AGREE REALTY CORP (ADC) Stock Fundamental Analysis
NYSE:ADC • US0084921008
79.17 USD
+1.09 (+1.4%)
At close: Feb 17, 2026
79.17 USD
0 (0%)
After Hours: 2/17/2026, 5:28:18 PM
ADC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 123 industry peers in the Diversified REITs industry. ADC scores excellent on profitability, but there are concerns on its financial health. ADC is valied quite expensively at the moment, while 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.
- In the past 5 years ADC always reported a positive cash flow from operatings.
1.2 Ratios
- With a decent Return On Assets value of 2.01%, ADC is doing good in the industry, outperforming 63.41% of the companies in the same industry.
- ADC has a Return On Equity (3.13%) which is comparable to the rest of the industry.
- ADC's Return On Invested Capital of 2.85% is in line compared to the rest of the industry. ADC outperforms 52.03% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for ADC is in line with the industry average of 3.06%.
- The 3 year average ROIC (2.78%) for ADC is below the current ROIC(2.85%), indicating increased profibility in the last year.
| 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
- Looking at the Profit Margin, with a value of 27.35%, ADC is in the better half of the industry, outperforming 79.67% of the companies in the same industry.
- In the last couple of years the Profit Margin of ADC has declined.
- With an excellent Operating Margin value of 48.29%, ADC belongs to the best of the industry, outperforming 90.24% of the companies in the same industry.
- ADC's Operating Margin has been stable in the last couple of years.
- ADC's Gross Margin of 88.03% is amongst the best of the industry. ADC outperforms 89.43% of its industry peers.
- In the last couple of years the Gross Margin of ADC has remained more or less at the same level.
| 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
- ADC has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- ADC has more shares outstanding than it did 1 year ago.
- The number of shares outstanding for ADC has been increased compared to 5 years ago.
- Compared to 1 year ago, ADC has a worse debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 1.62, we must say that ADC is in the distress zone and has some risk of bankruptcy.
- With an excellent Altman-Z score value of 1.62, ADC belongs to the best of the industry, outperforming 90.24% of the companies in the same industry.
- ADC has a Debt/Equity ratio of 0.53. This is a neutral value indicating ADC is somewhat dependend on debt financing.
- The Debt to Equity ratio of ADC (0.53) is better than 86.99% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.62 |
ROIC/WACC0.39
WACC7.34%
2.3 Liquidity
- A Current Ratio of 0.82 indicates that ADC may have some problems paying its short term obligations.
- ADC has a Current ratio (0.82) which is in line with its industry peers.
- A Quick Ratio of 0.82 indicates that ADC may have some problems paying its short term obligations.
- With a Quick ratio value of 0.82, ADC perfoms like the industry average, outperforming 44.72% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
- ADC shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.75%.
- The Earnings Per Share has been growing slightly by 0.34% on average over the past years.
- 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
- ADC is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.31% yearly.
- Based on estimates for the next years, ADC will show a quite strong growth in Revenue. The Revenue will grow by 14.88% on average per year.
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
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 44.73, the valuation of ADC can be described as expensive.
- The rest of the industry has a similar Price/Earnings ratio as ADC.
- Compared to an average S&P500 Price/Earnings ratio of 27.16, ADC is valued quite expensively.
- With a Price/Forward Earnings ratio of 39.55, ADC can be considered very expensive at the moment.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of ADC indicates a somewhat cheap valuation: ADC is cheaper than 69.11% of the companies listed in the same industry.
- When comparing the Price/Forward Earnings ratio of ADC to the average of the S&P500 Index (28.10), we can say ADC is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 44.73 | ||
| Fwd PE | 39.55 |
4.2 Price Multiples
- ADC's Enterprise Value to EBITDA ratio is rather expensive when compared to the industry. ADC is more expensive than 82.93% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 20.91 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ADC does not grow enough to justify the current Price/Earnings ratio.
- ADC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)3.42
PEG (5Y)130.61
EPS Next 2Y8.55%
EPS Next 3Y7.22%
5. Dividend
5.1 Amount
- ADC has a Yearly Dividend Yield of 4.03%, which is a nice return.
- ADC's Dividend Yield is slightly below the industry average, which is at 6.84.
- Compared to an average S&P500 Dividend Yield of 1.82, ADC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.03% |
5.2 History
- On average, the dividend of ADC grows each year by 6.85%, which is quite nice.
- ADC has been paying a dividend for at least 10 years, so it has a reliable track record.
- ADC has not decreased their dividend for at least 10 years, which is a reliable track record.
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%
79.17
+1.09 (+1.4%)
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 Change0.83%
Ins Owners1.28%
Ins Owner Change1.94%
Market Cap9.10B
Revenue(TTM)718.40M
Net Income(TTM)196.46M
Analysts78.33
Price Target83.07 (4.93%)
Short Float %4.77%
Short Ratio4.01
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.03% |
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)-1.05%
PT rev (3m)-0.94%
EPS NQ rev (1m)-0.63%
EPS NQ rev (3m)0.96%
EPS NY rev (1m)0.36%
EPS NY rev (3m)0.2%
Revenue NQ rev (1m)0.06%
Revenue NQ rev (3m)0.14%
Revenue NY rev (1m)0.68%
Revenue NY rev (3m)1.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 44.73 | ||
| Fwd PE | 39.55 | ||
| P/S | 12.67 | ||
| P/FCF | N/A | ||
| P/OCF | 18.05 | ||
| P/B | 1.45 | ||
| P/tB | 1.73 | ||
| EV/EBITDA | 20.91 |
EPS(TTM)1.77
EY2.24%
EPS(NY)2
Fwd EY2.53%
FCF(TTM)-9.39
FCFYN/A
OCF(TTM)4.39
OCFY5.54%
SpS6.25
BVpS54.56
TBVpS45.85
PEG (NY)3.42
PEG (5Y)130.61
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 | 1.62 |
F-Score5
WACC7.34%
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 Year116.97%
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 44.73 and the Price/Book (PB) ratio is 1.45.
Can you provide the dividend sustainability for ADC stock?
The dividend rating of AGREE REALTY CORP (ADC) is 6 / 10 and the dividend payout ratio is 177.18%.