NETSTREIT (NTST) AI Stock Analysis

• Market Cap: $1.44B
• Dividend Yield: 4.68%
• Average Volume (3M): 938.13K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.55
• Revenue Growth: 21.91%
• EPS Growth: -257.05%
• Country: US
• Employees: 22
• Sector: Real Estate
• Sector Strength: 64
• Industry: REIT - Retail
• EPS (TTM): 0.04
• Shares Outstanding: 81,706,090
• 10 Day Avg. Volume: 1,065,076
• 30 Day Avg. Volume: 938,133
• PEG Ratio: -20.29
• Price to Book (P/B): 1.10
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 18.96
• Enterprise Value/Market Cap: 1.63
• Enterprise Value/Revenue: 3.96
• Enterprise Value/Gross Profit: 15.82
• Enterprise Value/Ebitda: 5.74
• 1Y Price Target: $18.69
• Price Target Upside: 4.12% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9

• Rating: 69 Neutral
• Price Target: $18.50 ▲(3.06%Upside)

NETSTREIT's overall stock score is driven by solid financial performance with strong cash flow and operational improvements. The technical analysis suggests a positive trend, though caution is advised due to potential overbought conditions. The valuation is a concern due to negative earnings, but mitigated by a strong dividend yield. Earnings call insights on strategic investments and improved AFFO guidance further support a positive outlook, despite market uncertainties.

Positive Factors

Asset Quality

Netstreit Corp. has a high concentration of investment-grade assets, which strengthens its financial stability.

Financial Performance

The company's adjusted funds from operations per share slightly exceeded consensus expectations.

Valuation

NTST trades below the private market value of its portfolio, indicating potential for positive valuation adjustments.

Negative Factors

Investment Activity

NTST's investment activity guidance was lower than expected but considered reasonable due to the recent decline in share price.

Tenant Quality

NTST’s IG-rated tenant base declined to 55.8% of ABR from 60.9% last quarter.

Tenant Risk

Investor concern exists around negative headlines affecting some of NTST's key tenants, impacting the stock.

NETSTREIT Business Overview & Revenue Model

Company Description

NETSTREIT is an internally managed Real Estate Investment Trust (REIT) based in Dallas, Texas that specializes in acquiring single-tenant net lease retail properties nationwide. The growing portfolio consists of high-quality properties leased to e-commerce resistant tenants with healthy balance sheets. Led by a management team of seasoned commercial real estate executives, NETSTREIT's strategy is to create the highest quality net lease retail portfolio in the country with the goal of generating consistent cash flows and dividends for its investors.

How the Company Makes Money

NETSTREIT generates revenue primarily through rental income from its portfolio of single-tenant, net-leased retail properties. The company's business model involves acquiring properties that are leased to tenants on a net lease basis, meaning tenants are responsible for paying most or all of the operating expenses, including taxes, maintenance, and insurance, in addition to rent. This structure provides NETSTREIT with predictable cash flows and reduces the financial burden of property ownership. Key revenue streams include rental payments from tenants in essential and resilient retail sectors. The company's earnings are further supported by strategic acquisitions and portfolio management aimed at enhancing the quality and stability of its income. Significant partnerships with high-credit-quality tenants and a focus on sectors less susceptible to economic downturns contribute to NETSTREIT's financial performance.

NETSTREIT Financial Statement Overview

Summary

NETSTREIT demonstrates solid revenue growth and operational improvements, particularly in EBIT and EBITDA margins. Despite these strengths, the company faces challenges with profitability, as seen in the negative net income. The balance sheet is stable, supported by a reasonable debt level, though there is a slight decline in equity ratio. Cash flows are a strong point, with consistent operating cash flow and free cash flow generation, supporting future growth investments. Overall, while there are profitability concerns, the company's financial position remains sound.

Income Statement

The company shows consistent revenue growth, with a notable increase in total revenue from previous years. However, the net profit margin is negative in the TTM period, indicating current profitability challenges. The EBIT and EBITDA margins show improvement, suggesting operational efficiencies despite the net income loss.

Balance Sheet

The balance sheet reflects a strong equity base with a stable debt-to-equity ratio, indicating moderate leverage. However, the equity ratio has decreased slightly over the years, suggesting increased liabilities relative to assets. Return on equity is low due to negative net income, which is a concern for investors.

Cash Flow

The cash flow statement highlights positive operating cash flows with a significant increase over the years, indicating strong cash generation capabilities. Free cash flow remains robust, although growth has varied. The operating cash flow to net income ratio is strong, reflecting efficient cash management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	150.00M	123.12M	96.28M	59.14M	33.73M
Gross Profit	133.80M	106.25M	84.58M	53.34M	31.16M
EBITDA	98.24M	95.65M	65.66M	38.96M	19.81M
Net Income	-11.94M	6.84M	8.12M	3.05M	-4.00M
Balance Sheet
Total Assets	2.26B	1.95B	1.61B	1.07B	725.82M
Cash, Cash Equivalents and Short-Term Investments	14.32M	18.43M	70.54M	7.60M	92.64M
Total Debt	894.28M	640.25M	524.32M	261.65M	191.03M
Total Liabilities	921.21M	672.80M	547.27M	278.63M	197.74M
Stockholders Equity	1.33B	1.26B	1.05B	779.17M	494.10M
Cash Flow
Free Cash Flow	90.16M	80.12M	49.44M	30.75M	12.70M
Operating Cash Flow	90.16M	80.16M	50.65M	31.48M	12.75M
Investing Cash Flow	-432.88M	-451.95M	-468.36M	-430.13M	-362.13M
Financing Cash Flow	327.10M	331.18M	480.65M	313.61M	272.71M

NETSTREIT Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.95
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NTST, the sentiment is Positive. The current price of 17.95 is above the 20-day moving average (MA) of 17.19, above the 50-day MA of 16.47, and above the 200-day MA of 15.22, indicating a bullish trend. The MACD of 0.38 indicates Negative momentum. The RSI at 69.85 is Neutral, neither overbought nor oversold. The STOCH value of 85.08 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NTST.

NETSTREIT Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IVT	72 Outperform	$2.14B	122.02	1.07%	3.36%	7.45%	119.81%
GTY	71 Outperform	$1.51B	22.58	7.23%	8.47%	7.80%	4.15%
WSR	71 Outperform	$1.27B	20.73	7.33%	4.49%	4.39%	24.45%
NTST	69 Neutral	$1.44B	―	-0.88%	4.68%	21.91%	-257.05%
Sector *	66 Neutral	£963.65M	13.98	2.04%	206.67%	11.04%	38.13%
BFS	64 Neutral	$796.21M	22.31	13.86%	7.10%	5.00%	-14.72%
PINE	60 Neutral	$204.01M	155.27	0.47%	7.83%	14.71%	―

NETSTREIT Corporate Events

NETSTREIT Highlights Strong Financial Position and Growth

On June 18, 2025, NETSTREIT Corp. released an investor presentation highlighting its strong financial position and strategic focus on growth through high-quality tenant investments. The company reported a 99.9% occupancy rate and emphasized its robust liquidity and low leverage, which positions it well for future investments. NETSTREIT’s strategic management of lease expirations and minimal credit loss history underscore its resilience in the retail real estate market.

The most recent analyst rating on (NTST) stock is a Buy with a $19.50 price target. To see the full list of analyst forecasts on NETSTREIT stock, see the NTST Stock Forecast page.

NETSTREIT Highlights Strong Financial Position in 2025

On June 2, 2025, NETSTREIT Corp. released an investor presentation highlighting its strong financial position and strategic focus on high-quality tenants. The company reported a 99.9% occupancy rate and robust liquidity, with $584 million available for investments in 2025. The presentation emphasized NETSTREIT’s low leverage and minimal lease rollover risk, with a weighted average lease term of 9.7 years. The company has maintained a strong investment pace since 2020, completing $90.7 million in gross investments in the first quarter of 2025. NETSTREIT’s proactive asset management and industry relationships have resulted in well-managed lease expirations, with minimal credit loss from tenant events.

The most recent analyst rating on (NTST) stock is a Buy with a $19.50 price target. To see the full list of analyst forecasts on NETSTREIT stock, see the NTST Stock Forecast page.

NETSTREIT Holds Annual Stockholders Meeting on May 15

On May 15, 2025, NETSTREIT Corp. held its annual meeting of stockholders where several key proposals were voted on. The election of directors saw Mark Manheimer, Lori Wittman, Michael Christodolou, Heidi Everett, Todd Minnis, Matthew Troxell, and Robin Zeigler receiving varying levels of support. Additionally, the amendment and restatement of the 2019 Omnibus Incentive Compensation Plan was approved, and the appointment of an independent registered public accounting firm was ratified. The advisory vote on executive officer compensation also took place.

The most recent analyst rating on (NTST) stock is a Buy with a $19.50 price target. To see the full list of analyst forecasts on NETSTREIT stock, see the NTST Stock Forecast page.

NETSTREIT Reports Q1 2025 Financial Results

On April 28, 2025, NETSTREIT Corp. announced its financial and operating results for the first quarter ending March 31, 2025. The company reported a net income of $0.02 and adjusted funds from operations (AFFO) of $0.32 per diluted share. During the quarter, NETSTREIT completed $90.7 million in gross investment activity with a 7.7% blended cash yield and closed $275 million in additional financing commitments. The company also increased its 2025 AFFO per share guidance to a new range of $1.28 to $1.30, reflecting its strategic focus on capital recycling and portfolio diversification.