Wall Street Zen Upgrades Agree Realty (NYSE:ADC) to "Hold"

Key Points

• Wall Street Zen upgraded Agree Realty to “Hold” from “Sell,” while the broader analyst consensus remains “Moderate Buy” with a $80.09 price target.
• Several analysts recently cut their price targets to between $72 and $76 and assigned neutral or equal-weight ratings, reflecting concerns about valuation, financing conditions and growth prospects.
• Agree Realty reported stronger-than-expected quarterly results, with $1.15 EPS and $213.9 million in revenue, while insiders purchased roughly 48,496 shares over the past three months.

Agree Realty (NYSE:ADC - Get Free Report) was upgraded by Wall Street Zen from a "sell" rating to a "hold" rating in a research note issued to investors on Saturday, Wall Street Zen reports.

Other research analysts also recently issued reports about the stock. Mizuho decreased their price target on shares of Agree Realty from $80.00 to $72.00 and set a "neutral" rating on the stock in a research note on Thursday, September 17th. Weiss Ratings cut Agree Realty from a "buy (b-)" rating to a "hold (c+)" rating in a report on Tuesday. Citigroup lowered their price objective on Agree Realty from $82.50 to $72.00 and set a "neutral" rating for the company in a research report on Friday. Barclays cut their target price on shares of Agree Realty from $85.00 to $76.00 and set an "equal weight" rating on the stock in a report on Tuesday. Finally, BNP Paribas Exane dropped their price target on shares of Agree Realty from $84.00 to $74.00 and set a "neutral" rating for the company in a research report on Wednesday. One research analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and six have given a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $80.09.

Agree Realty Price Performance

ADC stock opened at $66.78 on Friday. The firm has a 50 day moving average of $69.39 and a 200-day moving average of $74.00. The company has a current ratio of 1.01, a quick ratio of 0.82 and a debt-to-equity ratio of 0.55. Agree Realty has a 12 month low of $64.34 and a 12 month high of $82.08. The firm has a market capitalization of $8.69 billion, a P/E ratio of 14.77, a price-to-earnings-growth ratio of 2.97 and a beta of 0.42.

Agree Realty (NYSE:ADC - Get Free Report) last released its quarterly earnings results on Tuesday, October 20th. The real estate investment trust reported $1.15 earnings per share for the quarter, beating the consensus estimate of $0.47 by $0.68. Agree Realty had a return on equity of 4.00% and a net margin of 29.75%. The firm had revenue of $213.88 million for the quarter, compared to analysts' expectations of $211.52 million. During the same quarter last year, the firm posted $1.10 EPS. The company's revenue was up 16.7% compared to the same quarter last year. As a group, sell-side analysts predict that Agree Realty will post 4.45 earnings per share for the current fiscal year.

Insider Transactions at Agree Realty

In other Agree Realty news, Director John Rakolta, Jr. bought 20,000 shares of Agree Realty stock in a transaction on Wednesday, September 16th. The stock was acquired at an average price of $68.78 per share, with a total value of $1,375,600.00. Following the acquisition, the director owned 654,602 shares in the company, valued at approximately $45,023,525.56. This trade represents a 3.15% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Craig Erlich acquired 1,000 shares of Agree Realty stock in a transaction that occurred on Monday, September 21st. The stock was acquired at an average price of $67.55 per share, with a total value of $67,550.00. Following the completion of the acquisition, the insider directly owned 60,388 shares in the company, valued at $4,079,209.40. This represents a 1.68% increase in their position. The disclosure for this purchase is available in the SEC filing. Over the last three months, insiders have purchased 48,496 shares of company stock valued at $3,418,670. Insiders own 1.80% of the company's stock.

Institutional Investors Weigh In On Agree Realty

Large investors have recently added to or reduced their stakes in the stock. Wellington Management Group LLP boosted its stake in shares of Agree Realty by 159.8% during the 2nd quarter. Wellington Management Group LLP now owns 184,545 shares of the real estate investment trust's stock worth $13,977,000 after acquiring an additional 113,520 shares during the last quarter. Sumitomo Mitsui Trust Group Inc. lifted its holdings in Agree Realty by 7.5% during the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 781,592 shares of the real estate investment trust's stock valued at $58,916,000 after purchasing an additional 54,478 shares in the last quarter. Readystate Asset Management LP purchased a new stake in shares of Agree Realty in the second quarter worth $2,384,000. Louisiana State Employees Retirement System purchased a new position in shares of Agree Realty during the 1st quarter valued at $2,616,000. Finally, Hsbc Holdings PLC increased its stake in Agree Realty by 25.5% in the 4th quarter. Hsbc Holdings PLC now owns 295,693 shares of the real estate investment trust's stock worth $21,299,000 after buying an additional 60,159 shares in the last quarter. Institutional investors own 97.83% of the company's stock.

Key Stories Impacting Agree Realty

Here are the key news stories impacting Agree Realty this week:

• Positive Sentiment: RBC Capital maintained a Buy rating on Agree Realty, signaling continued confidence in the REIT’s long-term income and growth prospects. RBC Capital Remains a Buy on Agree Realty
• Positive Sentiment: Third-quarter results exceeded expectations, with revenue rising 16.7% year over year to $213.9 million and reported EPS of $1.15 versus the $0.47 consensus estimate. Management also raised its AFFO outlook, supporting the company’s dividend and valuation case. Agree Realty Q3 Earnings Lift AFFO Outlook
• Positive Sentiment: Agree Realty’s retail portfolio reached 99.8% occupancy in the third quarter, highlighting resilient tenant demand and stable rental cash flows. The company also increased its dividend, strengthening its appeal to income-focused investors. Agree Realty: 3 Key Takeaways
• Neutral Sentiment: An analysis argues that the selloff has created a more attractive income opportunity, but investors still must weigh interest-rate sensitivity and the REIT’s funding requirements. The Selloff Has Created an Attractive Income Opportunity
• Negative Sentiment: Citigroup lowered its price target from $82.50 to $72 and assigned a Neutral rating, reflecting limited expected upside and concerns about valuation or financing conditions. Citigroup recommendations
• Negative Sentiment: BNP Paribas Exane cut its price target, while Robert W. Baird issued a pessimistic forecast. These revisions add to the negative analyst sentiment surrounding ADC. BNP Paribas Exane price target cut Baird forecast
• Negative Sentiment: Management reduced its 2026 investment-volume guidance to $1.6 billion, and analysts continue to flag funding risks. Slower acquisition activity could constrain Agree Realty’s external growth. Agree Realty Q3 Earnings

Agree Realty Company Profile

Agree Realty Corporation is a real estate investment trust (REIT) that acquires, develops, and manages retail properties across the United States. The company primarily uses a net-lease structure, under which tenants generally are responsible for property-level operating expenses such as taxes, insurance, and maintenance.

Its portfolio is focused mainly on essential retail properties occupied by nationally recognized and regional tenants, including grocery stores, home improvement retailers, dollar stores, pharmacies, and other necessity-based businesses.

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