Demystifying Federal Realty Investment: Insights From 8 Analyst Reviews

Analysts' ratings for Federal Realty Investment FRT over the last quarter vary from bullish to bearish, as provided by 8 analysts.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Insights from analysts' 12-month price targets are revealed, presenting an average target of $118.62, a high estimate of $129.00, and a low estimate of $107.00. This current average represents a 3.04% decrease from the previous average price target of $122.34.

Diving into Analyst Ratings: An In-Depth Exploration

An in-depth analysis of recent analyst actions unveils how financial experts perceive Federal Realty Investment. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Federal Realty Investment. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Federal Realty Investment compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for Federal Realty Investment's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Federal Realty Investment's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on Federal Realty Investment analyst ratings.

Delving into Federal Realty Investment's Background

Federal Realty Investment Trust is a shopping center-focused retail real estate investment trust that owns high-quality properties in eight of the largest metropolitan markets. Its portfolio includes an interest in 102 properties, which includes 26.8 million square feet of retail space and over 3,100 multifamily units. Federal's retail portfolio includes grocery-anchored centers, superregional centers, power centers, and mixed-use urban centers. Federal Realty has focused on owning assets in highly desirable areas with significant growth, and as a result, the average population density and average median household income are higher for its portfolio than for any other retail REIT.

Federal Realty Investment: Financial Performance Dissected

Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: Over the 3 months period, Federal Realty Investment showcased positive performance, achieving a revenue growth rate of 6.73% as of 31 December, 2024. This reflects a substantial increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Real Estate sector.

Net Margin: Federal Realty Investment's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 19.99% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Federal Realty Investment's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 2.09%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): Federal Realty Investment's ROA excels beyond industry benchmarks, reaching 0.73%. This signifies efficient management of assets and strong financial health.

Debt Management: Federal Realty Investment's debt-to-equity ratio is below the industry average at 1.51, reflecting a lower dependency on debt financing and a more conservative financial approach.

Analyst Ratings: What Are They?

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.