Tanger Factory Outlet Centers (NYSE:SKT) was upgraded by Stifel Nicolaus from a “hold” rating to a “buy” rating in a research note issued on Wednesday, TheFlyOnTheWall.com reports. The firm currently has a $36.00 price objective on the stock. Stifel Nicolaus’ target price would suggest a potential upside of 12.43% from the company’s current price.
The analysts wrote, “We are upgrading Tanger shares to Buy from Hold with a $36 price target based on a 6% premium to our $34 NAV at a 6% cap rate. Tanger shares have underperformed year to date and are down 19% from their May 3, 2013, 52-week high of $39.52. SKT shares rarely trade below NAV and the 6.3% implied cap rate provides an attractive entry point, in our view. Retailer demand for high quality outlet center space is robust and Tanger’s outlet center portfolio should generate among the strongest internal growth in the retail REIT sector. Tanger should benefit from its dominant industry position and Tanger’s active development should create additional value in the years ahead. SKT’s balance sheet is strong and the REIT is well positioned to fund its future growth. In light of the potential for a near term interest rate increase – we believe that investors should focus on those REITs/sectors that are best positioned to generate strong internal growth to at least partially offset the potential rising rate impact on asset values – Tanger clearly fits the bill.”
Other equities research analysts have also recently issued reports about the stock. Analysts at Goldman Sachs Group Inc. upgraded shares of Tanger Factory Outlet Centers from a “sell” rating to a “neutral” rating in a research note to investors on Wednesday, June 19th. They now have a $39.00 price target on the stock, up previously from $34.50. Separately, analysts at Jefferies Group reiterated a “buy” rating on shares of Tanger Factory Outlet Centers in a research note to investors on Tuesday, June 11th. They now have a $40.00 price target on the stock, down previously from $43.00. Finally, analysts at TheStreet downgraded shares of Tanger Factory Outlet Centers from a “buy” rating to a “hold” rating in a research note to investors on Monday, June 3rd.
Shares of Tanger Factory Outlet Centers (NYSE:SKT) traded up 0.16% during mid-day trading on Wednesday, hitting $32.07. Tanger Factory Outlet Centers has a 52 week low of $30.87 and a 52 week high of $39.45. The stock’s 50-day moving average is currently $33.85. The company has a market cap of $2.993 billion and a P/E ratio of 45.94.
Tanger Factory Outlet Centers (NYSE:SKT) last issued its quarterly earnings data on Tuesday, July 30th. The company reported $0.44 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.43 by $0.01. The company had revenue of $91.00 million for the quarter, compared to the consensus estimate of $89.26 million. During the same quarter in the previous year, the company posted $0.39 earnings per share. The company’s revenue for the quarter was up 4.2% on a year-over-year basis. Analysts expect that Tanger Factory Outlet Centers will post $1.81 EPS for the current fiscal year.
The company also recently declared a quarterly dividend, which is scheduled for Thursday, August 15th. Investors of record on Tuesday, July 30th will be given a dividend of $0.23 per share. This represents a $0.90 dividend on an annualized basis and a yield of 2.81%. The ex-dividend date of this dividend is Friday, July 26th.
Tanger Factory Outlet Centers, Inc is a fully integrated, self-administered and self-managed real estate investment trust (NYSE:SKT), which focuses on developing, acquiring, owning, operating and managing outlet shopping centers.
