Centerspace (NYSE:CSR) experienced a notable increase in short interest during December 2023, with figures reported on December 15 showing a total of 963,675 shares sold short. This represents a substantial rise of 40.4% from the November 30 total of 686,357 shares. The current short-interest ratio stands at 4.7 days, based on an average trading volume of 203,644 shares, indicating that 5.8% of the company’s stock is currently sold short.
As of December 14, shares of Centerspace opened at $66.79. The company’s stock has fluctuated significantly over the past year, with a low of $52.76 and a high of $69.15. Centerspace’s financial metrics include a debt-to-equity ratio of 0.96, and both the current and quick ratios are at 0.18. The company boasts a market capitalization of approximately $1.12 billion, a price-to-earnings (P/E) ratio of 37.31, and a beta of 0.78.
Quarterly Earnings Performance and Future Guidance
Centerspace’s last quarterly earnings report, released on November 3, indicated earnings per share (EPS) of $1.19, falling short of analysts’ expectations of $1.22 by $0.03. The company reported a net margin of 11.14% and a return on equity of 3.52%. Looking ahead, Centerspace has set its fiscal year 2025 guidance at an EPS range of $4.880 to $4.960, while analysts predict an EPS of $4.94 for the current year.
Investor Activity and Research Analyst Insights
Significant activity has been observed among institutional investors in Centerspace. HighTower Advisors LLC initiated a new position valued at $321,000 in the first quarter, while Graham Capital Management L.P. increased its stake by 128.3%, now holding 7,850 shares valued at $508,000. Royal Bank of Canada raised its stake by an impressive 199.5%, accumulating 15,720 shares valued at $1,019,000. Other notable investors include AQR Capital Management LLC and MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd., further emphasizing the interest from large investors in the company. Currently, institutional investors and hedge funds own 79.00% of Centerspace’s stock.
Several research firms have analyzed Centerspace’s performance. Raymond James Financial reaffirmed a “market perform” rating, while Wells Fargo & Company raised its price target from $60.00 to $74.00, maintaining an “equal weight” rating. Wall Street Zen upgraded the stock from a “sell” to a “hold” rating, and Cantor Fitzgerald retained a “neutral” rating. Piper Sandler adjusted its price target from $68.00 to $66.00 with a “neutral” outlook. Overall, three analysts rate the stock as a Buy, while six suggest a Hold, yielding an average rating of “Hold” with a consensus target price of $69.38.
About Centerspace
Founded in 1970, Centerspace is dedicated to owning and operating apartment communities across several states, including Colorado, Minnesota, Montana, Nebraska, North Dakota, and South Dakota. As of September 30, 2023, the company managed interests in 71 apartment communities comprising 12,785 apartment homes. Centerspace has gained recognition as a Top Workplace for four consecutive years, according to the Minneapolis Star Tribune.
As the market continues to respond to these developments, stakeholders will be watching closely to see how Centerspace navigates the challenges and opportunities ahead in the coming quarters.
