One-glance verdict
Overvalued
$26.57 our estimate vs market $55.29
Wall Street consensus: $64.14 (141.4% higher than our fair-value estimate)
108% above our estimate, beyond the bull case
Fundamentals snapshot
Centerspace
CSR · NYQ · Real Estate · REIT - Residential
Current price
$55.29
52-week range
$52.00 - $69.61
Market cap
$978.55M
Balance sheet
Distressed
0.53x Concerning
Net debt $981.02M. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
2 Risks
3 rewards · 2 risks
- Reward Returns 3.4% on equity, ahead of 60% of its peers.
- Reward Free cash flow was positive in 10/10 years.
- Risk Insider ownership is only 0.7% (peer median: 2.4%).
- Risk Net debt grew 1.1% over 3 years.
What this company does
Centerspace
Centerspace is a real estate company that acts as a landlord, owning and operating apartment buildings in states like Colorado and Minnesota. The company makes almost all of its money by collecting monthly rent from the thousands of people living in its homes. This business model provides a predictable stream of income because housing is a basic, consistent need for people.
How the company got here
Founded in 1970 as Investors Real Estate Trust (IRET), the company initially had a varied portfolio of properties. Over time, it shifted its focus to owning and operating apartment buildings. To reflect this new, singular focus on residential communities, the company rebranded itself as Centerspace in 2021. This change highlighted its strategy of concentrating on apartment homes in the Midwestern and Mountain West regions of the United States. Recently, in September 2026, Centerspace announced it would merge with another real estate company, Independence Realty Trust, to create a larger, more geographically diverse company.
What it actually does
Centerspace is a real estate investment trust, or REIT (a company that owns and often operates income-producing real estate), that specializes in apartment communities. Think of them as a large-scale landlord. They buy, manage, and sometimes redevelop apartment buildings, primarily for middle-income renters. Their properties are located in cities across several states, including Colorado, Minnesota, and Utah. The company makes money by leasing these apartments to residents and earning a steady stream of rental income.
Multifamily Residential Operations
This is Centerspace's only line of business, making up all of its operations. The company owns and manages apartment communities, and its main source of revenue (the money it brings in) is the rent paid by tenants. They also generate a smaller amount of income from other resident services and fees, such as charges for parking or having pets. Centerspace focuses on providing well-maintained, solid apartment homes in cities with stable job markets, aiming to keep their buildings consistently occupied.
What management is betting on now
Management is focused on a strategy of portfolio optimization (selling off properties in some areas to reinvest in others) to improve the overall quality and location of their apartment communities. They are selling buildings in smaller markets to reduce debt and concentrate on what they see as higher-growth metropolitan areas. A major part of this strategy is the planned merger with Independence Realty Trust. This move is designed to create a much larger company with a more diverse geographic footprint, particularly increasing its presence in the Sunbelt region of the U.S.
Price history
How the share price has moved
—
Loading price history…
Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q3
$20.47M
FY2024 Q4
$9.45M
FY2025 Q1
$20.39M
FY2025 Q2
$-123.73M
FY2025 Q3
$25.70M
FY2025 Q4
$2.67M
FY2026 Q1
$16.11M
FY2026 Q2
$15.07M
Revenue
$65.78M
Net income
$-1.02M
Diluted EPS
-0.07
Operating cash flow
$22.70M
Free cash flow
$15.07M
Fetching…
Sources
Revenue
$65.07M
Net income
$-12.89M
Diluted EPS
-0.77
Operating cash flow
$21.42M
Free cash flow
$16.11M
Fetching…
Sources
Revenue
$66.62M
Net income
$-18.43M
Diluted EPS
-1.08
Operating cash flow
$12.71M
Free cash flow
$2.67M
Fetching…
Sources
Revenue
$71.40M
Net income
$53.78M
Diluted EPS
3.19
Operating cash flow
$35.05M
Free cash flow
$25.70M
Fetching…
Sources
Revenue
$68.55M
Net income
$-14.52M
Diluted EPS
-0.87
Operating cash flow
$25.27M
Free cash flow
$-123.73M
Fetching…
Sources
Revenue
$67.09M
Net income
$-3.73M
Diluted EPS
-0.22
Operating cash flow
$25.43M
Free cash flow
$20.39M
Fetching…
Sources
Revenue
$66.41M
Net income
$-5.08M
Diluted EPS
-0.31
Operating cash flow
$18.66M
Free cash flow
$9.45M
Fetching…
Sources
Revenue
$65.03M
Net income
$-1.05M
Diluted EPS
-0.40
Operating cash flow
$32.32M
Free cash flow
$20.47M
Fetching…
Sources
Is it cheap or expensive?
Fair value $26.57 vs current price $55.29
Wall Street consensus is the average analyst price target: $64.14 (141.4% higher than our fair-value estimate).
Our most-likely fair value is $26.57 a share — about 51.9% below today's price of $55.29, so the stock currently looks expensive (overvalued).
Is it drowning in debt?
Distressed
Net debt $981.0M. Interest coverage 0.5x.
Net debt
$981.02M
Interest coverage
0.53x
Centerspace's profit covers its interest bill about 0.5 times over. which is stronger than most peers shown here and 4 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Distressed
Worse cushion
Baseline
Better cushion
CSR
BASELINE
Centerspace
Total debt $989.58M Interest coverage 0.53x This is the baseline the peer rows are being compared against.
Total debt $1.59B Interest coverage 0.34x -36% vs CSR Carries about 1.6x less debt cushion than CSR.
Total debt $508.48M Interest coverage 0.47x -11% vs CSR Has roughly the same debt cushion as CSR.
Total debt $870.67M Interest coverage -0.37x -100% vs CSR This peer has almost no interest-payment cushion compared with CSR.
Total debt $2.45B Interest coverage 1.53x +192% vs CSR Carries about 2.9x more debt cushion than CSR.
Total debt $709.64M Interest coverage 0.62x +18% vs CSR Carries about 1.2x more debt cushion than CSR.
What you should know
The case for and against CSR
3 Rewards
2 Risks
Rewards
-
Returns 3.4% on equity, ahead of 60% of its peers.
-
Free cash flow was positive in 10/10 years.
-
Trades at 43.2x P/E vs peer median 51.5x (16.2% cheaper).
Risks
-
Insider ownership is only 0.7% (peer median: 2.4%).
-
Net debt grew 1.1% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
43.20x
Forward P/E
-153.58x
P/B
1.36x
P/S
3.64x
EV/EBITDA
15.26x
PEG ratio
40.89x
Profitability
How much profit each dollar creates
Gross margin
59.3%
Operating margin
12.6%
Net margin
8.1%
ROE
3.4%
ROA
0.7%
Health
Liquidity and balance-sheet strength
Debt / equity
1.24x
Current ratio
3.11x
Quick ratio
0.16x
Total debt
$989.58M
Total cash
$8.56M
Growth
How the business has been compounding
Revenue TTM
$268.87M
Revenue 5Y CAGR
7.9%
EPS TTM
1.28
EPS 5Y CAGR
—
Cash flow
How much cash the business throws off
Operating CF TTM
$91.89M
Free CF TTM
$64.29M
FCF margin
23.9%
Dividend
Shareholder payout
Yield
5.6%
Payout ratio
180.5%
Last ex-div date
2026-09-29