NETSTREIT Corp. (NTST) Q3 2025 Earnings Call Transcript
Net Income $621,000 or $0.01 per diluted share for the third quarter of 2025.
Core FFO $26.4 million or $0.31 per diluted share for the third quarter of 2025.
AFFO $28 million or $0.33 per diluted share for the third quarter of 2025, which represents an increase of 3.1% year-over-year.
Total Recurring G&A $5.1 million for the third quarter of 2025, increased year-over-year due to normalized staffing levels after restructuring roles last year. However, it represents 10.6% of total revenues this quarter compared to 11.1% quarterly average last year.
Investment Activity $203.9 million of investments across 50 properties at a blended cash yield of 7.4% for the third quarter of 2025.
Disposition Activity $37.8 million from selling 24 properties at a 7.2% cap rate for the third quarter of 2025.
Portfolio Occupancy Rate 99.9% for the third quarter of 2025, with no material tenant disruptions.
Adjusted Net Debt $623.5 million as of the third quarter of 2025.
Weighted Average Debt Maturity 4.2 years as of the third quarter of 2025.
Weighted Average Interest Rate 4.45% as of the third quarter of 2025.
Total Liquidity Over $1.1 billion at the end of the third quarter of 2025, including $53 million of cash on hand, $500 million available on revolving credit facility, $431 million of unsettled forward equity, and $150 million of undrawn term loan capacity.
Pro Forma Adjusted Net Debt to Annualized Adjusted EBITDAre 3.6x at the end of the third quarter of 2025, well below the targeted range of 4.5 to 5.5x.
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NETSTREIT Corp. Receives BBB- Rating from Fitch, Reflecting Strong Operational Performance
- Rating Upgrade: Fitch has assigned NETSTREIT a BBB- issuer rating, reflecting the company's strong operational performance with over 99% occupancy during the pandemic, which enhances investor confidence and validates its solid property portfolio.
- Financial Flexibility: This rating allows NETSTREIT to achieve substantial interest expense savings across its revolving credit and term loan facilities, not only improving the company's financial flexibility but also providing a more efficient pathway for accessing capital markets in the future.
- Management Team Strength: Led by seasoned commercial real estate executives, NETSTREIT's strategy focuses on acquiring single-tenant net lease retail properties, ensuring competitiveness in high-quality asset portfolios and generating consistent cash flows and dividends for investors.
- Long-term Growth Potential: The attainment of an investment-grade rating underscores the company's commitment to conservatively managing its balance sheet and maintaining a low leverage profile, which is expected to attract more institutional investors and further drive long-term growth potential.
NTST Surpasses 5% Yield Threshold
Dividend Predictability: Dividend amounts are generally unpredictable and fluctuate based on a company's profitability.
NetSTREIT Corp Analysis: Analyzing the historical dividend chart for NetSTREIT Corp (NTST) can provide insights into the likelihood of maintaining a 5% annual yield.
Investment Opportunities: There is a mention of other dividend stocks that have recently become available for purchase.
Author's Perspective: The opinions expressed in the article are those of the author and do not necessarily represent Nasdaq, Inc.
Upcoming Ex-Dividend Dates for NBT Bancorp, NetSTREIT, and Virtu Financial
Upcoming Ex-Dividend Dates: NBT Bancorp. Inc., NetSTREIT Corp, and Virtu Financial Inc Class A will trade ex-dividend on 12/1/25, with respective dividends of $0.37, $0.215, and $0.24 payable on 12/15/25.
Expected Price Adjustments: Following the ex-dividend date, shares of NBT Bancorp. Inc. are expected to drop by 0.88%, NetSTREIT Corp by 1.18%, and Virtu Financial Inc Class A by 0.68%, based on their recent stock prices.
Dividend Yield Estimates: The estimated annualized yields for the companies are 3.51% for NBT Bancorp. Inc., 4.71% for NetSTREIT Corp, and 2.72% for Virtu Financial Inc Class A, indicating potential stability in their dividend payments.
Market Performance: As of the latest trading day, NBT Bancorp. Inc. shares are down 0.5%, while NetSTREIT Corp and Virtu Financial Inc Class A shares have increased by 0.4% and 1.8%, respectively.
Analysts Predict 12% Growth for RWR in the Future
ETF Analysis: The SPDR Dow Jones REIT ETF (RWR) has an implied analyst target price of $110.97, indicating a potential upside of 12.11% from its current trading price of $98.99.
Notable Holdings: Key underlying holdings with significant upside potential include Federal Realty Investment Trust (FRT), NNN REIT Inc (NNN), and NetSTREIT Corp (NTST), with expected price increases of 13.05%, 13.02%, and 12.51% respectively.
Market Sentiment: The analysis raises questions about whether analysts' target prices are justified or overly optimistic, suggesting the need for further investor research into recent company and industry developments.
Cautionary Note: A high target price relative to a stock's current price may indicate optimism but could also lead to potential downgrades if the targets are based on outdated information.
Analysts Raise Netstreit Forecasts After Q3 Results
Quarterly Performance: NetSTREIT Corp reported a third-quarter FFO of 33 cents per share, surpassing the analyst estimate of 32 cents, and sales of $48.308 million, exceeding the expected $46.223 million.
Future Guidance: The company affirmed its FY2025 FFO guidance of $1.29-$1.31, highlighting strong execution and a well-positioned portfolio for future growth.
Market Reaction: Despite the positive earnings report, NetSTREIT shares fell 3.4% to $18.88 on Tuesday.
Analyst Ratings: Analysts from Baird and Stifel maintained their ratings on NetSTREIT, both raising the price target from $20 to $21 following the earnings announcement.
Upcoming Earnings: Netstreit Corp (NTST) Announces Q3 2025 Results
Earnings Release and Estimates: Netstreit Corp (NYSE:NTST) is set to release its Q3 2025 earnings on October 27, with revenue expected at $46.22 million and earnings at $0.06 per share. Full year 2025 revenue is projected to be $186.14 million, with earnings of $0.20 per share.
Revenue and Earnings Adjustments: Over the past 90 days, revenue estimates for 2025 have increased, while earnings estimates have declined, indicating a mixed outlook for the company.
Recent Performance: In Q2 2025, Netstreit reported revenue of $48.29 million, exceeding expectations, but earnings of $0.04 per share fell short of analyst predictions, leading to a slight stock increase of 0.62%.
Analyst Recommendations and Price Targets: The average target price for NTST is $20.14, suggesting a potential upside of 4.40%, with a consensus recommendation of "Outperform" from brokerage firms.
NETSTREIT Corp. Receives BBB- Rating from Fitch, Reflecting Strong Operational Performance
- Rating Upgrade: Fitch has assigned NETSTREIT a BBB- issuer rating, reflecting the company's strong operational performance with over 99% occupancy during the pandemic, which enhances investor confidence and validates its solid property portfolio.
- Financial Flexibility: This rating allows NETSTREIT to achieve substantial interest expense savings across its revolving credit and term loan facilities, not only improving the company's financial flexibility but also providing a more efficient pathway for accessing capital markets in the future.
- Management Team Strength: Led by seasoned commercial real estate executives, NETSTREIT's strategy focuses on acquiring single-tenant net lease retail properties, ensuring competitiveness in high-quality asset portfolios and generating consistent cash flows and dividends for investors.
- Long-term Growth Potential: The attainment of an investment-grade rating underscores the company's commitment to conservatively managing its balance sheet and maintaining a low leverage profile, which is expected to attract more institutional investors and further drive long-term growth potential.
NTST Surpasses 5% Yield Threshold
Dividend Predictability: Dividend amounts are generally unpredictable and fluctuate based on a company's profitability.
NetSTREIT Corp Analysis: Analyzing the historical dividend chart for NetSTREIT Corp (NTST) can provide insights into the likelihood of maintaining a 5% annual yield.
Investment Opportunities: There is a mention of other dividend stocks that have recently become available for purchase.
Author's Perspective: The opinions expressed in the article are those of the author and do not necessarily represent Nasdaq, Inc.
Upcoming Ex-Dividend Dates for NBT Bancorp, NetSTREIT, and Virtu Financial
Upcoming Ex-Dividend Dates: NBT Bancorp. Inc., NetSTREIT Corp, and Virtu Financial Inc Class A will trade ex-dividend on 12/1/25, with respective dividends of $0.37, $0.215, and $0.24 payable on 12/15/25.
Expected Price Adjustments: Following the ex-dividend date, shares of NBT Bancorp. Inc. are expected to drop by 0.88%, NetSTREIT Corp by 1.18%, and Virtu Financial Inc Class A by 0.68%, based on their recent stock prices.
Dividend Yield Estimates: The estimated annualized yields for the companies are 3.51% for NBT Bancorp. Inc., 4.71% for NetSTREIT Corp, and 2.72% for Virtu Financial Inc Class A, indicating potential stability in their dividend payments.
Market Performance: As of the latest trading day, NBT Bancorp. Inc. shares are down 0.5%, while NetSTREIT Corp and Virtu Financial Inc Class A shares have increased by 0.4% and 1.8%, respectively.
Analysts Predict 12% Growth for RWR in the Future
ETF Analysis: The SPDR Dow Jones REIT ETF (RWR) has an implied analyst target price of $110.97, indicating a potential upside of 12.11% from its current trading price of $98.99.
Notable Holdings: Key underlying holdings with significant upside potential include Federal Realty Investment Trust (FRT), NNN REIT Inc (NNN), and NetSTREIT Corp (NTST), with expected price increases of 13.05%, 13.02%, and 12.51% respectively.
Market Sentiment: The analysis raises questions about whether analysts' target prices are justified or overly optimistic, suggesting the need for further investor research into recent company and industry developments.
Cautionary Note: A high target price relative to a stock's current price may indicate optimism but could also lead to potential downgrades if the targets are based on outdated information.
Analysts Raise Netstreit Forecasts After Q3 Results
Quarterly Performance: NetSTREIT Corp reported a third-quarter FFO of 33 cents per share, surpassing the analyst estimate of 32 cents, and sales of $48.308 million, exceeding the expected $46.223 million.
Future Guidance: The company affirmed its FY2025 FFO guidance of $1.29-$1.31, highlighting strong execution and a well-positioned portfolio for future growth.
Market Reaction: Despite the positive earnings report, NetSTREIT shares fell 3.4% to $18.88 on Tuesday.
Analyst Ratings: Analysts from Baird and Stifel maintained their ratings on NetSTREIT, both raising the price target from $20 to $21 following the earnings announcement.
Upcoming Earnings: Netstreit Corp (NTST) Announces Q3 2025 Results
Earnings Release and Estimates: Netstreit Corp (NYSE:NTST) is set to release its Q3 2025 earnings on October 27, with revenue expected at $46.22 million and earnings at $0.06 per share. Full year 2025 revenue is projected to be $186.14 million, with earnings of $0.20 per share.
Revenue and Earnings Adjustments: Over the past 90 days, revenue estimates for 2025 have increased, while earnings estimates have declined, indicating a mixed outlook for the company.
Recent Performance: In Q2 2025, Netstreit reported revenue of $48.29 million, exceeding expectations, but earnings of $0.04 per share fell short of analyst predictions, leading to a slight stock increase of 0.62%.
Analyst Recommendations and Price Targets: The average target price for NTST is $20.14, suggesting a potential upside of 4.40%, with a consensus recommendation of "Outperform" from brokerage firms.
