OTCPK:FREV.S

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First Real Estate Investment Trust of New Jersey

Executive Summary

First Real Estate Investment Trust of New Jersey is a publicly traded (over-the-counter – symbol FREVS.) REIT organized in 1961.


Snowflake Analysis

Proven track record and fair value.

Share Price & News

How has First Real Estate Investment Trust of New Jersey's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: FREV.S's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-3.1%

FREV.S

3.3%

US REITs

1.3%

US Market


1 Year Return

-15.5%

FREV.S

-6.4%

US REITs

14.9%

US Market

Return vs Industry: FREV.S underperformed the US REITs industry which returned -7.6% over the past year.

Return vs Market: FREV.S underperformed the US Market which returned 12.5% over the past year.


Shareholder returns

FREV.SIndustryMarket
7 Day-3.1%3.3%1.3%
30 Day-8.6%1.7%4.7%
90 Day-15.0%11.0%17.1%
1 Year-14.0%-15.5%-2.6%-6.4%17.3%14.9%
3 Year-12.9%-16.7%15.6%1.9%38.9%29.9%
5 Year-16.1%-27.4%45.4%15.5%71.3%52.8%

Price Volatility Vs. Market

How volatile is First Real Estate Investment Trust of New Jersey's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is First Real Estate Investment Trust of New Jersey undervalued compared to its fair value and its price relative to the market?

6.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FREV.S ($14.53) is trading below our estimate of fair value ($15.46)

Significantly Below Fair Value: FREV.S is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: FREV.S is good value based on its PE Ratio (4x) compared to the US REITs industry average (29.4x).

PE vs Market: FREV.S is good value based on its PE Ratio (4x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: FREV.S is overvalued based on its PB Ratio (2.6x) compared to the US REITs industry average (1.3x).


Next Steps

Future Growth

How is First Real Estate Investment Trust of New Jersey forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

7.6%

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 First Real Estate Investment Trust of New Jersey 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.


Next Steps

  • Examine whether First Real Estate Investment Trust of New Jersey is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
  • While we do not consider unaudited financials to be a reliable enough to include in our analysis, you can access them on theOTC Markets Website. If you are looking for more of a qualitative research into the company, you can access First Real Estate Investment Trust of New Jersey's filings and announcementshere.
  • Explore growth companies in the Real Estate industry.

Past Performance

How has First Real Estate Investment Trust of New Jersey performed over the past 5 years?

18.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FREV.S has a large one-off gain of $27.7M impacting its April 30 2020 financial results.

Growing Profit Margin: FREV.S's current net profit margins (42.6%) are higher than last year (3.3%).


Past Earnings Growth Analysis

Earnings Trend: FREV.S's earnings have grown by 18% per year over the past 5 years.

Accelerating Growth: FREV.S's earnings growth over the past year (1195.1%) exceeds its 5-year average (18% per year).

Earnings vs Industry: FREV.S earnings growth over the past year (1195.1%) exceeded the REITs industry 3%.


Return on Equity

High ROE: Whilst FREV.S's Return on Equity (62.23%) is outstanding, this metric is skewed due to their high level of debt.


Next Steps

Financial Health

How is First Real Estate Investment Trust of New Jersey's financial position?


Financial Position Analysis

Short Term Liabilities: FREV.S's short term assets ($48.3M) exceed its short term liabilities ($3.5M).

Long Term Liabilities: FREV.S's short term assets ($48.3M) do not cover its long term liabilities ($318.1M).


Debt to Equity History and Analysis

Debt Level: FREV.S's debt to equity ratio (758.1%) is considered high.

Reducing Debt: FREV.S's debt to equity ratio has reduced from 1197.3% to 758.1% over the past 5 years.

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

Interest Coverage: FREV.S's interest payments on its debt are not well covered by EBIT (0.9x coverage).


Balance Sheet


Next Steps

Dividend

What is First Real Estate Investment Trust of New Jersey current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate FREV.S's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate FREV.S's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if FREV.S's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if FREV.S's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: FREV.S is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of FREV.S's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

2.3yrs

Average management tenure


CEO

Robert Hekemian (60 yo)

2.33yrs

Tenure

US$481,190

Compensation

Mr. Robert S. Hekemian, Jr. has been Chief Executive Officer of First Real Estate Investment Trust of New Jersey since April 05, 2018. He has served as a Trustee of First Real Estate Investment Trust of Ne ...


CEO Compensation Analysis

Compensation vs Market: Robert's total compensation ($USD481.19K) is about average for companies of similar size in the US market ($USD608.75K).

Compensation vs Earnings: Robert's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Robert Hekemian
CEO, President & Trustee2.33yrsUS$481.19k4.38%
$ 4.4m
Allan Tubin
CFO & Treasurer1.5yrsUS$29.87k0.11%
$ 111.3k
John Aiello
Executive Secretary4.67yrsUS$116.00k0.073%
$ 72.6k
Chantelle McAleer
Investor Relations Contactno datano datano data
Nicole Gullotta
Executive Assistantno datano datano data
Stephanie Pecoraro
Investor Relationsno datano datano data

2.3yrs

Average Tenure

70yo

Average Age

Experienced Management: FREV.S's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Robert Hekemian
CEO, President & Trustee2.33yrsUS$481.19k4.38%
$ 4.4m
John Aiello
Executive Secretary4.67yrsUS$116.00k0.073%
$ 72.6k
David McBride
Independent Trustee13.25yrsUS$127.24k0.073%
$ 72.6k
Ronald Artinian
Independent Chairman of the Board2.33yrsUS$199.11k6.47%
$ 6.4m
Justin Meng
Independent Trustee4.5yrsUS$122.41k0.22%
$ 218.0k
David Hekemian
2.33yrsUS$56.25k4.62%
$ 4.6m
Richard Aslanian
Independent Trustee2.33yrsUS$98.65k0.15%
$ 148.2k

4.5yrs

Average Tenure

60yo

Average Age

Experienced Board: FREV.S's board of directors are considered experienced (4.5 years average tenure).


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

First Real Estate Investment Trust of New Jersey's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: First Real Estate Investment Trust of New Jersey
  • Ticker: FREV.S
  • Exchange: OTCPK
  • Founded: 1961
  • Industry: Diversified REITs
  • Sector: Real Estate
  • Market Cap: US$99.627m
  • Shares outstanding: 6.86m
  • Website: https://www.freitnj.com

Number of Employees


Location

  • First Real Estate Investment Trust of New Jersey
  • 505 Main Street
  • Hackensack
  • New Jersey
  • 7601
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FREV.SOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDAug 1995

Biography

First Real Estate Investment Trust of New Jersey is a publicly traded (over-the-counter – symbol FREVS.) REIT organized in 1961. Its portfolio of residential and commercial properties are located in New Je ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/02 23:48
End of Day Share Price2020/07/31 00:00
Earnings2020/04/30
Annual Earnings2019/10/31


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.