Federal Realty Investment Trust (NYSE:FRT) Increases Dividend to $1.16 Per Share

Key Points

• Federal Realty raised its quarterly dividend 2.7% to $1.16 per share, payable October 15 to shareholders of record October 1. The annualized dividend is $4.64, representing a yield of approximately 3.7%, and marks the company’s 58th consecutive year of dividend increases.
• The REIT’s current dividend payout ratio is elevated at 141.2%, meaning earnings alone do not presently cover the distribution. However, analysts expect next year’s earnings to support a more sustainable projected payout ratio of 57.1%.
• Federal Realty reported quarterly EPS of $1.88, beating estimates of $1.85, while revenue of $338.39 million exceeded expectations and increased 7.8% year over year. Analysts expect full-year EPS of about $7.52.

Federal Realty Investment Trust (NYSE:FRT - Get Free Report) declared a quarterly dividend on Friday, July 31st. Shareholders of record on Thursday, October 1st will be paid a dividend of 1.16 per share by the real estate investment trust on Thursday, October 15th. This represents a c) annualized dividend and a yield of 3.7%. The ex-dividend date is Thursday, October 1st. This is a 2.7% increase from Federal Realty Investment Trust's previous quarterly dividend of $1.13.

Federal Realty Investment Trust has increased its dividend payment by an average of 0.0%annually over the last three years and has increased its dividend every year for the last 58 years. Federal Realty Investment Trust has a dividend payout ratio of 141.2% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities research analysts expect Federal Realty Investment Trust to earn $7.91 per share next year, which means the company should continue to be able to cover its $4.52 annual dividend with an expected future payout ratio of 57.1%.

Federal Realty Investment Trust Price Performance

Shares of FRT traded up $0.09 during mid-day trading on Friday, reaching $124.18. The stock had a trading volume of 1,242,003 shares, compared to its average volume of 885,148. The firm has a market cap of $10.73 billion, a price-to-earnings ratio of 21.56, a PEG ratio of 2.99 and a beta of 0.93. Federal Realty Investment Trust has a 12 month low of $89.99 and a 12 month high of $128.21. The business has a fifty day moving average of $122.74 and a 200 day moving average of $112.86. The company has a debt-to-equity ratio of 1.51, a quick ratio of 1.64 and a current ratio of 1.64.

Federal Realty Investment Trust (NYSE:FRT - Get Free Report) last announced its quarterly earnings data on Friday, July 31st. The real estate investment trust reported $1.88 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.85 by $0.03. The firm had revenue of $338.39 million during the quarter, compared to analysts' expectations of $331.92 million. Federal Realty Investment Trust had a net margin of 38.63% and a return on equity of 15.99%. The company's revenue for the quarter was up 7.8% compared to the same quarter last year. During the same period in the prior year, the company posted $1.91 earnings per share. Federal Realty Investment Trust has set its FY 2026 guidance at 7.480-7.560 EPS. Equities analysts predict that Federal Realty Investment Trust will post 7.52 EPS for the current year.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in FRT. Danske Bank A S boosted its stake in shares of Federal Realty Investment Trust by 16.7% in the fourth quarter. Danske Bank A S now owns 700 shares of the real estate investment trust's stock worth $71,000 after acquiring an additional 100 shares during the last quarter. New Mexico Educational Retirement Board raised its stake in Federal Realty Investment Trust by 2.8% in the 4th quarter. New Mexico Educational Retirement Board now owns 3,650 shares of the real estate investment trust's stock valued at $368,000 after purchasing an additional 100 shares during the last quarter. Kestra Private Wealth Services LLC raised its stake in Federal Realty Investment Trust by 2.7% in the 4th quarter. Kestra Private Wealth Services LLC now owns 3,849 shares of the real estate investment trust's stock valued at $388,000 after purchasing an additional 103 shares during the last quarter. Equitable Holdings Inc. lifted its holdings in Federal Realty Investment Trust by 3.5% in the 3rd quarter. Equitable Holdings Inc. now owns 3,114 shares of the real estate investment trust's stock valued at $315,000 after purchasing an additional 105 shares in the last quarter. Finally, EverSource Wealth Advisors LLC lifted its holdings in Federal Realty Investment Trust by 18.8% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 690 shares of the real estate investment trust's stock valued at $66,000 after purchasing an additional 109 shares in the last quarter. Hedge funds and other institutional investors own 93.86% of the company's stock.

Federal Realty Investment Trust Company Profile

Federal Realty Investment Trust NYSE: FRT is a real estate investment trust specializing in the ownership, management, and redevelopment of high-quality retail, restaurant, and mixed-use properties. With a strategic focus on open-air shopping centers and lifestyle-oriented urban destinations, the company partners with leading national and regional retailers to curate environments that blend shopping, dining, entertainment, office, and residential uses. Its asset management capabilities extend from initial site selection and development through ongoing property operations and tenant relations.

Federal Realty's portfolio comprises approximately 100 properties totaling more than 25 million square feet of gross leasable area.

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