Federal Realty Investment Trust (NYSE:FRT) Issues Earnings Results

Federal Realty Investment Trust (NYSE:FRT) released its earnings results on Friday. The real estate investment trust reported $0.74 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.85 by ($1.11), FiscalAI reports. The business had revenue of $339.02 million for the quarter, compared to analyst estimates of $336.57 million. Federal Realty Investment Trust had a return on equity of 13.65% and a net margin of 32.67%. The business’s revenue for the quarter was up 5.2% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.77 EPS.

Here are the key takeaways from Federal Realty Investment Trust’s conference call:

• Strong third-quarter performance: FFO per share was $1.87, up nearly 6% year over year, while adjusted comparable cash NOI increased 4%. Federal Realty raised its 2026 core FFO guidance to $7.54–$7.58 per share and expects more than 7% annual FFO growth.
• Leasing momentum remained robust, with a 14% cash rent spread on comparable deals, a 96.5% lease rate, and 93.8% physical occupancy. Approximately $42 million of signed-but-not-open rent is expected to provide a meaningful tailwind through 2027 and 2028.
• The recently acquired Summit property in Birmingham adds 870,000 square feet and 116 tenants to the central region. Management expects more than 5% annual NOI growth over five years, mid- to high-teens mark-to-market potential on expiring leases, and strong retailer demand.
• Management repurchased roughly 870,000 shares for about $95 million at an average price below $109, citing an implied FFO yield above 7%. The company said the buybacks were funded alongside the Summit acquisition while maintaining nearly $1 billion of liquidity after these capital allocation actions.
• Higher interest rates are increasing refinancing and development costs, with management indicating that future refinancing assumptions may be roughly 50 basis points less favorable. About $680 million of debt matures in mid-to-late 2027, and more than $600 million of asset sales are being pursued to support capital recycling, though most are not expected to close until 2027.

Federal Realty Investment Trust Stock Up 1.1%

Shares of NYSE FRT opened at $111.38 on Tuesday. The firm’s 50-day moving average is $110.88 and its two-hundred day moving average is $112.97. The company has a market capitalization of $9.62 billion, a PE ratio of 14.69, a price-to-earnings-growth ratio of 2.70 and a beta of 0.93. Federal Realty Investment Trust has a 12-month low of $90.03 and a 12-month high of $128.21. The company has a debt-to-equity ratio of 1.46, a current ratio of 1.70 and a quick ratio of 1.70.

Federal Realty Investment Trust Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, January 15th. Shareholders of record on Monday, January 4th will be issued a $1.16 dividend. This represents a $4.64 annualized dividend and a dividend yield of 4.2%. The ex-dividend date of this dividend is Monday, January 4th. Federal Realty Investment Trust’s dividend payout ratio is 93.74%.

Insider Buying and Selling at Federal Realty Investment Trust

In other news, Director Nicole Lamb-Hale sold 1,500 shares of the firm’s stock in a transaction that occurred on Wednesday, September 30th. The shares were sold at an average price of $108.89, for a total transaction of $163,335.00. Following the completion of the transaction, the director directly owned 4,613 shares of the company’s stock, valued at $502,309.57. This trade represents a 24.54% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 1.10% of the stock is currently owned by company insiders.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on FRT. Mizuho cut their price target on shares of Federal Realty Investment Trust from $130.00 to $117.00 and set an “outperform” rating for the company in a report on Thursday, September 24th. Citigroup boosted their price objective on shares of Federal Realty Investment Trust from $120.00 to $130.00 and gave the stock a “neutral” rating in a report on Wednesday, August 5th. Wolfe Research started coverage on shares of Federal Realty Investment Trust in a research report on Wednesday, July 8th. They set an “outperform” rating and a $143.00 target price on the stock. Scotiabank dropped their target price on shares of Federal Realty Investment Trust from $128.00 to $126.00 and set a “sector outperform” rating for the company in a report on Thursday, September 17th. Finally, Evercore set a $123.00 target price on shares of Federal Realty Investment Trust in a report on Monday, September 21st. One equities research analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and six have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $124.88.

Federal Realty Investment Trust Company Profile

Federal Realty Investment Trust is a self-administered and self-managed real estate investment trust that owns, operates and redevelops high-quality retail and mixed-use properties. Its portfolio includes shopping centers, street retail, and mixed-use developments that combine retail, residential, office and hospitality uses.

The company focuses on densely populated, affluent communities and prominent locations in major metropolitan markets. Its properties are concentrated in regions including the Northeast, Mid-Atlantic, California and South Florida, and are leased to a broad range of retailers, restaurants, service providers and other commercial tenants.

Founded in 1962, Federal Realty has developed and managed properties designed to serve both local communities and national retailers.