Agree Realty (ADC) AI Stock Analysis

• Market Cap: $8.44B
• Dividend Yield: 4.15%
• Average Volume (3M): 1.12M
• Price to Earnings (P/E): 43.0
• Beta (1Y): -0.03
• Revenue Growth: 14.67%
• EPS Growth: -5.17%
• Country: US
• Employees: 75
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Retail
• EPS (TTM): 0.45
• Shares Outstanding: 114,934,390
• 10 Day Avg. Volume: 1,045,853
• 30 Day Avg. Volume: 1,124,334
• PEG Ratio: 7.11
• Price to Book (P/B): 1.29
• Price to Sales (P/S): 11.54
• P/FCF Ratio: 16.49
• Enterprise Value/Market Cap: 1.37
• Enterprise Value/Revenue: 16.74
• Enterprise Value/Gross Profit: 18.80
• Enterprise Value/Ebitda: 19.88
• 1Y Price Target: $82.73
• Price Target Upside: 12.15% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 12
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 79 Outperform
• Price Target: $86.00 ▲(16.58% Upside)

Agree Realty's overall stock score of 79 reflects its strong financial performance, positive earnings call sentiment, and solid technical indicators. The high P/E ratio slightly tempers the score, but the attractive dividend yield provides a compensating factor. The company's robust investment activity and credit rating achievement further bolster its position in the REIT - Retail industry.

Positive Factors

Strong Revenue Growth

Consistent revenue growth and high profitability margins indicate a solid business model and effective management, supporting long-term stability.

High Occupancy Rate

A high occupancy rate ensures steady rental income, reflecting strong demand for properties and effective asset management, crucial for sustained cash flow.

A- Credit Rating

An A- credit rating enhances financial flexibility and reduces borrowing costs, supporting strategic growth initiatives and long-term financial health.

Negative Factors

Credit Loss Assumptions

Potential credit losses could impact cash flow and profitability, posing a risk to financial stability if tenant defaults or occupancy loss occur.

Net Profit Margin Pressure

A decrease in net profit margin suggests potential challenges in maintaining profitability, which could affect long-term earnings growth and shareholder value.

Minimal Dilution Impact

Even minimal dilution can affect earnings per share, potentially impacting investor perception and shareholder returns over time.

Agree Realty Business Overview & Revenue Model

Company Description

Agree Realty Corporation is a publicly traded real estate investment trust primarily engaged in the acquisition and development of properties net leased to industry-leading retail tenants. As of September 30, 2020, the Company owned and operated a portfolio of 1,027 properties, located in 45 states and containing approximately 21.0 million square feet of gross leasable area. The Company's common stock is listed on the New York Stock Exchange under the symbol ADC.

How the Company Makes Money

Agree Realty generates revenue primarily through rental income from its portfolio of retail properties leased to tenants under long-term net lease agreements. These agreements typically require tenants to cover property expenses such as taxes, insurance, and maintenance, resulting in a relatively stable cash flow for the company. In addition to rental income, Agree Realty may also benefit from property appreciation and potential lease escalations over time, enhancing its overall revenue. The company strategically focuses on high-quality tenants with strong credit ratings, which minimizes default risk and supports reliable income streams. Furthermore, Agree Realty's growth is bolstered by its active acquisition strategy, allowing it to expand its portfolio and increase rental revenues, while partnerships with reputable retailers further solidify its position in the market.

Agree Realty Financial Statement Overview

Summary

Agree Realty demonstrates solid financial performance with strong revenue growth, high profitability margins, and a stable balance sheet. The company effectively manages its cash flow, supporting its operations and growth. While there are minor fluctuations in net profit margins, the overall financial health remains robust, positioning the company well within the REIT - Retail industry.

Income Statement

Agree Realty shows strong revenue growth with a TTM increase of 4.38% and consistent profitability, evidenced by a high gross profit margin of 87.74% and a solid net profit margin of 27.88%. The EBIT and EBITDA margins are robust at 47.12% and 85.99% respectively, indicating efficient operations. However, the net profit margin has slightly decreased from the previous year, suggesting some pressure on net income.

Balance Sheet

The company's balance sheet is stable with a moderate debt-to-equity ratio of 0.58, indicating a balanced use of debt and equity. The return on equity is modest at 3.33%, reflecting steady but not exceptional profitability. The equity ratio stands at 61.92%, showcasing a strong equity base relative to total assets, which is a positive sign of financial health.

Cash Flow

Agree Realty's cash flow is strong, with a free cash flow growth rate of 26.8% in the TTM, indicating healthy cash generation. The operating cash flow to net income ratio is 0.91, suggesting efficient conversion of income into cash. The free cash flow to net income ratio remains at 1.0, highlighting consistent cash flow relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	688.64M	617.10M	537.50M	429.81M	339.32M	248.57M
Gross Profit	612.93M	542.25M	470.78M	377.53M	298.26M	216.82M
EBITDA	579.68M	543.26M	463.95M	386.24M	295.67M	215.80M
Net Income	189.83M	189.20M	169.96M	152.44M	122.27M	91.38M
Balance Sheet
Total Assets	9.48B	8.49B	7.77B	6.71B	5.23B	3.89B
Cash, Cash Equivalents and Short-Term Investments	13.70M	6.40M	10.91M	27.76M	43.25M	6.14M
Total Debt	3.01B	2.86B	2.41B	1.94B	1.69B	1.22B
Total Liabilities	3.61B	2.98B	2.57B	2.08B	1.81B	1.36B
Stockholders Equity	5.87B	5.51B	5.20B	4.63B	3.42B	2.52B
Cash Flow
Free Cash Flow	484.22M	431.97M	391.60M	362.12M	246.31M	142.96M
Operating Cash Flow	484.22M	431.97M	391.60M	362.12M	246.31M	142.96M
Investing Cash Flow	-1.52B	-885.41M	-1.27B	-1.62B	-1.39B	-1.30B
Financing Cash Flow	1.04B	445.31M	869.01M	1.24B	1.18B	1.12B

Agree Realty Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 73.77
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ADC, the sentiment is Positive. The current price of 73.77 is above the 20-day moving average (MA) of 73.74, above the 50-day MA of 72.24, and above the 200-day MA of 72.50, indicating a bullish trend. The MACD of 0.24 indicates Positive momentum. The RSI at 57.14 is Neutral, neither overbought nor oversold. The STOCH value of 74.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ADC.

Agree Realty Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ADC	79 Outperform	$8.44B	42.95	3.47%	4.15%	14.67%	-5.17%
FRT	77 Outperform	$8.40B	24.60	10.92%	4.61%	6.05%	14.70%
NNN	76 Outperform	$7.73B	19.49	8.91%	5.70%	4.53%	-3.46%
BRX	73 Outperform	$8.18B	24.75	11.36%	4.09%	6.07%	-0.28%
PECO	72 Outperform	$4.84B	57.26	3.62%	3.56%	10.58%	37.97%
KRG	69 Neutral	$4.87B	35.43	4.71%	4.85%	3.67%	―
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%

Agree Realty Corporate Events

Agree Realty Corporation Reports Strong Q3 2025 Results

Agree Realty Corporation is a publicly traded real estate investment trust specializing in acquiring and developing properties net leased to leading omni-channel retail tenants across the United States. The company recently reported its third-quarter 2025 financial results, highlighting a significant increase in investment guidance and AFFO per share guidance for the year. During the third quarter of 2025, Agree Realty Corporation invested approximately $451 million in 110 retail net lease properties and commenced five development projects with a total committed capital of $51 million. The company reported a 7.9% increase in net income per share to $0.45 and an 8.4% increase in Core FFO per share to $1.09. Additionally, the company declared a monthly dividend of $0.256 per common share, marking a 2.4% year-over-year increase. Agree Realty Corporation’s balance sheet remains robust, with over $1.9 billion in liquidity and an A- issuer rating from Fitch Ratings. Looking ahead, the company has raised its full-year 2025 investment guidance to a range of $1.50 billion to $1.65 billion and increased its AFFO per share guidance to $4.31 to $4.33, reflecting confidence in its growth strategy and financial stability.

Agree Realty’s Earnings Call Highlights Robust Growth and Optimism

Agree Realty Corporation’s recent earnings call conveyed a strong and positive sentiment, underscoring the company’s robust investment volume, impressive financial performance, and significant achievements such as attaining an A- credit rating. While there were minor concerns regarding credit loss assumptions and minimal dilution impacts, the overall outlook remains optimistic, highlighting the company’s solid position in the market.

Agree Realty Reports Impact of Equity Offerings

On October 2, 2025, Agree Realty Corporation reported its weighted-average number of common shares outstanding for the three and nine months ending September 30, 2025. The announcement detailed the impact of forward equity offerings on the company’s diluted earnings per share, highlighting a significant increase in weighted-average incremental shares due to these offerings.

The most recent analyst rating on (ADC) stock is a Buy with a $80.00 price target. To see the full list of analyst forecasts on Agree Realty stock, see the ADC Stock Forecast page.