Bank of America Corp DE Buys Shares of 1,728,560 Agree Realty Corporation $ADC

Key Points

• Bank of America acquired 1.73 million Agree Realty shares in the second quarter, valued at approximately $130.9 million and representing about 1.39% of the REIT. Institutional investors collectively own 97.83% of the company.
• Agree Realty insiders signaled confidence by purchasing roughly $1.9 million in shares; CEO Joey Agree bought 7,360 shares and Director John Rakolta Jr. purchased 20,000 shares.
• The stock recently traded near $68, close to its 52-week low, while analysts maintain a “Moderate Buy” consensus with an average price target of $83.44. The company also priced $400 million of 5.65% senior notes, strengthening liquidity but increasing financing costs.

Bank of America Corp DE bought a new stake in Agree Realty Corporation (NYSE:ADC - Free Report) in the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor bought 1,728,560 shares of the real estate investment trust's stock, valued at approximately $130,921,000. Bank of America Corp DE owned approximately 1.39% of Agree Realty as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also modified their holdings of the business. Freestone Grove Partners LP purchased a new position in shares of Agree Realty during the second quarter valued at $12,217,000. Caisse de depot et placement du Quebec purchased a new stake in Agree Realty in the 2nd quarter worth about $9,428,000. Gallagher Fiduciary Advisors LLC purchased a new stake in Agree Realty in the 2nd quarter worth about $425,000. Jupiter Topco LLC acquired a new stake in Agree Realty during the 2nd quarter worth about $92,125,000. Finally, Hsbc Holdings PLC acquired a new stake in Agree Realty during the 2nd quarter worth about $22,129,000. Institutional investors and hedge funds 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: CEO Joey Agree purchased 7,360 shares for approximately $501,000, while Director John Rakolta Jr. bought 20,000 shares worth about $1.38 million. The roughly $1.9 million in combined insider purchases may signal that company leadership views ADC’s recent weakness as an attractive entry point. Agree Realty trades higher after reporting approximately $2 million in insider buy transactions
• Neutral Sentiment: Agree Realty announced pricing of $400 million in 5.650% senior unsecured notes due 2036. The offering strengthens liquidity and provides capital for corporate purposes, but the 5.849% effective yield will increase interest expense and highlights the higher-cost financing environment for real estate investment trusts. Agree Realty announces pricing of $400 million of senior unsecured notes
• Negative Sentiment: Mizuho lowered its price target for Agree Realty from $80 to $72 and maintained a “neutral” rating. Although the revised target implies potential upside from recent levels, the reduction signals more limited expectations for the stock and may reinforce selling pressure.

Insider Buying and Selling at Agree Realty

In other news, Director John Rakolta, Jr. bought 20,000 shares of the business's stock in a transaction on Wednesday, September 16th. The stock was purchased at an average price of $68.78 per share, with a total value of $1,375,600.00. Following the transaction, the director directly owned 654,602 shares in the company, valued at approximately $45,023,525.56. The trade was a 3.15% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CEO Joey Agree bought 7,360 shares of the business's stock in a transaction on Wednesday, September 16th. The shares were purchased at an average cost of $68.06 per share, with a total value of $500,921.60. Following the transaction, the chief executive officer owned 682,465 shares in the company, valued at approximately $46,448,567.90. The trade was a 1.09% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders purchased a total of 47,496 shares of company stock worth $3,351,120 in the last quarter. Insiders own 1.80% of the company's stock.

Analyst Upgrades and Downgrades

Several equities analysts have weighed in on the company. Weiss Ratings raised Agree Realty from a "buy (b-)" rating to a "buy (b)" rating in a research note on Tuesday, August 25th. Huntington began coverage on shares of Agree Realty in a research report on Wednesday, July 15th. They issued an "outperform" rating and a $84.00 price target for the company. Wall Street Zen cut shares of Agree Realty from a "hold" rating to a "sell" rating in a report on Saturday, August 1st. Robert W. Baird set a $83.00 price objective on shares of Agree Realty in a research note on Friday, July 31st. Finally, Jefferies Financial Group initiated coverage on shares of Agree Realty in a research report on Monday, June 1st. They issued a "buy" rating and a $84.00 target price for the company. One research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and an average target price of $83.44.

Agree Realty Price Performance

NYSE ADC opened at $68.16 on Friday. Agree Realty Corporation has a fifty-two week low of $67.93 and a fifty-two week high of $82.08. The stock's 50-day moving average is $75.37 and its two-hundred day moving average is $76.12. The firm has a market cap of $8.48 billion, a P/E ratio of 36.65, a price-to-earnings-growth ratio of 2.24 and a beta of 0.46. The company has a debt-to-equity ratio of 0.60, a current ratio of 0.82 and a quick ratio of 0.82.

Agree Realty (NYSE:ADC - Get Free Report) last issued its quarterly earnings data on Thursday, July 30th. The real estate investment trust reported $0.44 EPS for the quarter, missing analysts' consensus estimates of $0.48 by ($0.04). Agree Realty had a net margin of 28.84% and a return on equity of 3.90%. The company had revenue of $216.33 million for the quarter, compared to analyst estimates of $204.53 million. During the same period in the prior year, the company posted $1.06 EPS. The business's revenue was up 16.8% on a year-over-year basis. Agree Realty has set its FY 2026 guidance at 4.570-4.590 EPS. On average, analysts anticipate that Agree Realty Corporation will post 4.45 earnings per share for the current fiscal year.

Agree Realty Announces Dividend

The company also recently announced a monthly dividend, which will be paid on Wednesday, October 14th. Investors of record on Wednesday, September 30th will be issued a $0.267 dividend. This represents a c) annualized dividend and a yield of 4.7%. The ex-dividend date is Wednesday, September 30th. Agree Realty's dividend payout ratio (DPR) is 172.04%.

Agree Realty Profile

Agree Realty Corporation NYSE: ADC is a real estate investment trust that owns, develops, acquires and manages retail properties. The company primarily invests in freestanding, net-leased properties occupied by nationally recognized and regionally established retailers.

Under a net lease, tenants generally pay expenses such as property taxes, insurance and maintenance in addition to rent. Agree Realty's portfolio is focused largely on essential retail locations, including stores serving everyday consumer needs.

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