Federal Realty Investment Trust (FRT) is overvalued and NNN REIT Inc (NNN) is overvalued.
Both trade above our estimate of their intrinsic value. NNN is the closer of the two: -24%, against -84% for FRT.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 8.2% (average of 3 methods) values the shares at $59.98; the price of $110.46 is 84% above that value, and 79% of that value comes from beyond year five.
Leak Score 14/100 on 3 of 12 signals
Discounting its cash flows at 7.7% (average of 3 methods) values the shares at $33.43; the price of $41.60 is 24% above that value, and 81% of that value comes from beyond year five.
Leak Score 0/100 on 2 of 12 signals
| Metric | FRT | NNN |
|---|---|---|
| Verdict | Overvalued | Overvalued |
| Price | $110.46 | $41.60 |
| Intrinsic value | $59.98 | $33.43 |
| Margin of safety | -84% | -24% |
| Leak Score | 14/100 (3/12) | 0/100 (2/12) |
| Market cap | $9.7B | $8.0B |
| Revenue growth, 5 years | 9.6% | 7.0% |
| Operating margin | 34.5% | 61.4% |
| Net margin | 31.9% | 40.3% |
| Return on equity | 13.1% | 8.7% |
| Debt to equity | 1.44 | 1.12 |
| P/E | 22.3x | 20.5x |
| Forward P/E | 34.2x | 19.7x |
| P/B | 3.0x | 1.8x |
| Dividend yield | 4.1% | 5.9% |