Bluerock Homes Trust Inc. Class A Common Stock (BHM)

FairStock Score: 72/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach a residential REIT by asking whether the assets produce cash and whether the price offers a margin of safety. The revenue trend is real: filed fiscal Q2 2026, the quarter ended 2026-06-30, showed revenue of $19.3M, up from $16.7M in fiscal Q2 2025, the quarter ended 2025-06-30. Fiscal 2025 revenue was $68.1M versus $48.6M in fiscal 2024 and $41.0M in fiscal 2023. But growth has not produced profits. Filed fiscal Q2 2026 net income was -$9.0M and diluted EPS -$0.90; fiscal 2025 net income was -$32.6M and diluted EPS -$3.02. Losses have persisted for four years. Free cash flow is -$10.5M, and FairStock's FCF yield is -33.2% on a $31.5M market cap; FairStock's Altman Z-Score of 0.24 suggests financial distress risk. FairStock's P/B is 0.27 at the 2026-10-13 close, which looks statistically cheap, but book value is only useful if assets are sound and cash flows improve. The dividend yield of 5.96% is attractive only if it is covered; with negative free cash flow, that is not evident. FairStock's D/E of 0.62 is not alarming by itself, but externally managed REITs can have conflicts and fee drag. The portfolio is in attractive Sunbelt markets, but I see no clear moat from the figures; residential rentals are competitive, and external management adds agency risk. The right REIT measures, FFO/AFFO, are not in the data, so I cannot properly judge recurring earnings. Revenue growth is encouraging, but until losses narrow and cash flow turns positive, this looks less like a bargain and more like a speculative asset play.

In plain English: Bluerock Homes Trust owns rental homes and residential communities, mostly in Sunbelt and high-growth Western markets. Revenue has been rising, but the company has lost money in each of the last four years and burns cash, so the business looks weak today. At $7.99, the stock trades at a very low price compared with the value of its assets on the books; without the usual rental-property profit measures, it is hard to call that cheap with confidence.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer