Stock market today: S&P 500 drops for fifth day as focus shifts to Powell’s speech
Investing.com - Jefferies has lowered its price target on National Retail Properties (NYSE:NNN) to $44.00 from $45.00 while maintaining a Hold rating on the stock. The new target sits between the current analyst range of $42.00 to $48.25, with the stock currently trading at $40.68. According to InvestingPro data, the company maintains a healthy 95.91% gross profit margin and offers a 5.9% dividend yield.
The firm noted that National Retail Properties has successfully resolved 54% of its Badcock assets with recovery exceeding 100%. Of the company’s 64 Frisch’s assets, 28 have been released to corporate Big Boy. The company’s strong financial position is reflected in its 35-year streak of consecutive dividend increases, as highlighted by InvestingPro analysis.
Jefferies pointed out that slower performance has prompted a reassessment for the remaining Frisch’s properties. The resolution process for these assets may extend into 2026, though asset sales could potentially accelerate timelines.
The research firm highlighted that National Retail Properties has raised its disposition guidance by $35 million and real estate expenses by $2 million. Lease term fees have increased more year-to-date, creating what Jefferies describes as "a higher bar for FY26."
Despite these developments, Jefferies maintained its Hold rating on National Retail Properties stock, indicating a neutral stance on the company’s near-term prospects.
In other recent news, NNN REIT Inc. reported its second-quarter 2025 earnings, which surpassed analyst expectations. The company achieved an earnings per share of $0.54, exceeding the forecasted $0.49, representing a 10.2% surprise. Revenue also outperformed projections, reaching $226.8 million compared to the anticipated $223.57 million. Additionally, NNN REIT disclosed changes to federal income tax considerations affecting its shareholders. Recent legislation has permanently extended the ability for non-corporate shareholders to deduct 20% of the aggregate amount of ordinary dividends distributed by the company. This change removes the previously scheduled expiration of this deduction at the end of 2025. These developments highlight significant financial and regulatory updates for NNN REIT and its investors.
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