NETSTREIT (NTST) has received a new Buy rating, initiated by Wells Fargo analyst, John Kilichowski.
John Kilichowski has given his Buy rating due to a combination of factors including NETSTREIT’s strong growth prospects and defensive portfolio strategy. The company is expected to achieve above-average growth in adjusted funds from operations (AFFO) for 2025, surpassing market expectations. Additionally, NETSTREIT’s portfolio is valued below its private market value, presenting a potential opportunity for investors.
The company’s focus on necessity-based and e-commerce-resistant retail sectors, along with a high occupancy rate and significant investment-grade tenancy, further supports its stability and growth potential. Despite concerns over some key tenants, the minimal rent loss and strategic asset management highlight the quality of NETSTREIT’s assets. The valuation metrics, including a favorable cap rate and AFFO multiple, underpin the $18 price target, making the stock an attractive investment opportunity.
Kilichowski covers the Real Estate sector, focusing on stocks such as National Retail Properties, Agree Realty, and Healthpeak Properties. According to TipRanks, Kilichowski has an average return of -3.4% and a 42.86% success rate on recommended stocks.
In another report released on April 3, Mizuho Securities also maintained a Buy rating on the stock with a $17.00 price target.