Agree Realty Co. (NYSE:ADC), a real estate investment trust, has received a “Buy” consensus recommendation from nine ratings firms covering the company, according to Bloomberg Ratings reports. Among the analysts, one has rated the stock as a hold, seven have given it a buy recommendation, and one has assigned a strong buy recommendation. The average 12-month target price among brokerages that have updated their coverage on the stock in the past year is $74.50.
On September 22, 2023, NYSE:ADC opened at $57.14. The company boasts a debt-to-equity ratio of 0.45 and a current ratio and quick ratio of 0.71 each. With its market cap currently standing at $5.50 billion, Agree Realty has a price-to-earnings (PE) ratio of 32.47 and a price-to-earnings-growth (PEG) ratio of 3.28, indicating reasonable valuation multiples compared to its industry peers. Additionally, the firm has exhibited low volatility with a beta of 0.45.
The stock’s short-term moving averages show that it has been trading below the 50-day moving average at $62.81 but above the longer-term 200-day moving average at $65.21 over recent periods—suggesting possible consolidation or potential support levels for investors.
Looking back at its historical performance within the past year, Agree Realty recorded a yearly low of $57.01 and reached its highest point at $75.71—a wide trading range that highlights both opportunities and challenges for investors.
Investor activity surrounding Agree Realty has also been notable in recent times with significant buying and selling reported by large institutions such as Cambridge Investment Research Advisors Inc., HighTower Advisors LLC, PNC Financial Services Group Inc., Bank of Montreal Can, and MetLife Investment Management LLC.
Cambridge Investment Research Advisors Inc., for example, has increased its holdings in Agree Realty by 28.5% during the first quarter, now owning 9,093 shares valued at $603,000 after purchasing an additional 2,014 shares. Similarly, HighTower Advisors LLC witnessed a growth of 8.3% in their position with 7,836 shares worth approximately $519,000 after buying an additional 598 shares.
Overall, the interest shown by these institutional investors signals confidence and positive sentiment towards Agree Realty. While hedge funds and other institutional investors hold approximately 97.83% of the company’s stock, it is important for individual investors to consider their own investment goals, risk tolerance, and conduct thorough due diligence before making any decisions regarding this particular security.
For those who are interested in gaining further insights into Agree Realty’s performance and prospects as a real estate investment trust (REIT), it is recommended to review the latest research reports available on this company. These reports typically cover a wide range of fundamental factors that can inform investment decisions.
As with any investment opportunity in the stock market or REIT sector specifically, it is always prudent to consider multiple sources of information and seek professional advice if needed before making any material financial decisions.
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Mixed Reviews and Fluctuations Surrounding Agree Realty: An Analysis of Ratings, Investor Sentiment, and Insider Transactions
Agree Realty has recently received mixed reviews and rating updates from several brokerages. Stifel Nicolaus increased their price target for Agree Realty’s shares from $76.00 to $76.50 and gave the stock a “buy” rating on August 2nd, according to a research report. Conversely, Royal Bank of Canada decreased their target price from $75.00 to $74.00 and maintained an “outperform” rating on August 3rd.
BNP Paribas initiated coverage on Agree Realty by assigning an “outperform” rating and setting a price target of $80.00 on June 14th. Truist Financial further diversified opinions by reducing their price objective for Agree Realty shares from $77.00 to $74.00 while still endorsing a “buy” rating in a research note dated August 21st. Lastly, StockNews.com began coverage with a negative outlook (“sell” rating) on August 17th.
These differing evaluations illustrate the uncertainty surrounding Agree Realty’s future performance, which could potentially confuse investors seeking guidance on whether to invest in the company or not.
Several significant investors have both purchased and sold Agree Realty shares recently, showcasing varying levels of confidence in the real estate investment trust (REIT). Cambridge Investment Research Advisors Inc., for instance, raised its holdings in Agree Realty by approximately 28.5% during the first quarter of this year, indicating some level of optimism about the REIT’s potential.
HighTower Advisors LLC also increased its position in Agree Realty shares by approximately 8.3% during Q1, demonstrating a slight positive sentiment toward the company’s future prospects.
On the other hand, PNC Financial Services Group Inc.’s stake in Agree Realty rose by only 15.9% during Q1, suggesting a more cautious approach towards investments in this particular REIT.
Additionally, institutional investors such as Bank of Montreal Can boosted their holding by 10.4%, whereas MetLife Investment Management LLC saw a substantial increase of around 57% in its stake during this period. However, these increases in holdings by large investors may not necessarily indicate a strong consensus about the value or potential growth of Agree Realty as an investment opportunity.
Agree Realty recently announced that it will be paying a monthly dividend to stockholders on October 13th. The company has set the ex-dividend date as September 28th, and shareholders of record on September 29th will receive a dividend payment of $0.243 per share. This represents an annualized payout ratio of approximately 165.34% and a dividend yield of around 5.10%.
In recent news, Director John Rakolta, Jr., made a significant purchase of Agree Realty shares, acquiring 30,000 shares on August 2nd at an average cost of $63.02 per share, totalling $1,890,600. Following this acquisition, Mr. Rakolta now holds approximately 330,056 shares valued at $20,800,129.
Another insider transaction involved Chief Operating Officer Craig Erlich buying 1,500 shares on August 14th at an average price per share of $62.36 for a total transaction value of $93,540.
These purchases by key executives within the company may indicate their confidence in Agree Realty’s long-term growth prospects or could merely represent personal portfolio diversification decisions.
It is essential to note that insider transactions should not be the sole basis for making investment decisions; rather, they can provide additional information for investors to consider when assessing the overall outlook for a given company.
Overall, Agree Realty’s recent ratings fluctuations coupled with varying degrees of support from institutional investors and insider transactions have created a mixed landscape regarding investment in this particular real estate investment trust (REIT). Investors should further analyze market trends and financial indicators before making any investment decisions.
