Netstreit Q2 net income per share up 50%, co lifts FY AFFO guidance

Overview

• US net lease REIT's Q2 net income per share rose 50% yr/yr to $0.06

• Q2 AFFO per share grew 6.1% yr/yr to $0.35

• Company raised 2026 AFFO per share and net investment guidance

Outlook

• Netstreit raises 2026 AFFO per share guidance to $1.37-$1.39 from $1.36-$1.39

• Netstreit lifts 2026 net investment activity guidance to $700 mln-$800 mln from $550 mln-$650 mln

• Company expects 2026 cash GA expenses of $16.5 mln-$17.0 mln, excluding transaction costs and severance

Result Drivers

• INVESTMENT ACTIVITY - Co completed $298.9 mln in gross investments at a 7.4% blended cash yield in Q2

• PORTFOLIO OCCUPANCY - 100% occupied portfolio produced stable and growing cash flows, per CEO Mark Manheimer

• FORWARD EQUITY SALES - Additional $184.4 mln in forward equity sales during the quarter strengthened balance sheet

Company press release: ID:nBw2ntjDha

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 16 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the commercial reits peer group is "buy"

• Wall Street's median 12-month price target for Netstreit Corp is $23.00, about 4.9% above its July 21 closing price of $21.92

• The stock recently traded at 61 times the next 12-month earnings vs. a P/E of 57 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)