Phillips Edison & Company (PECO) AI Stock Analysis

• Market Cap: $4.71B
• Dividend Yield: 3.65%
• Average Volume (3M): 904.62K
• Price to Earnings (P/E): 55.8
• Beta (1Y): 0.36
• Revenue Growth: 10.58%
• EPS Growth: 37.97%
• Country: US
• Employees: 300
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Retail
• EPS (TTM): 0.20
• Shares Outstanding: 125,800,000
• 10 Day Avg. Volume: 748,194
• 30 Day Avg. Volume: 904,621
• PEG Ratio: 11.77
• Price to Book (P/B): 1.99
• Price to Sales (P/S): 6.97
• P/FCF Ratio: 19.24
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $38.75
• Price Target Upside: 12.71% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 8
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: $38.00 ▲(10.53% Upside)

Phillips Edison & Company scores well due to strong financial performance and a positive earnings call, highlighting increased guidance and robust leasing metrics. However, the high P/E ratio and concerns about slower NOI growth and potential interest rate impacts moderate the overall score.

Positive Factors

Strong Revenue Growth

The company's robust revenue growth indicates effective market positioning and demand for its grocery-anchored shopping centers, supporting long-term financial stability.

High Occupancy Rates

High occupancy rates reflect strong demand for PECO's retail spaces, ensuring steady rental income and enhancing financial predictability.

Low Leverage

Low leverage enhances PECO's financial stability, providing flexibility for future investments and reducing risk in volatile market conditions.

Negative Factors

Decline in Free Cash Flow

A decline in free cash flow may limit PECO's ability to reinvest in growth opportunities or manage unexpected expenses, potentially affecting long-term growth.

Increased G&A Expenses

Rising G&A expenses could pressure profit margins, necessitating increased revenue to maintain profitability, impacting long-term financial health.

Potential Interest Rate Exposure

Exposure to rising interest rates may increase borrowing costs, affecting cash flow and profitability, posing a risk to financial performance.

Phillips Edison & Company Business Overview & Revenue Model

Company Description

Phillips Edison & Company (PECO) is a leading real estate investment trust (REIT) that specializes in the ownership and management of grocery-anchored shopping centers across the United States. The company focuses on retail properties that are strategically located in densely populated areas, providing essential goods and services. PECO's core offerings include property leasing, asset management, and strategic development, catering to both national and local retailers.

How the Company Makes Money

Phillips Edison & Company generates revenue primarily through the leasing of retail spaces within its grocery-anchored shopping centers. The company earns rental income from long-term leases with tenants, which often include supermarkets, drugstores, and various service-oriented retailers. Additionally, PECO benefits from percentage rents, where tenants pay a portion of their sales as rent, especially during high-performing periods. Other revenue streams include property management fees and income generated from the sale of non-core assets. The company's strong relationships with national retailers and its focus on high-traffic locations contribute to its financial stability and growth. Furthermore, strategic partnerships and joint ventures can enhance its portfolio and expand its reach in the retail market.

Phillips Edison & Company Financial Statement Overview

Summary

Phillips Edison & Company exhibits solid financial health with consistent revenue growth, strong profitability margins, and effective cash flow management. The balance sheet shows a moderate level of leverage, but the company maintains a stable capital structure. There is room for improvement in net profit margins and return on equity.

Income Statement

Phillips Edison & Company shows a consistent revenue growth trajectory, with a TTM revenue growth rate of 2.31%. The company maintains strong profitability metrics, including a gross profit margin of 71.26% and an EBITDA margin of 64.39% for the TTM. However, the net profit margin is relatively modest at 9.91%, indicating room for improvement in net income efficiency.

Balance Sheet

The company's balance sheet reflects a moderate debt-to-equity ratio of 1.10, suggesting a balanced approach to leveraging. Return on equity is modest at 3.00%, indicating potential for improved profitability. The equity ratio stands at 43.45%, reflecting a stable capital structure.

Cash Flow

Phillips Edison & Company demonstrates strong cash flow management, with a significant free cash flow growth rate of 93.90% in the TTM. The operating cash flow to net income ratio is robust at 14.02, indicating efficient cash generation relative to net income. The free cash flow to net income ratio of 64.68% further underscores strong cash flow performance.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	823.60M	661.39M	610.12M	575.37M	532.85M	498.02M
Gross Profit	618.60M	471.07M	435.00M	412.15M	374.55M	343.51M
EBITDA	414.72M	410.97M	380.33M	355.62M	322.15M	298.95M
Net Income	86.17M	62.69M	56.85M	48.32M	15.12M	4.77M
Balance Sheet
Total Assets	6.86B	5.05B	4.87B	4.74B	4.67B	4.68B
Cash, Cash Equivalents and Short-Term Investments	4.08M	12.30M	4.87M	5.48M	115.53M	104.30M
Total Debt	117.32M	2.23B	2.08B	2.01B	2.00B	2.39B
Total Liabilities	2.68B	2.41B	2.21B	2.14B	2.19B	2.66B
Stockholders Equity	2.28B	2.32B	2.31B	2.24B	2.15B	1.69B
Cash Flow
Free Cash Flow	200.93M	239.63M	195.71M	186.40M	187.87M	146.61M
Operating Cash Flow	336.09M	334.71M	290.97M	290.89M	262.90M	210.58M
Investing Cash Flow	-508.63M	-392.94M	-353.39M	-331.25M	-180.49M	-44.09M
Financing Cash Flow	169.02M	58.01M	53.95M	-57.83M	-98.82M	-129.66M

Phillips Edison & Company Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 34.38
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PECO, the sentiment is Negative. The current price of 34.38 is above the 20-day moving average (MA) of 34.07, below the 50-day MA of 34.47, and below the 200-day MA of 34.67, indicating a bearish trend. The MACD of -0.05 indicates Positive momentum. The RSI at 47.61 is Neutral, neither overbought nor oversold. The STOCH value of 32.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PECO.

Phillips Edison & Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ADC	79 Outperform	$8.31B	42.32	3.47%	4.23%	14.67%	-5.17%
NNN	73 Outperform	$7.52B	18.93	9.18%	5.93%	4.82%	-5.18%
BRX	73 Outperform	$8.07B	24.41	11.36%	4.09%	6.07%	-0.28%
PECO	72 Outperform	$4.71B	55.78	3.62%	3.65%	10.58%	37.97%
KRG	69 Neutral	$4.78B	34.77	4.71%	4.85%	3.67%	―
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
MAC	52 Neutral	$4.67B	―	-19.00%	4.02%	4.53%	40.88%

Phillips Edison & Company Corporate Events

Phillips Edison & Co. Earnings Call Highlights Growth and Challenges

Phillips Edison & Company, Inc. (PECO) recently held its earnings call, presenting a generally positive outlook. The company showcased increased guidance, strong leasing metrics, and a robust financial position. However, some concerns were raised regarding slower same-center NOI growth, higher G&A expenses, and potential impacts from changing interest rates.

Phillips Edison & Co. Reports Strong Q3 Results

On October 23, 2025, Phillips Edison & Company announced its third quarter results for the period ending September 30, 2025, reporting a net income of $24.7 million, or $0.20 per diluted share. The company also increased its full-year earnings guidance, reflecting a strong demand for grocery-anchored shopping centers. The company reported a 6.8% year-over-year growth in Nareit FFO and a 6.6% growth in Core FFO, with a strong leased portfolio occupancy of 97.6%. The company executed leases with record-high rent spreads and continued its acquisition strategy, acquiring $21.9 million in assets during the quarter and $74.2 million in assets subsequent to the quarter end.

The most recent analyst rating on (PECO) stock is a Hold with a $36.00 price target. To see the full list of analyst forecasts on Phillips Edison & Company stock, see the PECO Stock Forecast page.

Phillips Edison & Company Increases Monthly Dividends

On September 2, 2025, Phillips Edison & Company announced a 5.7% increase in its monthly dividend distributions for October and November 2025, reflecting the company’s continued strong operating performance and cash flow growth. This marks the fifth consecutive annual increase in dividend distributions, highlighting PECO’s ability to deliver solid growth and create long-term value for shareholders.

The most recent analyst rating on (PECO) stock is a Hold with a $36.00 price target. To see the full list of analyst forecasts on Phillips Edison & Company stock, see the PECO Stock Forecast page.

Phillips Edison Announces August 2025 Dividend Distribution

On August 5, 2025, Phillips Edison & Company announced that its Board of Directors approved a monthly dividend distribution of $0.1025 per share for August 2025, payable on September 3, 2025, to stockholders of record as of August 15, 2025. This announcement reflects the company’s ongoing commitment to providing returns to its shareholders and maintaining its position as a leading player in the grocery-anchored shopping center industry.

The most recent analyst rating on (PECO) stock is a Hold with a $38.00 price target. To see the full list of analyst forecasts on Phillips Edison & Company stock, see the PECO Stock Forecast page.