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AIRE

Alternative Income REIT LSE:AIRE Stock Report

Last Price

UK£0.84

Market Cap

UK£67.4m

7D

3.9%

1Y

13.3%

Updated

19 May, 2022

Data

Company Financials
AIRE fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance2/6
Financial Health2/6
Dividends2/6

AIRE Stock Overview

Alternative Income REIT PLC aims to generate a sustainable, secure and attractive income return for shareholders from a diversified portfolio of UK property investments, predominately in alternative and specialist sectors.

Alternative Income REIT Competitors

 

 

 

 

 

 

 

 

 

 

 

 

Price History & Performance

Summary of all time highs, changes and price drops for Alternative Income REIT
Historical stock prices
Current Share PriceUK£0.84
52 Week HighUK£0.85
52 Week LowUK£0.69
Beta0.77
1 Month Change8.01%
3 Month Change7.73%
1 Year Change13.28%
3 Year Change2.26%
5 Year Changen/a
Change since IPO-16.30%

Recent News & Updates

Shareholder Returns

AIREGB REITsGB Market
7D3.9%2.3%1.1%
1Y13.3%1.5%-2.5%

Return vs Industry: AIRE exceeded the UK REITs industry which returned 1.5% over the past year.

Return vs Market: AIRE exceeded the UK Market which returned -2.5% over the past year.

Price Volatility

Is AIRE's price volatile compared to industry and market?
AIRE volatility
AIRE Average Weekly Movement3.0%
REITs Industry Average Movement3.6%
Market Average Movement6.1%
10% most volatile stocks in GB Market11.7%
10% least volatile stocks in GB Market3.2%

Stable Share Price: AIRE is less volatile than 75% of UK stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: AIRE's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2017220Robert Wilkinsonhttps://www.alternativeincomereit.com

Alternative Income REIT PLC aims to generate a sustainable, secure and attractive income return for shareholders from a diversified portfolio of UK property investments, predominately in alternative and specialist sectors. The majority of the assets in the Group's portfolio are let on long leases which contain inflation linked rent review provisions, which help to underpin income distributions to shareholders with the potential for income and capital growth.

Alternative Income REIT Fundamentals Summary

How do Alternative Income REIT's earnings and revenue compare to its market cap?
AIRE fundamental statistics
Market CapUK£67.38m
Earnings (TTM)UK£8.77m
Revenue (TTM)UK£7.71m

7.7x

P/E Ratio

8.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AIRE income statement (TTM)
RevenueUK£7.71m
Cost of RevenueUK£514.00k
Gross ProfitUK£7.20m
Other Expenses-UK£1.57m
EarningsUK£8.77m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.11
Gross Margin93.33%
Net Profit Margin113.72%
Debt/Equity Ratio55.8%

How did AIRE perform over the long term?

See historical performance and comparison

Dividends

6.1%

Current Dividend Yield

556%

Payout Ratio

Valuation

Is Alternative Income REIT undervalued compared to its fair value and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


7.68x

Price to Earnings (PE) ratio

Share Price vs. Fair Value

Below Fair Value: AIRE (£0.84) is trading above our estimate of fair value (£0.25)

Significantly Below Fair Value: AIRE is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: AIRE is good value based on its PE Ratio (7.7x) compared to the UK REITs industry average (9.7x).

PE vs Market: AIRE is good value based on its PE Ratio (7.7x) compared to the UK market (15.4x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate AIRE's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: AIRE's PB Ratio (0.9x) is in line with the GB REITs industry average.


Future Growth

How is Alternative Income REIT forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-3.4%

Forecasted Real Estate industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Alternative Income REIT has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has Alternative Income REIT performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


15.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: AIRE has a large one-off gain of £4.0M impacting its December 31 2021 financial results.

Growing Profit Margin: AIRE became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: AIRE's earnings have grown by 15.6% per year over the past 5 years.

Accelerating Growth: AIRE has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: AIRE has become profitable in the last year, making it difficult to compare its past year earnings growth to the REITs industry (129.6%).


Return on Equity

High ROE: AIRE's Return on Equity (12.1%) is considered low.


Financial Health

How is Alternative Income REIT's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: AIRE's short term assets (£11.2M) exceed its short term liabilities (£2.8M).

Long Term Liabilities: AIRE's short term assets (£11.2M) do not cover its long term liabilities (£40.9M).


Debt to Equity History and Analysis

Debt Level: AIRE's net debt to equity ratio (52.7%) is considered high.

Reducing Debt: Insufficient data to determine if AIRE's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: AIRE's debt is not well covered by operating cash flow (1.9%).

Interest Coverage: AIRE's interest payments on its debt are well covered by EBIT (4.4x coverage).


Balance Sheet


Dividend

What is Alternative Income REIT current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


6.15%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: AIRE's dividend (6.15%) is higher than the bottom 25% of dividend payers in the UK market (1.81%).

High Dividend: AIRE's dividend (6.15%) is in the top 25% of dividend payers in the UK market (4.85%)


Stability and Growth of Payments

Stable Dividend: AIRE has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: AIRE's dividend payments have increased, but the company has only paid a dividend for 5 years.


Earnings Payout to Shareholders

Earnings Coverage: With its high payout ratio (556.1%), AIRE's dividend payments are not well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (550.2%), AIRE's dividend payments are not well covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

1.2yrs

Average board tenure


CEO

Robert Wilkinson

no data

Tenure

Mr. Robert Wilkinson serves as a European Chief Executive Officer of AEW Europe at Alternative Income REIT PLC. Mr. Wilkinson has 26 years of experience in real estate and corporate finance. Since joining...


Board Members

Experienced Board: AIRE's board of directors are not considered experienced ( 1.2 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Alternative Income REIT PLC's employee growth, exchange listings and data sources


Key Information

  • Name: Alternative Income REIT PLC
  • Ticker: AIRE
  • Exchange: LSE
  • Founded: 2017
  • Industry: Diversified REITs
  • Sector: Real Estate
  • Implied Market Cap: UK£67.379m
  • Shares outstanding: 80.50m
  • Website: https://www.alternativeincomereit.com

Number of Employees


Location

  • Alternative Income REIT PLC
  • 1 King William Street
  • London
  • Greater London
  • EC4N 7AF
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/19 00:00
End of Day Share Price2022/05/19 00:00
Earnings2021/12/31
Annual Earnings2021/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.