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Alternative Income REIT PLC (AIRE) Fair Value & Analysis

Real Estate · GB · Market cap 55.9M GBX

AI Alternative Income REIT PLC AIRE · LSE
Price£0.6860
Fair Value£1.53
Upside+123.0%
Quality71/100
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Weak Growth
Highly profitable · 77.9% net margin
generates free cash flow
8.60% dividend yield
Ranks above peers (11/13)
Wide moat 68/100
Evidence: High Range £1.11 – £1.92 Share as image

Fair value as of: Jul 13, 2026

From 12 valuation models · updated 28 days ago

Share price +4.7% over the past month.

A solid business, screening 123% undervalued on our models.

What matters now

  • The rarer combination: high quality (71/100) AND below fair value. That earns a closer look rather than a quick verdict.
  • The price is below even our cautious bear case (£1.11). The market is more pessimistic than our downside scenario.
  • As a real-estate business, asset- and dividend-based methods carry more weight here than a standard DCF.
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Price vs Fair Value (5 years)

£0.7458 £0.4199 Fair Value £1.53 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 13, 2026.

How to read this chart

60‑month range £0.4199 – £0.7458 · fair‑value band £1.11 – £1.92 · the £0.6860 price screens below the £1.53 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 13, 2026.

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Analysis

Alternative Income REIT PLC (AIRE) currently trades at £0.6860, while our model-based Fair Value estimate is £1.53, implying the stock looks roughly 123.0% undervalued today. The Quality Score stands at 71/100 (solid quality), in the Real Estate sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, Alternative Income REIT PLC generated revenue of £8.9M at a net margin of 77.9%. Revenue grew 7.3% year over year. It earns a return on equity of 10.3%. Net debt stands at £37.8M. Fundamentals as of Jul 13, 2026

Our scenario range runs from £1.11 (bear case) to £1.92 (bull case); at £0.6860, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. For context, the median of 10 Real Estate peers we cover trades at -22% fair-value upside, at 123%, AIRE screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income £0.6800 £0.7400 £0.8300 76
Growth DCF £1.27 £2.03 £3.21 72
Gordon GGM £0.4400 £0.7300 £0.9500 70
All 12 models by family
DCF Models
FCF DCF £1.36 £1.88 £3.43 38
5Y Revenue Exit £0.8700 £1.32 £2.24 39
10Y Revenue Exit £1.03 £1.84 £2.24 36
Dividend Discount
Gordon GGM £0.4400 £0.7300 £0.9500 70
DDM Multi-Stage £0.4400 £0.6900 £0.7900 61
Multiples
P/S Multiple £0.5200 £0.6900 £0.8600 58
P/B Multiple £1.15 £1.53 £1.92 55
EV/EBIT £1.82 £2.41 £3.01 53
EV/Revenue £0.5600 £0.7800 £1.01 43
Asset-Based
NCAV (Graham) £0.4200 £0.5600 £0.8400 50
Growth DCF
Growth DCF £1.27 £2.03 £3.21 72
Economic Profit
Residual Income £0.6800 £0.7400 £0.8300 76

Widest divergence: Growth DCF (£2.03) versus Asset-Based (£0.5600). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) 8.9M GBX
Revenue growth (YoY) +7.3%
Net margin 77.9%
Return on equity 10.3%
Free cash flow 8.9M GBX FY2025
P/E ratio 7.7
More key figures
Operating margin 78.0%
EPS (TTM) £0.0900
Dividend yield 8.6%
EPS growth (YoY) -10.2%
Net debt 37.8M GBX FY2025

Figures from reported company fundamentals · as of Jul 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 71/100

Of which business quality 69 · Market factors (momentum, volatility) 60

Profitability 42
Margins and returns on capital today
Quality Growth 58
Are margins and returns improving?
Cashflow 87
Earnings quality: real cash, not paper profit
Fin. Strength 61
Balance sheet, leverage, solvency risk
Investment 100
Disciplined investing over empire-building
Low Volatility 87
Calm price path (market factor)
Momentum 45
Price trend over the last 3–12 months (market factor)
52W Momentum 55
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Alternative Income REIT PLC aims to generate a sustainable, secure and attractive income return for shareholders from a diversified portfolio of UK property investments, with a particular focus on alternative and specialist real estate sectors.

Full company description

Alternative Income REIT PLC aims to generate a sustainable, secure and attractive income return for shareholders from a diversified portfolio of UK property investments, with a particular focus on alternative and specialist real estate sectors. The majority of the assets in the Groups portfolio are let on long leases which contain index linked rent review provisions. Its asset manager is Martley Capital Real Estate Investment Management Limited (Martley Capital). Martley Capital is a full-service real estate investment management platform whose activities cover real estate investing, lending, asset management and fund management. It has over 40 employees across five offices in the UK and Europe. The team manages assets with a value of circa 1 billion pounds across 30 mandates (at 31 December 2025). Alternative Income REIT Plc was established on April, 18 2017 and incorporated in United Kingdom.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Alternative Income REIT PLC reported revenue of £8.6M in FY2025 versus £7.4M in FY2021, a compound +3.7%/yr. Reported net income was £7.3M in FY2025, compounding +6.8%/yr from FY2021.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
£8.6M
Latest YoY
+8.5%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+2.7%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+1.9%
Avg. growth/yr (6Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+9.6%
Revenue +3.7%/yr
FY21 £7.4M
FY22 £7.9M
FY23 £8.7M
FY24 £7.9M
FY25 £8.6M
Net income +6.8%/yr
FY21 £5.6M
FY22 £13.2M
FY23 −£5.2M
FY24 £2.4M
FY25 £7.3M

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Cite: Fair Value Calculator (2026). "Alternative Income REIT PLC Fair Value". https://www.fairvalue-calculator.com/stock/AIRE

Peer Group

REIT - Diversified · 165 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 73 · Top 25%
Fair Value upside +123% · Top 25%
Return on equity (TTM) 10% · Top 25%
Return on assets 4% · Top 25%
Net margin (TTM) 78% · Top 25%
Operating margin (TTM) 78% · Top 25%
Revenue growth 7% · Above median
Dividend yield (TTM) 8.6% · Top 25%

Valuation Multiples vs REIT - Diversified median · lower = cheaper

P/E (TTM) 7.7× · Cheaper than 75% of peers
P/B 1.12× · Pricier than median
P/S (TTM) 8.51× · Pricier than median
P/FCF 8.4× · Cheaper than median
EV/EBITDA 10.8× · Cheaper than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 100 · sector 13
FUTURE 37 · sector 13
PAST 41 · sector 20
HEALTH 0 · sector 72
DIVIDEND 100 · sector 97

Insider activity: 40/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more REIT - Diversified stocks, each showing price versus our Fair Value estimate (as of Jul 13, 2026).

Stock Price Fair Value vs Fair Value
Goodman Group GMG A$29.11 A$7.37 -75%
VICI Properties Inc VICI $26.73 $41.74 +56%
W. P. Carey Inc WPC $76.69 $35.59 -54%
Charter Hall Group CHC A$21.90 A$11.46 -48%
Fibra Uno FUNO11 31.10 MXN 63.56 MXN +104%
COV COV €52.55 €62.39 +19%
The GPT Group GPT A$4.89 A$3.49 -29%
Mirvac Group MGR A$1.70 A$0.5700 -66%
KLCC Property Holdings 5235SS 8.85 MYR 6.91 MYR -22%
CRRUN CRRUN C$17.65 C$17.89 +1%

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Frequently asked questions

Is Alternative Income REIT PLC (AIRE) overvalued or undervalued?
As of Jul 13, 2026, our model estimates a fair value of £1.53 versus a price of £0.6860, about +123% (undervalued).
What is the fair value of AIRE?
Our model-based fair value for Alternative Income REIT PLC is £1.53 (as of Jul 13, 2026), built from audited fundamentals. The current price is £0.6860.
What is the quality score of AIRE?
Alternative Income REIT PLC has a Quality Score of 71/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Alternative Income REIT PLC (AIRE)?
Alternative Income REIT PLC reported trailing-twelve-month revenue of about £8.9M (latest available figure, as of Jul 13, 2026).
What is the net profit margin of AIRE?
The net profit margin of Alternative Income REIT PLC is about 77.9%, meaning it keeps roughly 77.9% of revenue as net income. Based on the latest reported figures.
Does Alternative Income REIT PLC pay a dividend?
Alternative Income REIT PLC currently shows a dividend yield of about 8.55% relative to its recent price (as of Jul 13, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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