Federal Realty Investment Trust (FRT.PC) stock analysis

P/E below its 5-year median

Federal Realty Investment Trust's P/E of 19.2 is below its own 5-year median of 27.1.

P/E below the industry

Federal Realty Investment Trust's P/E of 19.2 is below the Miscellaneous Investing median of 25.0.

EV/EBITDA below its 5-year median

Federal Realty Investment Trust's EV/EBITDA of 8.8 is below its 5-year median of 10.2.

P/B above the industry

Federal Realty Investment Trust's price-to-book of 2.89 is above the Miscellaneous Investing median of 1.20.

Trading below fair value

The share price of $110.19 is below our fair value estimate of $124.79.

Margin of safety under 20%

The price is 11.7% below fair value, less than the 20% cushion we look for.

Revenue growing under 10% a year

Revenue grew 6.0% a year over the last three fiscal years, short of the 10% we look for.

EPS growing under 10% a year

Diluted EPS grew -0.2% a year over the last three fiscal years.

Earnings growth accelerating

Net income grew 67.6% over the last twelve months, against a 5-year average of 25.6% a year.

Growing faster than the industry

Revenue grew 7.4% over the last twelve months; the Miscellaneous Investing median is 4.4%.

Guidance raised

Federal Realty Investment Trust raised its Full Year 2026 % Core FFO growth over the prior year outlook on Jul 31, 2026.

Gross margin trend

This company does not report gross profit.

Return on equity under 15%

Return on equity was 15.6% over the last twelve months and averaged 10.9% over five years; we look for 15% on both.

Return on capital over 10%

Return on invested capital was 17.7%, above the 10% that usually covers the cost of capital.

Return on equity above the industry

Federal Realty Investment Trust's return on equity of 15.6% is above the Miscellaneous Investing median of 3.4%.

Earnings grew over 5 years

Net income grew 25.6% a year on average over the last five fiscal years.

Net margin above its 5-year average

Net margin was 38.6% over the last twelve months, against a 5-year average of 28.2%.

Net margin above the industry

Federal Realty Investment Trust's net margin of 38.6% is above the Miscellaneous Investing median of 11.4%.

Debt level

Needs debt and equity figures.

Debt trend

Needs a balance sheet from five years ago with positive equity.

Debt coverage

Needs operating cash flow.

Interest not well covered

Operating income covers interest expense 3.7 times; we look for at least 5.

Short-term liquidity

The balance sheet is not split into current and non-current items.

Elevated bankruptcy risk

The Altman Z-score is 1.44; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

Federal Realty Investment Trust paid dividends worth 4.1% of the share price over the last twelve months.

Yield below Treasuries

The 4.1% yield is below the 4.4% on a 1-year Treasury.

Yield in the top quarter

The top quarter of US dividend payers yield 4.0% or more; Federal Realty Investment Trust yields 4.1%.

Dividend not cut

The dividend per share has not fallen by more than 10% in any of the last 10 fiscal years.

Earnings cover

Needs dividends paid and net income.

Cash-flow cover

Needs dividends paid and free cash flow.