First Real Estate Investment Trust of New Jersey, Inc. (FREVS): fair value, margin of safety and Wheel Score

Is FREVS undervalued?

First Real Estate Investment Trust of New Jersey, Inc. (FREVS) closed at 18.72 on 5 Nov 2026. The GLS average fair value - the simple average of the 9 valuation models that produced a positive number - is 24.29, so the price sits 23% below it. 4 of the 9 models value the shares above the current price. A margin of safety between 10% and 30% is where most of the Sunday Scan candidates come from.

The 9 models disagree widely: GLS Growth gives 8.94 while DDM gives 52.97. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.

Ranked against every other company we cover, FREVS is clearly cheaper than it is fast-growing, so the nightly engine files it under Value (value score 59, growth score 24, out of 100). It also carries the Income tag (Income = a dividend yield of 4% or more).

Nine valuation models for FREVS

Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.

Quality and financial health

Financial health is weak: FREVS passes 4 of the nine Piotroski tests. Our scans drop the stock at the health filter; a low score is often the reason a stock looks cheap on the valuation models. The GLS Moat score is low at 4.1 out of 10: returns on capital, margins or the balance sheet have not shown a lasting edge yet - often a young company, a thin-margin business or one that has only recently turned profitable.

Returns on capital are thin or negative - ROIC 2.3%, ROE 10.3%, ROA 2.3% - with debt at 3.55 times equity and a free-cash-flow yield of 4.1%. Debt of 3.55 times equity is on the high side for the sector and is worth checking against the cash flow before treating the stock as a long-term hold.

The dividend yield is high at 19.23% (payout ratio 13%). A yield this size is often the market's way of pricing a risk to the payout, so the health score and cash flow matter more than usual. Revenue comes mainly from Residential 69%, Commercial 32% (quarter Q3 FY2022).

Institutional ownership scores 5/10, insider activity 5/10 and Congressional trading 5/10 on the GLS smart-money scales.

Wheel Score 26: No options

FREVS has no listed options in the nightly snapshot, so there is nothing to sell and the stock cannot be wheeled however good the business. It fails the first Wheel Trade Filter (options that actually trade), so the score stays under 70 and is shown as "No options" (26 here). The valuation and quality numbers still apply to owning the shares outright.

Volume runs at 1k shares a day on a market cap of $140M, with a beta of 0.80; the Stability part of the Wheel Score rates that fair.

The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.

Upcoming events

No upcoming earnings date is recorded for FREVS in the nightly calendar.

Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.

Similar stocks in REIT - Diversified

The 12 companies below are the closest to First Real Estate Investment Trust of New Jersey, Inc. by market cap within the REIT - Diversified industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.

⚖ Compare FREVS with 7 of them   All Real Estate stocks →