Notable Stock to Watch: Acadia Realty Trust (NYSE: AKR)

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On 13 March 2020, Acadia Realty Trust (NYSE: AKR) spotted trading -35.06% off 52-week high price. On the other end, the stock has been noted 2.46% away from the low price over the last 52-weeks. The stock changed 2.35% to recent value of $19.19. The stock transacted 2300931 shares during most recent day however it has an average volume of 613.11K shares. The company has 83.01M of outstanding shares and 76.64M shares were floated in the market.

Acadia Realty Trust (AKR) recently stated operating results for the quarter and year ended December 31, 2019. All per share amounts are on a fully-diluted basis.

Fourth Quarter and Full Year 2019 Highlights

Earnings: In line with expectations, achieved GAAP earnings per share of $0.24 and FFO per share of $0.32 for the fourth quarter and $0.62 and $1.41 for the full year, respectively

Core Portfolio Operating Results: Not Including redevelopments, generated same-property NOI growth of 3.9% for the full year and 3.1% for the fourth quarter, driven by the strength of its street and urban portfolio

Investment Activity: During 2019 and year to date 2020, the Company completed in excess of $560.0M of accretive external investments between its Core and Fund platforms as follows:

Core Acquisition Activity: During 2019 and year to date 2020, the Company completed $190.6M of core acquisitions including $92.7M closed during the fourth quarter as it continued to execute on its strategy of building scale in Soho, New York and on West Armitage Avenue in Chicago together with its before reported investment on Melrose Place in Los Angeles, California

Fund Acquisition Activity: During 2019 and year to date 2020, the Company completed $318.0M of Fund V investments

Core Structured Finance Activity: In January 2020, the Company completed a $54.0M structured finance loan on a mixed-use redevelopment in Sunset Park Brooklyn, New York

Core and Fund Disposition Activity: During the fourth quarter, the Company completed a suburban disposition for $22.6M. In addition, Funds III and IV completed $102.0M of dispositions during 2019

Balance Sheet: Maintained conservative leverage levels by match-funding its core acquisitions; raised gross proceeds of $147.7M through the Company’s at-the-market (“ATM”) program. At December 31, 2019, substantially all of the Core Portfolio debt was fixed at an average rate of 3.7%

Guidance: The Company is setting its initial 2020 guidance ranges as follows: earnings per share of $0.25 to $0.39, FFO per share of $1.32 to $1.46 and same property NOI growth of 1.5% to 2.5%, not including redevelopment

“Our solid fourth quarter and full year 2019 operating results reflect the continued strength of our Core Portfolio and the accretive impact of our recent investments. Notwithstanding the continually evolving landscape of retailing and retail real estate, we are seeing with increased clarity how a growing variety of retailers are successfully embracing the physical store in new and exciting ways. Acadia continues to own the right properties in the right markets to best capture the growth from these forward-thinking retailers,” stated Kenneth F. Bernstein, President and CEO of Acadia Realty Trust. “Taken together with our consistently healthy low-leveraged balance sheet, we are on track to achieve our near-term growth goals and deliver attractive investment returns for all of our stakeholders.”

Net Income

Net income attributable to ordinary shareholders for the quarter ended December 31, 2019 was $21.3M, or $0.24 per share, inclusive of $16.6M on a pro rata basis, or $0.19 per share attributable to an aggregate gain on dispositions of Core and Fund properties. Net income attributable to ordinary shareholders for the quarter ended December 31, 2018 was $7.1M, or $0.09 per share.

Net income attributable to ordinary shareholders for the year ended December 31, 2019 was $53.0M, or $0.62 per share, inclusive of (i) $7.5M, or $0.09 per share, related to a before-reported accelerated tenant recapture and (ii) $19.8M on a pro rata basis attributable to an aggregate gain on dispositions of Core and Fund properties, or $0.23 per share. Net income attributable to ordinary shareholders for the year ended December 31, 2018 was $31.4M, or $0.38 per share inclusive of a $1.0M gain on dispositions, or $0.01 per share.

Its earnings per share (EPS) expected to touch remained 64.10% for this year while earning per share for the next 5-years is expected to reach at 3.00%. AKR has a gross margin of 69.40% and an operating margin of 24.60% while its profit margin remained 17.80% for the last 12 months.   The price moved ahead of -19.06% from the mean of 20 days, -22.39% from mean of 50 days SMA and performed -28.77% from mean of 200 days price. Company’s performance for the week was -17.57%, -22.53% for month and YTD performance remained -25.99%.