MacKenzie Realty Capital Inc. Common Stock (MKZR)

FairStock Score: 40/100 — MIXED

Key Financials

AI Analysis

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

As a value investor, I start with the business. MacKenzie Realty is a tiny West Coast REIT holding offices and apartments. The filed record shows persistent losses: in fiscal year 2024, the year ended 2024-06-30, revenue was $15.7M and net loss was $11.2M; in fiscal year 2025, the year ended 2025-06-30, revenue was $22.1M and net loss was $24.0M; in fiscal year 2026, the year ended 2026-06-30, revenue was $20.0M and net loss was $14.1M. In the latest filed quarter, fiscal Q3 2026, the quarter ended 2026-03-31, revenue was $5.4M and net loss was $985,784, or $0.98 per diluted share. That is not a record of pricing power or a moat; it is a business that consumes capital. Trailing free cash flow is -$4.4M, and FairStock's FCF yield is -119.5% on the $3.7M market cap at the 2026-10-13 close. Debt-to-equity of 1.71 and an Altman Z-score of -0.54 are warning signs. REIT investors should look at FFO/AFFO, but those are not in the data. I do not use the Graham Number or margin of safety here because depreciation distorts REIT EPS. Without FFO/AFFO, I lean on dividend yield-N/A-leverage, revenue trend, and price-to-book. The stock trades at $1.33, and FairStock's price-to-book is 0.06, which superficially says liquidation value far exceeds price. But persistent losses, negative cash flow, and high leverage mean book value may not be realizable. The FairStock Score is 40/100, and the Lynch category is none because it lost money in each of the last four years. A 52-week range of $0.83 to $5.63 shows extreme volatility. Cheapness here is not safety; it is a speculative bet on asset values and a turnaround. I would need evidence of stabilized revenue, positive FFO, and debt reduction before calling it a sound value.

In plain English: MacKenzie Realty Capital is a small West Coast real estate company that owns offices and apartments. It has been losing money for years, revenue fell in its latest full year, and cash flow is negative, so the business looks weak. The shares look very cheap against the company's stated book value, but that discount may reflect real risks rather than a bargain.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

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

Sources (SEC EDGAR): fiscal Q3 2026 10-Q (period ended 2026-03-31) · fiscal Q2 2026 10-Q (period ended 2025-12-31) · fiscal Q1 2026 10-Q (period ended 2025-09-30) · fiscal Q3 2025 10-Q (period ended 2025-03-31) · FY2026 10-K (period ended 2026-06-30) · FY2025 10-K (period ended 2025-06-30) · FY2024 10-K (period ended 2024-06-30)

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