -21.54M | -46.95M | 50.00M | 188.94M |
| Financing Cash Flow | -35.09M | 22.34M | 16.10M | 84.93M | -19.17M | -99.37M |
Stratus Properties Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For STRS, the sentiment is Neutral. The current price of 17.60 is above the 20-day moving average (MA) of 17.41, below the 50-day MA of 17.99, and below the 200-day MA of 24.78, indicating a neutral trend. The MACD of -0.29 indicates Negative momentum. The RSI at 51.56 is Neutral, neither overbought nor oversold. The STOCH value of 71.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for STRS.
Stratus Properties Risk Analysis
Stratus Properties disclosed 44 risk factors in its most recent earnings report. Stratus Properties reported the most risks in the "Finance & Corporate" category.
Latest Risks Added
3 New RisksStratus Properties Peers Comparison
Overall Rating
JOE70Outperform
AAT57Neutral
FSP42Neutral- STRS39Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| JOE | 70Outperform | $4.06B | 33.46 | 15.84% | 0.93% | 11.10% | 17.69% |
| Sector * | 65Neutral | $2.17B | 12.19 | 3.79% | 4.94% | 3.15% | 1.96% |
| AAT | 57Neutral | $1.32B | 61.12 | 2.01% | 6.33% | -8.18% | -65.65% |
| FSP | 42Neutral | $43.59M | -1.03 | -7.23% | 9.52% | -5.12% | 7.99% |
| STRS | 39Underperform | $135.71M | 7.23 | 10.82% | 28.41% | -12.40% | ― |
* Real Estate Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| STRS | Stratus Properties | 17.60 | -1.00 | -5.38% | |
| FSP | Franklin Street Properties | 0.42 | -0.56 | -57.27% | |
| JOE | St. Joe Co | 71.06 | 14.61 | 25.87% | |
| AAT | American Assets Trust | 21.50 | 3.87 | 21.96% |
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: Nov 12, 2026