Sumitomo Mitsui Trust Group Inc. has reduced its stake in Getty Realty Corporation (NYSE: GTY) by 0.9% during the second quarter of 2023. According to a recent disclosure with the Securities and Exchange Commission, the institutional investor now holds 54,128 shares after selling 498 shares in the period. The value of Sumitomo Mitsui’s holdings in Getty Realty stood at approximately $1.496 million at the end of this quarter.
Several other institutional investors have also adjusted their stakes in Getty Realty. Notably, Vanguard Group Inc. increased its holdings by 0.5% during the first quarter, now owning 7,901,516 shares valued at $246.369 million after acquiring an additional 37,695 shares. Similarly, Kayne Anderson Rudnick Investment Management LLC raised its position by 1.1%, bringing its total to 3,770,092 shares valued at $117.551 million. CBRE Investment Management Listed Real Assets LLC made a significant adjustment, increasing its holdings by 33.8% to reach 911,168 shares valued at $28.410 million.
In total, institutional investors and hedge funds now own 85.11% of Getty Realty’s stock, reflecting strong market interest.
Analyst Ratings and Stock Performance
Recent analyst evaluations have varied, with three analysts rating Getty Realty as a “buy” and three others issuing a “hold” rating. According to MarketBeat.com, the stock currently holds an average rating of “Moderate Buy” with a target price of $31.80. Notably, Janney Montgomery Scott initiated coverage of Getty Realty, assigning a “buy” rating and a target price of $30.00. UBS Group recently raised its price objective for the stock from $28.00 to $30.00, maintaining a “neutral” rating.
As of Friday, shares of Getty Realty opened at $27.54. The company has a market capitalization of $1.59 billion, a price-to-earnings (P/E) ratio of 21.51, and a beta of 0.82. The stock has seen a one-year low of $25.39 and a high of $33.85.
On October 22, 2023, Getty Realty reported quarterly earnings, achieving earnings per share of $0.62 and surpassing analysts’ consensus estimates of $0.61 by $0.01. The company generated revenue of $55.59 million, exceeding expectations of $53.19 million. With a net margin of 34.76% and a return on equity of 7.60%, Getty Realty has set its fiscal year 2025 guidance at $2.420-$2.430 EPS.
Dividend Increase Announced
In addition to its financial results, Getty Realty has declared a quarterly dividend of $0.485 per share, scheduled for payment on January 8, 2024. Investors of record on December 26, 2023, will receive this dividend. This announcement marks an increase from the previous quarterly dividend of $0.47, representing an annualized dividend of $1.94 and a yield of 7.0%. The company’s current dividend payout ratio is approximately 146.88%.
As Getty Realty continues to attract institutional investment and adjust its dividend policy, stakeholders will be keen to observe how these changes impact its market performance in the coming months.
