Regency Centers (REG) AI Stock Analysis

• Market Cap: $12.57B
• Dividend Yield: 4.1%
• Average Volume (3M): 1.14M
• Price to Earnings (P/E): 31.4
• Beta (1Y): 0.33
• Revenue Growth: 5.38%
• EPS Growth: 3.13%
• Country: US
• Employees: 495
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Retail
• EPS (TTM): 0.58
• Shares Outstanding: 182,900,970
• 10 Day Avg. Volume: 1,037,624
• 30 Day Avg. Volume: 1,141,227
• PEG Ratio: 8.93
• Price to Book (P/B): 2.09
• Price to Sales (P/S): 9.33
• P/FCF Ratio: 17.75
• Enterprise Value/Market Cap: 1.52
• Enterprise Value/Revenue: 12.23
• Enterprise Value/Gross Profit: 18.93
• Enterprise Value/Ebitda: 19.86
• 1Y Price Target: $80.00
• Price Target Upside: 16.45% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 15
• EPS Forecast (FY): 2.34
• Revenue Forecast (FY): $1.57B

• Rating: 71 Outperform
• Price Target: $76.00 ▲(10.63% Upside)

Regency Centers' strong financial performance and positive earnings call are the primary drivers of its score. The stock's technical indicators suggest bearish momentum, and its valuation appears high, which tempers the overall score. The company's strategic initiatives and robust leasing activity support a positive outlook, despite competitive pressures and challenges in the acquisition market.

Positive Factors

Strong Same-Property NOI Growth

The consistent growth in same-property NOI indicates a robust demand for Regency's retail spaces, enhancing long-term revenue stability and profitability.

Robust Leasing Pipeline

High leasing rates and new leases with grocers suggest strong tenant demand and effective property management, supporting sustained occupancy and revenue.

Successful Capital Allocation

Strategic capital deployment into development and acquisitions enhances asset value and growth potential, ensuring long-term competitive positioning.

Negative Factors

Impact of Rite Aid Bankruptcy

The return of Rite Aid spaces could lead to short-term occupancy challenges, impacting rental income and requiring re-leasing efforts to maintain revenue.

Increased Competition in Acquisition Market

Rising competition in the acquisition market may pressure cap rates and increase acquisition costs, potentially affecting future investment returns.

Decline in Free Cash Flow Growth

A decline in free cash flow growth could limit Regency's ability to invest in growth opportunities and return capital to shareholders, impacting financial flexibility.

Regency Centers Business Overview & Revenue Model

Company Description

Regency Centers (REG) is a leading real estate investment trust (REIT) that specializes in the ownership, operation, and development of high-quality retail shopping centers located in affluent and densely populated markets across the United States. The company's portfolio primarily includes grocery-anchored shopping centers that cater to everyday consumer needs, positioning it strategically within the retail sector. Regency focuses on creating vibrant community spaces that enhance the shopping experience, incorporating a mix of national and local retailers, restaurants, and service providers.

How the Company Makes Money

Regency Centers generates revenue primarily through rental income from its retail properties, which includes long-term leases with tenants. The company typically charges its tenants a base rent along with additional charges for common area maintenance, property taxes, and insurance, which contribute to its overall income. Additionally, Regency may earn revenue from leasing space for promotional events and advertising. The firm also benefits from strategic partnerships with key national retailers, which enhance its tenant mix and attract customers. Furthermore, the company engages in property development and redevelopment projects, adding value to its portfolio and generating additional revenues through increased rent from newly developed spaces. Economic factors, such as consumer spending trends and retail market dynamics, also play a critical role in influencing its earnings.

Regency Centers Financial Statement Overview

Summary

Regency Centers demonstrates strong financial health with solid revenue growth and profitability. The balance sheet reflects moderate leverage and efficient equity utilization. While cash flow generation is strong, the recent decline in free cash flow growth warrants attention.

Income Statement

Regency Centers shows strong profitability with a consistent increase in revenue over the years, highlighted by a TTM revenue growth rate of 85.5%. The gross profit margin remains robust at 64.6% TTM, although slightly lower than previous years. Net profit margin is healthy at 26.4% TTM, indicating efficient cost management. EBIT and EBITDA margins are strong, reflecting solid operational performance.

Balance Sheet

The company maintains a stable financial position with a debt-to-equity ratio of 0.81 TTM, indicating moderate leverage. Return on equity is modest at 6.1% TTM, suggesting efficient use of equity to generate profits. The equity ratio is stable, demonstrating a balanced approach to financing assets.

Cash Flow

Operating cash flow is strong, with a coverage ratio of 2.35 TTM, indicating good cash generation relative to net income. However, free cash flow growth has declined by 8.7% TTM, which could be a concern if it continues. The free cash flow to net income ratio is robust at 1.12, showing effective cash conversion.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.56B	1.50B	1.37B	1.27B	1.20B	1.05B
Gross Profit	1.01B	1.07B	975.08M	925.15M	877.18M	734.85M
EBITDA	961.79M	939.75M	839.58M	818.05M	771.32M	606.32M
Net Income	411.46M	400.39M	364.56M	482.87M	361.41M	44.89M
Balance Sheet
Total Assets	13.06B	12.39B	12.43B	10.86B	10.79B	10.94B
Cash, Cash Equivalents and Short-Term Investments	200.69M	56.28M	84.97M	66.47M	93.10M	376.07M
Total Debt	5.52B	5.02B	4.80B	4.29B	4.30B	4.52B
Total Liabilities	6.00B	5.49B	5.23B	4.68B	4.68B	4.88B
Stockholders Equity	6.80B	6.72B	7.03B	6.10B	6.04B	5.98B
Cash Flow
Free Cash Flow	815.13M	790.20M	719.59M	655.82M	396.66M	523.47M
Operating Cash Flow	815.13M	790.20M	719.59M	655.82M	659.39M	499.12M
Investing Cash Flow	-522.28M	-326.64M	-341.98M	-206.11M	-286.35M	-25.64M
Financing Cash Flow	-202.08M	-493.02M	-355.04M	-475.96M	-656.46M	-210.59M

Regency Centers Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 68.70
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For REG, the sentiment is Negative. The current price of 68.7 is below the 20-day moving average (MA) of 70.09, below the 50-day MA of 70.80, and below the 200-day MA of 70.73, indicating a bearish trend. The MACD of -0.25 indicates Positive momentum. The RSI at 37.96 is Neutral, neither overbought nor oversold. The STOCH value of 12.11 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for REG.

Regency Centers Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ADC	80 Outperform	$8.49B	43.23	3.47%	4.16%	14.67%	-5.17%
FRT	77 Outperform	$8.44B	24.70	10.92%	4.56%	6.05%	14.70%
NNN	76 Outperform	$7.64B	19.26	8.91%	5.87%	4.53%	-3.46%
KIM	72 Outperform	$13.63B	24.15	5.68%	5.02%	7.99%	55.05%
REG	71 Outperform	$12.57B	31.43	6.07%	4.10%	5.38%	3.13%
BRX	66 Neutral	$7.71B	23.33	11.36%	4.57%	6.07%	-0.28%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%

Regency Centers Corporate Events

Regency Centers Acquires Shopping Centers in California

On July 24, 2025, Regency Centers announced the acquisition of a portfolio of five shopping centers in Orange County, California, for $357 million. This strategic acquisition enhances Regency’s presence in a supply-constrained coastal market and aligns with its capital allocation objectives, including earnings accretion and growth. The transaction was funded through a combination of operating partnership units, assumed mortgage debt, and cash, and is expected to positively impact the company’s 2025 Core Operating Earnings per share.

Regency Centers Raises Earnings Guidance and Dividend

Regency Centers Corporation reported strong financial results for the third quarter of 2025, with net income attributable to common shareholders increasing to $0.58 per diluted share. The company raised its full-year earnings guidance and increased its common stock dividend by over 7%, reflecting robust operational performance and strategic capital allocation. Regency also executed significant leasing activities and development projects, including acquiring shopping centers and completing property transactions, which are expected to support its growth and enhance shareholder value.

Regency Centers Updates Investor Presentation September 2025

On September 8, 2025, Regency Centers Corporation released an updated investor presentation for use at upcoming conferences and meetings. This presentation, available on their website, aims to inform stakeholders about the company’s current operations and strategic direction.