In the world of real estate investing, timing can be everything. Wheeler Real Estate (NASDAQ: WHLR) has recently caught the attention of investors with a notable price surge, raising questions about its growth potential. With a market capitalization of just 5.1M and a current valuation of 636.53M, the company operates in the retail REIT sector, where it has faced challenges, including an Ebit loss of 13M. However, its cash flow from operations stands at 20.93M, suggesting some resilience in its financials. As investors weigh the risks and rewards, the question remains: can Wheeler Real Estate sustain this momentum and deliver long-term value? Wheeler Real Estate has shown impressive returns in recent months, despite some uncertainty in key indicators. It seems to be nearing a potential breakout point. However, our analysis suggests that the stock is currently overvalued, with its true worth estimated at around $8.10 per share. Investors should proceed with caution and consider this valuation when making decisions.
Typically, a company's
financial statements are the reports that show the
financial position of the company. There are three main documents that fall into the category of financial statements. These documents include Wheeler Real income statement, its balance sheet, and the statement of cash flows. Potential Wheeler Real investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Wheeler Real investors may use each financial statement separately, they are all related. The changes in Wheeler Real's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Wheeler Real's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our
technical analysis and
fundamental analysis pages.
The goal of Wheeler Real
fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of Wheeler Real performance into the future periods or doing a reasonable stock valuation. The intrinsic value of Wheeler Real shares is the value that is considered the true value of the share. If
the intrinsic value of Wheeler is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares Wheeler Real. Please read more on our
fundamental analysis page.
How effective is Wheeler Real in utilizing its assets?
Wheeler Real Estate reports assets on its Balance Sheet. It represents the amount of Wheeler resources that either has an existing economic value or will provide some form of benefits in the future. By effectively utilizing its assets, Wheeler Real aims to generate revenue, control costs, drive operational efficiency, and enhance profitability. Optimizing asset utilization helps maximize shareholder value and maintain a competitive position in the Retail REITs space. To get a better handle on how balance sheet or income statements item affect Wheeler volatility, please check the breakdown of all its
fundamentals.
Are Wheeler Real Earnings Expected to grow?
The
future earnings power of Wheeler Real involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of Wheeler Real factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. Wheeler Real
stock prices adjust as these expectations change or are proven wrong. The main thing to remember is that equities with high expected earnings growth tend to underperform the market because it is usually difficult to meet the market's high expectations. Companies with low earnings expectations tend to do better than expected. Please use our latest analysis of Wheeler
expected earnings.
Wheeler Real Gross Profit
Wheeler Real Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Wheeler Real previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Wheeler Real Gross Profit growth over the last 10 years. Please check Wheeler Real's
gross profit and other
fundamental indicators for more details.
An Additional Perspective On Wheeler Real Estate
The latest price spike of Wheeler Real Estate may raise some interest from retail investors as it is trading at a share price of
10.25 on
79,417,845 in trading volume. The company directors and management may have good odds in positioning the company resources to exploit market volatility in
October. The stock standard deviation of daily returns for 90 days investing horizon is currently 45.9. The very high volatility is mostly attributed to the latest market swings and not very good earnings reports from some of the Wheeler Real Estate partners.
Please be aware that individual investors typically purchase shares for their personal accounts and usually in smaller quantities compared to institutional investors. While they might influence Wheeler Real's decisions if they own a significant combined portion of its shares, such influence is relatively rare. Conversely, institutional investors - like mutual funds, pension funds, hedge funds, and other investment companies - often have a substantial sway over Wheeler Real's decisions due to their larger holdings.
| 2021 | 2022 | 2023 | 2024 (projected) |
Interest Expense | 33.0M | 30.1M | 32.3M | 33.9M | Depreciation And Amortization | 38.0M | 56.6M | 72.2M | 75.8M |
Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Wheeler Real has an asset utilization ratio of 15.39 percent. This connotes that the Company is making $0.15 for each dollar of assets. An increasing asset utilization means that Wheeler Real Estate is more efficient with each dollar of assets it utilizes for everyday operations.
| Non Current Assets Total340.4 M | | | Other Assets645.3 M | | | |
| Non Current Assets Total | 340.37 Million | 37.52 |
| Non Currrent Assets Other | 2.34 Million | 0.26 |
| Total Current Assets | 28.8 Million | 3.17 |
| Other Assets | 645.28 Million | 71.13 |
| Intangible Assets | 18.1 Million | 2.0 |
| Net Tangible Assets | (77.39 Million) | -8.53 |
| Other Current Assets | (50.29 Million) | -5.54 |
In the world of investing, the saying "buy low, sell high" often guides savvy investors. Wheeler Real Estate (NASDAQ: WHLR) has recently seen a price surge, raising questions about its growth potential. With a market capitalization of $5.07 million and total revenue of $102.8 million, the company operates in a challenging environment, evident from its losses of 13.9 million from continuing operations. However, the firm maintains a net asset value of $668.33 million, suggesting that there could be underlying value waiting to be unlocked. With a five-year return of 14.67%, investors may want to keep an eye on Wheeler Real Estate as it navigates its financial landscape.
Are Wheeler Real technical ratios showing a throwback?
Wheeler Real Estate's stock is currently facing some tough times, with its market performance slipping to -0.28. This decline raises concerns about the stock's strength and whether it’s in a temporary downturn. Investors should pay attention to these technical indicators, as they might hint at a change in momentum or reveal deeper issues that need careful consideration before making any trades.
The stock has shown significant price swings recently, and understanding these volatility trends can help investors make better timing decisions. High volatility, especially during bear markets, can heavily affect Wheeler Real's stock price, causing stress for investors as they watch their investments lose value.
This often leads them to adjust their portfolios by seeking out different financial options as prices drop.Wheeler Real Estate's impressive performance today stands out against a backdrop of a declining market, making it a noteworthy option for investors. With a current market value of
10.25, the stock is trading above its naive expected forecast value of
6.08, indicating that there may be potential for further growth. Additionally, with a possible upside price of
51.98, investors could find significant value in this stock as it continues to show resilience. As the fiscal year ends in December, now may be an opportune time to consider adding Wheeler Real Estate to your portfolio, especially if you're looking for a stock that defies the broader market trends..
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Ellen Johnson is a Member of Macroaxis Editorial Board. Ellen covers public companies in North America, focusing primarily on valuation and volatility. Six years of experience in predictive investment analytics and risk management.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Ellen Johnson do not own shares of Wheeler Real Estate. Please refer to our
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