# Nexus Industrial (NXR-UN.TO) fundamentals

Data as of 2026-09-08. TSX, Canada. Sector: Real Estate / REIT - Industrial. Price C$7.52, market value C$730 million.

## Valuation
- **P/E (trailing): 12.3×** (5-yr avg 6.5×, 3-yr avg 7.6×). Nexus Industrial trades at 12.3× trailing earnings, well above its own five-year average of 6.5×: investors are paying up relative to the company's past. The Real Estate median in the September 2026 study was 25.2×. Forward P/E is 12.7×, higher than trailing, so analysts expect earnings to fall.
- **Price / sales: 4.0×**. Each dollar of revenue is priced at 4.0×.
- **Price / book: 0.5×**. The shares trade below book value, which can signal a bargain or a balance sheet the market doubts.
- **EV / EBITDA: 18.6×**. Enterprise value is 18.6× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 6.0%** (5-yr avg 4.5%). Free cash flow equals 6.0% of the market value, above its five-year average of 4.5%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 8.1%**. The inverse of the P/E: 8.1% of the price is earned each year.

## Profitability
- **Gross margin: 73.6%**. Nexus Industrial keeps 73.6% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 78.9%**. 78.9% of revenue is left after running the business, an exceptional level.
- **Net margin: 34.0%**. 34.0% of each dollar of sales reaches the bottom line.
- **Return on equity: 5.5%**. 5.5% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on invested capital: 4.7%**. Return on all capital, debt included, is 4.7%: close to or below the cost of capital, so growth may not create value.
- **Return on assets: 2.0%**. Each dollar of assets produces 2.0% of profit.

## Growth
- **Revenue growth (1 yr): -0.4%** (3-yr 8.5%/yr, 5-yr 23.3%/yr). Revenue fell 0.4% over the last year, against 23.3% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): -36.1%** (3-yr -18.8%/yr, 5-yr 6.6%/yr). Earnings per share fell 36.1%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): -3.9%/yr**. Free cash flow has compounded at -3.9% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 1.20**. Debt is 1.20 times equity, a leveraged balance sheet, which is normal for real estate.
- **Net debt / EBITDA: 11.9×**. It would take 11.9 years of operating earnings to repay net borrowings, above the 3× level most lenders treat as comfortable.
- **Interest coverage: 2.6×**. Operating profit covers interest 2.6×, thin but manageable.
- **Current ratio: 0.13** (quick 0.13). Current liabilities exceed current assets, so the company depends on ongoing cash generation or refinancing to pay the next year's bills.
- **Altman Z-score: 1.02**. A Z-score of 1.02 is in the distress zone, a signal to examine the balance sheet closely.
- **Piotroski F-score: 3/9**. 3 of 9 checks pass: weak or deteriorating financials.

## Dividends
- **Dividend yield: 8.51%** (C$0.32 per share, trailing). Nexus Industrial yields 8.51%, high enough to check carefully: yields this high often precede a cut.
- **Payout ratio: 76%** (105% of free cash flow). 76% of earnings goes out as dividends, leaving a thin cushion.
- **Consecutive years of increases: 5**. 5 straight years of increases.

## Price and momentum
- **Total return (1 yr): 4.0%** (YTD -0.9%, 3-mo -3.2%). The shares are up 4.0% over twelve months including dividends.
- **From 52-week high: -11.1%** (2.9% above the low). Trading 11% below its 52-week high.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 31**. An RSI of 31 is neutral.
- **Beta (1 yr): 0.50** (volatility 18%). Beta of 0.50 against the S&P/TSX Composite: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=NXR-UN.TO · Page: https://foliofundamentals.com/stocks/nxr-un.to

Not investment advice.