On Friday, Goldman Sachs reiterated a Neutral rating on shares of Tanger Factory (NYSE:SKT) Outlet Centers (NYSE:SKT), with a steady price target of $30.00. The firm's stance comes after the company's first-quarter 2024 earnings release, focusing on several key aspects of the business discussed during the earnings call.
The earnings call highlighted Tanger Factory Outlet's leasing pipeline, efforts in tenant rightsizing and retenanting, strategies for utilizing peripheral land, and potential acquisitions. Goldman Sachs updated its model for the company, projecting a 4.3% growth in Funds From Operations (FFO) from 2024 through 2026. This growth forecast is primarily based on robust leasing volumes and pricing, supported by a more varied tenant mix.
The firm acknowledges the potential for upside in Tanger Factory Outlet's stock, noting that accretive acquisitions could provide additional benefits to the company's growth trajectory. The updated model reflects these considerations, factoring in the positive impact that strategic acquisitions could have on the company's financial performance.
Tanger Factory Outlet Centers, a real estate investment trust, specializes in operating outlet shopping centers across the United States. The company's focus on leasing and retenanting is part of its strategy to adapt to the evolving retail landscape and consumer preferences.
The unchanged price target of $30.00 suggests that Goldman Sachs believes the stock is fairly valued at its current level, considering the projected growth and potential benefits from acquisitions. The Neutral rating indicates that the firm does not see significant catalysts that could either greatly enhance or detract from the company's current market valuation in the near term.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.