Essential Properties Realty TrustNYSE: EPRT

Essential Properties Realty Trust has a highly effective investment strategy, which translates into top-tier business metrics, incl. high occupancy rate, outstanding WALT, and impressive rent escalators. It has outperformed other triple-net lease REITs in terms of AFFO per share growth and has provided decent dividend growth. The company remains an attractive addition to a portfolio with a clear value proposition and potential for multiple appreciation.

Essential Properties Realty Trust is a high-quality net lease REIT that has outperformed the broader sector with a highly occupied portfolio. EPRT owns a diverse portfolio of nearly 2,000 single tenant retail properties on long-term triple net leases. We explore two reasons why this REIT could continue to outperform peers.

PRINCETON, N.J.--(BUSINESS WIRE)--Essential Properties Realty Trust, Inc. (NYSE: EPRT; the “Company”) announced today that its Board of Directors declared a quarterly cash dividend of $0.29 per share of common stock for the second quarter of 2024. On an annualized basis the second quarter 2024 dividend of $0.29 equals $1.16 per share, an increase of $0.02 per share compared to the previous annualized dividend. The dividend is payable on July 12, 2024, to stockholders of record as of the close o.

Quantitative investment analysis involves using computer processing power to analyze thousands of stocks and identify strong investment opportunities. Sector diversification is important to minimize risk and maximize returns, as different sectors perform differently in various market cycles.

Sale-leasebacks (SLBs) are becoming increasingly popular in the commercial real estate sector, with potential opportunities exceeding $1.6 trillion for S&P 500 companies. These transactions involve selling a property and then renting it back from the buyer, allowing for expansion without the need for costly loans. Essential Properties Realty Trust (EPRT) is a prominent player in the SLB market, emphasizing essential industries and providing appealing growth prospects and dividends.

Essential Properties Realty Trust has a low P/FFO ratio, promising growth prospects, and a cautious AFFO payout ratio. Since writing my positive analysis on EPRT in September 2023, I have been steadily buying shares of this REIT to diversify my holdings in Realty Income Corporation. I analyze the key points of the 1Q24 report and discuss why I remain optimistic about EPRT, especially after it outperformed the overall REIT market by approximately 13%.

Although the financial results of Essential Properties (EPRT) for the quarter ending in March 2024 provide an overview of the company's performance, it may be beneficial to analyze how certain important metrics measure up against analyst expectations and previous year's figures.

Essential Properties reported quarterly funds from operations (FFO) of $0.42 per share, slightly below the Zacks Consensus Estimate of $0.43 per share. This is an increase from FFO of $0.40 per share in the same quarter last year.

The Zacks REIT and Equity Trust - Retail industry stocks EPRT and SKT are in focus amid limited supply and an emphasis on omnichannel retailing, adaptability and essential retail tenants.