Raymond James analyst RJ Milligan raised the firm's price target on Federal Realty to $135 from $116 and keeps an Outperform rating on the shares. The shopping center REIT sector is outperforming broader REITs due to strong leasing activity and spreads, resilient tenant performance, improving institutional demand that is compressing cap rates, attractive relative valuations, and continued earnings visibility supported by signed-not-open pipelines and limited new supply alongside strong retailer demand for space, the analyst tells investors in a research note.
