Ares Real Estate Income Trust Inc. (ZARE) intrinsic value & 10-year financials
Ares Real Estate Income Trust Inc. (ZARE) has a Graham intrinsic value of $4.23 per share. Over the last 10 fiscal years revenue grew 9.7% a year to $498.8M, with an average return on invested capital of 5.8%.
- Graham intrinsic value
- $4.23
- Revenue (FY2025)
- $498.8M
- Revenue growth (10-yr CAGR)
- 9.7%
- ROIC (10-yr avg)
- 5.8%
- Free cash flow (FY2025)
- —
ZARE 10-year financial history
| Fiscal year | Revenue | Net income | EPS (diluted) | Free cash flow | Operating margin | ROIC |
|---|---|---|---|---|---|---|
| FY2025 | $498.8M | -$68.0M | -$0.37 | — | 66.5% | 9.5% |
| FY2024 | $417.5M | -$37.1M | -$0.20 | — | 67.4% | 9.1% |
| FY2023 | $353.2M | -$62.4M | -$0.31 | — | 66.4% | 9.1% |
| FY2022 | $299.2M | -$40.0M | -$0.21 | — | 61.9% | 8.6% |
| FY2021 | $218.3M | $30.8M | $0.20 | — | 63.8% | 1.9% |
| FY2020 | $186.6M | -$14.9M | -$0.10 | — | 65.3% | -1.2% |
| FY2019 | $184.7M | $153.3M | $1.04 | — | 66.8% | 12.1% |
| FY2018 | $190.3M | -$1.3M | -$0.01 | — | 67.2% | -0.1% |
| FY2017 | $197.3M | $79.4M | $0.51 | — | 65.9% | 5.4% |
| FY2016 | $216.2M | $55.0M | $0.31 | — | 69.2% | 3.5% |
Source: annual 10-K filings on SEC EDGAR. Figures in USD.
Executive summary
Ares Real Estate Income Trust Inc. is a consistent compounder, expanding top-line revenue at 9.7% annually over the past decade.
Ares Real Estate Income Trust Inc. has historically struggled to out-earn its cost of capital, averaging just 5.8% ROIC.
Over the decade, Ares Real Estate Income Trust Inc. shows that the company has leveraged its balance sheet to sustain operations.
Benjamin Graham lens
Under Benjamin Graham's formula using SEC EDGAR fundamentals, Ares Real Estate Income Trust Inc. is modeled at 8.0% normalized earnings growth with a 5.1% bond-yield adjustment. The resulting Graham intrinsic value estimate is $4.23 per share.