Federal Realty Investment Trust (NYSE:FRT) Posts Earnings Results, Beats Expectations By $0.02 EPS

Federal Realty Investment Trust (NYSE:FRT) released its quarterly earnings results on Friday. The real estate investment trust reported $1.87 EPS for the quarter, topping analysts’ consensus estimates of $1.85 by $0.02, Zacks reports. Federal Realty Investment Trust had a return on equity of 13.65% and a net margin of 32.67%. The business had revenue of $339.02 million for the quarter, compared to analyst estimates of $336.57 million. During the same period in the prior year, the company earned $1.77 EPS. Federal Realty Investment Trust’s revenue for the quarter was up 5.2% on a year-over-year basis.

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 Down 1.1%

Shares of Federal Realty Investment Trust stock traded down $1.25 during trading hours on Friday, reaching $110.19. The company’s stock had a trading volume of 2,254,146 shares, compared to its average volume of 890,585. The company has a debt-to-equity ratio of 1.46, a quick ratio of 1.70 and a current ratio of 1.70. The stock’s fifty day simple moving average is $111.13 and its two-hundred day simple moving average is $112.88. Federal Realty Investment Trust has a one year low of $90.03 and a one year high of $128.21. The company has a market capitalization of $9.52 billion, a P/E ratio of 22.26, a P/E/G ratio of 2.70 and a beta of 0.93.

Insider Transactions at Federal Realty Investment Trust

In related news, Director Nicole Lamb-Hale sold 1,500 shares of the company’s stock in a transaction that occurred on Wednesday, September 30th. The stock was sold at an average price of $108.89, for a total value of $163,335.00. Following the transaction, the director owned 4,613 shares in the company, valued at approximately $502,309.57. This represents a 24.54% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 1.10% of the company’s stock.

Analysts Set New Price Targets

A number of analysts have commented on FRT shares. Scotiabank lowered 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. Wells Fargo & Company lowered their target price on Federal Realty Investment Trust from $126.00 to $119.00 and set an “overweight” rating on the stock in a research report on Friday, October 23rd. JPMorgan Chase & Co. increased their price target on Federal Realty Investment Trust from $124.00 to $129.00 and gave the company an “overweight” rating in a research note on Friday, September 4th. Citigroup raised their price target on shares of Federal Realty Investment Trust from $120.00 to $130.00 and gave the stock a “neutral” rating in a research report on Wednesday, August 5th. Finally, Weiss Ratings cut shares of Federal Realty Investment Trust from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Tuesday, September 1st. One research analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and seven have given a Hold rating to the company’s stock. Based on data from MarketBeat, Federal Realty Investment Trust currently has an average rating of “Moderate Buy” and a consensus target price of $124.62.

About Federal Realty Investment Trust

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.