Federal Realty Investment Trust (NYSE: FRT) experienced a notable decrease in short interest during January 2024. As of January 30, the short interest totaled 2,007,708 shares, reflecting a decline of 23.9% from the previous total of 2,639,034 shares reported on January 15. Currently, short sales account for 2.4% of the company’s total shares, with the short-interest ratio now standing at 2.2 days, based on an average daily trading volume of 914,889 shares.
Hedge funds have actively adjusted their positions in Federal Realty Investment Trust. For instance, ProShare Advisors LLC increased its holdings by 5.7% in the third quarter, acquiring an additional 96,271 shares to reach a total of 1,797,002 shares, valued at approximately $182.1 million. Similarly, Truist Financial Corp significantly raised its stake by 496.2%, owning 129,198 shares worth $13.1 million after purchasing an additional 107,529 shares in the same period. Other notable changes include Knights of Columbus Asset Advisors LLC, which entered a new position valued at around $972,000, and Wealth Enhancement Advisory Services LLC, which increased its investment by 173.7%, now holding 15,791 shares valued at $1.54 million. Overall, hedge funds and institutional investors own 93.86% of Federal Realty’s stock.
In trading on Friday, shares of Federal Realty Investment Trust rose by $0.04 to reach $104.79, with a total trading volume of 1,447,205 shares, significantly higher than the average of 848,137 shares. The company holds a market capitalization of $9.04 billion and features a price-to-earnings (P/E) ratio of 22.44. Federal Realty’s stock has fluctuated between a one-year low of $80.65 and a high of $111.50, with a debt-to-equity ratio of 1.52 and both a quick and current ratio of 1.60.
On the dividend front, Federal Realty recently announced a quarterly dividend of $1.13 per share, scheduled for payment on April 15 to investors of record as of April 1. This dividend represents an annualized yield of 4.3%, contributing to a total annual payout of $4.52 per share, and the company maintains a high dividend payout ratio of 96.79%.
Investment analysts have varied opinions on Federal Realty Investment Trust, as reflected in recent research reports. Wells Fargo initiated coverage with an “overweight” rating and a target price of $113.00. Meanwhile, Stifel Nicolaus raised its price objective from $109.50 to $111.00 while maintaining a “hold” rating. Jefferies Financial Group upgraded the stock from a “hold” to a “buy” rating, increasing the target price from $101.00 to $115.00. Scotiabank adjusted its price target downward from $114.00 to $113.00, while Barclays reaffirmed a “positive” rating with a target price of $107.00. Overall, one analyst rates the stock as a Strong Buy, while eight recommend it as a Buy and another eight maintain a Hold rating. According to data from MarketBeat, Federal Realty currently holds a consensus rating of “Moderate Buy” and a price target of $110.40.
Recent developments have influenced sentiment around Federal Realty Investment Trust. The management raised its guidance for fiscal year 2026, anticipating funds from operations (FFO) to surpass Street estimates. This indicates confidence in leasing demand and potential rent growth, which could positively affect future cash flow and valuation. The company reported strong leasing activity, higher occupancy rates, and progress on its residential development projects, targeting near 6% core FFO growth for 2026. However, some analysts noted mixed sentiments following the company’s fourth-quarter results, which slightly missed expectations on EPS and FFO, indicating potential near-term challenges for sentiment and stock valuation.
Federal Realty Investment Trust operates as a real estate investment trust focusing on high-quality retail, restaurant, and mixed-use properties. With a portfolio of approximately 100 properties totaling over 25 million square feet of gross leasable area, the company aims to create vibrant environments that blend shopping, dining, and other uses, partnering with leading retailers to enhance the customer experience.
