Agree Realty combines essential-retail leases, 99.8% occupancy and disciplined external growth with a discounted valuation, offering a durable income compounder if interest-rate volatility eases.
Overview
Agree Realty Corporation (NYSE: ADC) is a self-managed net-lease REIT that acquires, develops, and owns single-tenant retail properties, primarily under triple-net leases that leave tenants responsible for taxes, insurance, and maintenance. At mid-2026, its 2,825 properties across all 50 states and the District of Columbia totaled 59.6 million square feet, with record 99.8% occupancy and 66.6% of ABR from investment-grade tenants. Q2 2026 revenue increased 16.8% year over year to $205.10 million; adjusted revenue of $216.33 million exceeded consensus by $11.80 million. Core FFO per share was $1.13, while first-half AFFO per share rose 7.7% to $2.28. After record $502 million Q2 investment at a 7.1% cap rate, management lifted 2026 investment guidance to $1.6–$1.8 billion and AFFO guidance to $4.57–$4.59 per share. At $67.48, shares trade at approximately 14.7x–15.97x forward P/AFFO, below the cited 17x–19x historical range. **The principal near-term catalyst is continued accretive deployment alongside stable rates;** consensus 12-month targets are $83.43–$83.83. The five-year base case implies $96.53 per share before dividends.