Agree Realty (ADC) AI Stock Analysis

• Market Cap: $8.29B
• Dividend Yield: 4.28%
• Average Volume (3M): 1.09M
• Price to Earnings (P/E): 42.2
• Beta (1Y): -0.05
• 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: 1,532,388
• 30 Day Avg. Volume: 1,085,985
• 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: 1.39
• Enterprise Value/Revenue: 16.74
• Enterprise Value/Gross Profit: 18.80
• Enterprise Value/Ebitda: 19.88
• 1Y Price Target: $81.89
• Price Target Upside: 13.58% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 11
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: $82.00 ▲(13.73% Upside)

Agree Realty's overall stock score is driven by its strong financial performance and positive earnings call sentiment. The company's robust investment activity and high occupancy rate are significant strengths. However, the high P/E ratio and mixed technical indicators suggest some caution. The recent corporate event further supports the company's financial stability.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a robust business model and effective management, ensuring long-term stability and market competitiveness.

High Occupancy Rate

A high occupancy rate reflects strong demand for properties and effective tenant management, contributing to stable cash flows and reduced vacancy risks.

A- Credit Rating

An A- credit rating enhances borrowing capacity at lower costs, supporting future growth and financial stability through favorable financing terms.

Negative Factors

Credit Loss Assumptions

Potential credit losses could affect cash flow and profitability, indicating risks in tenant defaults or occupancy loss, impacting long-term financial health.

Equity Offerings Impact

Equity offerings can dilute existing shareholders' value, potentially impacting earnings per share and investor returns over time.

Net Profit Margin Pressure

Decreasing net profit margins may signal rising costs or pricing pressures, potentially affecting long-term profitability and financial performance.

Agree Realty Business Overview & Revenue Model

Company Description

Agree Realty Corporation (ADC) is a real estate investment trust (REIT) that focuses on the acquisition, development, and management of retail properties. The company primarily invests in free-standing, single-tenant properties that are leased to high-quality retail tenants across the United States. ADC's portfolio is diversified and includes properties in various sectors such as grocery, drug stores, and other essential retailers, emphasizing long-term leases and stable cash flows.

How the Company Makes Money

Agree Realty generates revenue primarily through rental income derived from its extensive portfolio of retail properties. The company's revenue model is built on long-term leases with creditworthy tenants, ensuring consistent cash flow. Key revenue streams include base rent, percentage rent from sales exceeding a certain threshold, and tenant reimbursements for property expenses. Additionally, ADC engages in property development and redevelopment projects, which can enhance rental income and increase property value. The company also benefits from strategic partnerships with well-established retailers, further solidifying its revenue base and providing opportunities for expansion.

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	3.42B	2.83B	2.45B	1.98B	1.88B	1.31B
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: Negative
• Last Price: 72.10
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• 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 Negative. The current price of 72.1 is below the 20-day moving average (MA) of 73.13, below the 50-day MA of 73.25, and below the 200-day MA of 72.63, indicating a bearish trend. The MACD of -0.43 indicates Positive momentum. The RSI at 44.68 is Neutral, neither overbought nor oversold. The STOCH value of 46.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ADC.

Agree Realty Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NNN	78 Outperform	$7.55B	19.05	8.91%	5.94%	4.53%	-3.46%
FRT	77 Outperform	$8.80B	25.76	10.92%	4.37%	6.05%	14.70%
ADC	75 Outperform	$8.29B	42.18	3.47%	4.28%	14.67%	-5.17%
PECO	75 Outperform	$4.99B	59.08	3.62%	3.48%	10.58%	37.97%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
BRX	65 Neutral	$7.89B	23.86	11.36%	4.46%	6.07%	-0.28%
KRG	61 Neutral	$5.14B	211.30	4.71%	4.55%	3.67%	―

Agree Realty Corporate Events

Agree Realty Secures $350 Million Term Loan Agreement

On November 17, 2025, Agree Realty Corporation and Agree Limited Partnership entered into a $350 million unsecured delayed draw term loan agreement with PNC Bank and a syndicate of lenders. The agreement, maturing on May 15, 2031, allows the company to draw funds as needed and includes various financial covenants and interest rate options based on the company’s credit rating. Additionally, the company amended its existing revolving credit and term loan agreements to align with the new terms, reducing interest rates and implementing technical amendments.

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.