AGREE REALTY CORP (ADC) Stock Fundamental Analysis
NYSE:ADC • US0084921008
81.92 USD
+0.79 (+0.97%)
At close: Mar 3, 2026
81.92 USD
0 (0%)
After Hours: 3/3/2026, 6:40:00 PM
ADC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 122 industry peers in the Diversified REITs industry. ADC has an excellent profitability rating, but there are concerns on its financial health. ADC is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- ADC had positive earnings in the past year.
- In the past year ADC had a positive cash flow from operations.
- In the past 5 years ADC has always been profitable.
- ADC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- With a decent Return On Assets value of 2.01%, ADC is doing good in the industry, outperforming 61.48% of the companies in the same industry.
- ADC's Return On Equity of 3.13% is in line compared to the rest of the industry. ADC outperforms 56.56% of its industry peers.
- ADC has a Return On Invested Capital of 2.85%. This is comparable to the rest of the industry: ADC outperforms 51.64% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for ADC is in line with the industry average of 3.10%.
- The last Return On Invested Capital (2.85%) for ADC is above the 3 year average (2.78%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.01% | ||
| ROE | 3.13% | ||
| ROIC | 2.85% |
ROA(3y)2.08%
ROA(5y)2.13%
ROE(3y)3.18%
ROE(5y)3.23%
ROIC(3y)2.78%
ROIC(5y)2.72%
1.3 Margins
- The Profit Margin of ADC (27.35%) is better than 78.69% of its industry peers.
- In the last couple of years the Profit Margin of ADC has declined.
- Looking at the Operating Margin, with a value of 48.29%, ADC belongs to the top of the industry, outperforming 90.16% of the companies in the same industry.
- In the last couple of years the Operating Margin of ADC has remained more or less at the same level.
- ADC has a Gross Margin of 88.03%. This is amongst the best in the industry. ADC outperforms 88.52% of its industry peers.
- ADC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 48.29% | ||
| PM (TTM) | 27.35% | ||
| GM | 88.03% |
OM growth 3Y-0.99%
OM growth 5Y-1.46%
PM growth 3Y-6.67%
PM growth 5Y-5.69%
GM growth 3Y-0.08%
GM growth 5Y0.07%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ADC is destroying value.
- ADC has more shares outstanding than it did 1 year ago.
- ADC has more shares outstanding than it did 5 years ago.
- The debt/assets ratio for ADC is higher compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 1.68, we must say that ADC is in the distress zone and has some risk of bankruptcy.
- ADC has a better Altman-Z score (1.68) than 90.16% of its industry peers.
- ADC has a Debt/Equity ratio of 0.53. This is a neutral value indicating ADC is somewhat dependend on debt financing.
- ADC has a Debt to Equity ratio of 0.53. This is amongst the best in the industry. ADC outperforms 86.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.68 |
ROIC/WACC0.39
WACC7.39%
2.3 Liquidity
- ADC has a Current Ratio of 0.82. This is a bad value and indicates that ADC is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 0.82, ADC is in line with its industry, outperforming 46.72% of the companies in the same industry.
- ADC has a Quick Ratio of 0.82. This is a bad value and indicates that ADC is not financially healthy enough and could expect problems in meeting its short term obligations.
- ADC's Quick ratio of 0.82 is in line compared to the rest of the industry. ADC outperforms 46.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
- The earnings per share for ADC have decreased by -2.75% in the last year.
- ADC shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 0.34% yearly.
- Looking at the last year, ADC shows a quite strong growth in Revenue. The Revenue has grown by 16.42% in the last year.
- The Revenue has been growing by 23.64% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-2.75%
EPS 3Y-1.11%
EPS 5Y0.34%
EPS Q2Q%14.63%
Revenue 1Y (TTM)16.42%
Revenue growth 3Y18.68%
Revenue growth 5Y23.64%
Sales Q2Q%18.51%
3.2 Future
- Based on estimates for the next years, ADC will show a small growth in Earnings Per Share. The EPS will grow by 5.31% on average per year.
- The Revenue is expected to grow by 14.88% on average over the next years. This is quite good.
EPS Next Y13.1%
EPS Next 2Y8.55%
EPS Next 3Y7.22%
EPS Next 5Y5.31%
Revenue Next Year11.99%
Revenue Next 2Y11.07%
Revenue Next 3Y15.59%
Revenue Next 5Y14.88%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 46.28, ADC can be considered very expensive at the moment.
- ADC's Price/Earnings ratio is in line with the industry average.
- Compared to an average S&P500 Price/Earnings ratio of 26.83, ADC is valued quite expensively.
- ADC is valuated quite expensively with a Price/Forward Earnings ratio of 40.92.
- Based on the Price/Forward Earnings ratio, ADC is valued a bit cheaper than 67.21% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.95. ADC is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.28 | ||
| Fwd PE | 40.92 |
4.2 Price Multiples
- ADC's Enterprise Value to EBITDA ratio is rather expensive when compared to the industry. ADC is more expensive than 82.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 21.5 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- ADC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)3.53
PEG (5Y)135.14
EPS Next 2Y8.55%
EPS Next 3Y7.22%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.94%, ADC has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 7.07, ADC is paying slightly less dividend.
- Compared to an average S&P500 Dividend Yield of 1.82, ADC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.94% |
5.2 History
- On average, the dividend of ADC grows each year by 6.85%, which is quite nice.
- ADC has paid a dividend for at least 10 years, which is a reliable track record.
- ADC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)6.85%
Div Incr Years12
Div Non Decr Years13
5.3 Sustainability
- 177.18% of the earnings are spent on dividend by ADC. This is not a sustainable payout ratio.
- ADC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP177.18%
EPS Next 2Y8.55%
EPS Next 3Y7.22%
81.92
+0.79 (+0.97%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)02-10 2026-02-10/amc
Earnings (Next)04-20 2026-04-20/amc
Inst Owners113.74%
Inst Owner Change2%
Ins Owners1.28%
Ins Owner Change4.53%
Market Cap9.42B
Revenue(TTM)718.40M
Net Income(TTM)196.46M
Analysts78.33
Price Target83.49 (1.92%)
Short Float %11.51%
Short Ratio9.61
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.94% |
Yearly Dividend3.06
Dividend Growth(5Y)6.85%
DP177.18%
Div Incr Years12
Div Non Decr Years13
Ex-Date02-27 2026-02-27 (0.262)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.61%
Min EPS beat(2)-1.81%
Max EPS beat(2)-1.41%
EPS beat(4)0
Avg EPS beat(4)-2.68%
Min EPS beat(4)-5.91%
Max EPS beat(4)-1.41%
EPS beat(8)2
Avg EPS beat(8)0.13%
EPS beat(12)2
Avg EPS beat(12)-2.6%
EPS beat(16)5
Avg EPS beat(16)-1.25%
Revenue beat(2)2
Avg Revenue beat(2)1.83%
Min Revenue beat(2)1.67%
Max Revenue beat(2)1.98%
Revenue beat(4)4
Avg Revenue beat(4)1.87%
Min Revenue beat(4)1.63%
Max Revenue beat(4)2.2%
Revenue beat(8)8
Avg Revenue beat(8)1.72%
Revenue beat(12)12
Avg Revenue beat(12)1.87%
Revenue beat(16)15
Avg Revenue beat(16)1.55%
PT rev (1m)-0.28%
PT rev (3m)-0.43%
EPS NQ rev (1m)2.74%
EPS NQ rev (3m)3.86%
EPS NY rev (1m)-1.72%
EPS NY rev (3m)0.87%
Revenue NQ rev (1m)1.19%
Revenue NQ rev (3m)1.09%
Revenue NY rev (1m)0.72%
Revenue NY rev (3m)2.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.28 | ||
| Fwd PE | 40.92 | ||
| P/S | 13.11 | ||
| P/FCF | N/A | ||
| P/OCF | 18.68 | ||
| P/B | 1.5 | ||
| P/tB | 1.79 | ||
| EV/EBITDA | 21.5 |
EPS(TTM)1.77
EY2.16%
EPS(NY)2
Fwd EY2.44%
FCF(TTM)-9.39
FCFYN/A
OCF(TTM)4.39
OCFY5.35%
SpS6.25
BVpS54.56
TBVpS45.85
PEG (NY)3.53
PEG (5Y)135.14
Graham Number46.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.01% | ||
| ROE | 3.13% | ||
| ROCE | 3.6% | ||
| ROIC | 2.85% | ||
| ROICexc | 2.85% | ||
| ROICexgc | 3.19% | ||
| OM | 48.29% | ||
| PM (TTM) | 27.35% | ||
| GM | 88.03% | ||
| FCFM | N/A |
ROA(3y)2.08%
ROA(5y)2.13%
ROE(3y)3.18%
ROE(5y)3.23%
ROIC(3y)2.78%
ROIC(5y)2.72%
ROICexc(3y)2.79%
ROICexc(5y)2.73%
ROICexgc(3y)3.13%
ROICexgc(5y)3.1%
ROCE(3y)3.52%
ROCE(5y)3.45%
ROICexgc growth 3Y2.95%
ROICexgc growth 5Y0.55%
ROICexc growth 3Y3.59%
ROICexc growth 5Y1.06%
OM growth 3Y-0.99%
OM growth 5Y-1.46%
PM growth 3Y-6.67%
PM growth 5Y-5.69%
GM growth 3Y-0.08%
GM growth 5Y0.07%
F-Score5
Asset Turnover0.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.63 | ||
| Cap/Depr | 661.71% | ||
| Cap/Sales | 220.43% | ||
| Interest Coverage | 2.69 | ||
| Cash Conversion | 86% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 1.68 |
F-Score5
WACC7.39%
ROIC/WACC0.39
Cap/Depr(3y)621.59%
Cap/Depr(5y)922.9%
Cap/Sales(3y)206.17%
Cap/Sales(5y)285.97%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-2.75%
EPS 3Y-1.11%
EPS 5Y0.34%
EPS Q2Q%14.63%
EPS Next Y13.1%
EPS Next 2Y8.55%
EPS Next 3Y7.22%
EPS Next 5Y5.31%
Revenue 1Y (TTM)16.42%
Revenue growth 3Y18.68%
Revenue growth 5Y23.64%
Sales Q2Q%18.51%
Revenue Next Year11.99%
Revenue Next 2Y11.07%
Revenue Next 3Y15.59%
Revenue Next 5Y14.88%
EBIT growth 1Y16.39%
EBIT growth 3Y17.51%
EBIT growth 5Y21.84%
EBIT Next Year120.2%
EBIT Next 3Y43.41%
EBIT Next 5YN/A
FCF growth 1Y-97.92%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y16.71%
OCF growth 3Y11.66%
OCF growth 5Y28.66%
AGREE REALTY CORP / ADC FAQ
Can you provide the ChartMill fundamental rating for AGREE REALTY CORP?
ChartMill assigns a fundamental rating of 4 / 10 to ADC.
What is the valuation status for ADC stock?
ChartMill assigns a valuation rating of 1 / 10 to AGREE REALTY CORP (ADC). This can be considered as Overvalued.
What is the profitability of ADC stock?
AGREE REALTY CORP (ADC) has a profitability rating of 7 / 10.
What is the valuation of AGREE REALTY CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for AGREE REALTY CORP (ADC) is 46.28 and the Price/Book (PB) ratio is 1.5.
Can you provide the dividend sustainability for ADC stock?
The dividend rating of AGREE REALTY CORP (ADC) is 5 / 10 and the dividend payout ratio is 177.18%.