The Real Brokerage Inc. Common Shares (REAX)

FairStock Score: 43/100 — MIXED

Key Financials

AI Analysis

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

I approach this as a Graham-style analyst: price is what you pay, value is what you get. The Real Brokerage operates a real estate technology and services platform in the U.S. and Canada. In fiscal Q2 2026, the latest quarter supplied, revenue was $700.6 million but net income was negative $8.0 million, a -1.15% margin. That tells me scale is not yet producing consistent profit. The supplied data show revenue rising while profit fell sharply, so growth is coming at a cost. Free cash flow over the trailing twelve months was $75.8 million, and on the $545.6 million market cap at the 2026-10-13 close, FairStock calculates a 13.9% free cash flow yield. That is the main attraction. Still, the earnings picture is poor: FairStock shows a negative P/E of -20.06, price-to-book of 3.89, ROE of -24.94%, and ROCE of -1.22%. The Piotroski F-Score is 3/9, weak, though the Altman Z-Score of 5.30 suggests low balance-sheet distress by that measure. The company has only a very short filed-results history; FairStock assigns no Lynch category because it needs three years of results. The 52-week range of $1.55 to $27.85 signals a speculative market. I see a cash-generating but unprofitable business with rapid revenue and no clear durable moat. The price near $14 asks investors to pay up for a turnaround that has not yet appeared in net income. Until profits and returns on capital turn positive, I would call it a speculation, not a margin-of-safety bargain.

In plain English: The Real Brokerage is a real estate technology and services company operating in the U.S. and Canada. It brings in large revenue but is currently losing money, and it has a short public record. At the recent share price, the stock looks expensive against current profits, even though it produces positive cash flow.

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

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