Want to see TSE:SGR.UN full AI Analyst Report?
Top Page
Slate Grocery REIT
(TSX:SGR.UN)
Select Model
Select Model
Rating:73Outperform
Price Target:
C$19.50
â–²(20.67% Upside)
Action:Upgraded
Date:09/29/26
The score is driven primarily by solid operating performance and improving cash flow, tempered by elevated leverage on the balance sheet. Technicals support the case with a clear uptrend, while valuation is helped by a strong dividend yield. The latest earnings call adds support via strong leasing/rent spreads and a largely fixed-rate debt profile, partially offset by vacancy backfill and strategic-review uncertainty.
Positive Factors
Strong leasing spreads and same-property NOI growth
Strong leasing volume and rent spreads demonstrate demand for the portfolio and provide a pathway to higher recurring rental income. Same-property NOI growth further indicates that operating performance is improving within existing assets, supporting cash-flow durability over the coming quarters.
Negative Factors
Elevated and rising leverage
Elevated leverage reduces financial flexibility and increases sensitivity to refinancing costs, asset values, and operating setbacks. Because debt has risen relative to equity, the REIT may have less capacity to fund acquisitions or absorb weaker occupancy without prioritizing balance-sheet management.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong leasing spreads and same-property NOI growth
Strong leasing volume and rent spreads demonstrate demand for the portfolio and provide a pathway to higher recurring rental income. Same-property NOI growth further indicates that operating performance is improving within existing assets, supporting cash-flow durability over the coming quarters.
Read all positive factors
Slate Grocery REIT (SGR.UN) vs. iShares MSCI Canada ETF (EWC)
Market Cap
C$1.06B
Dividend Yield6.82%
Average Volume (3M)663.12K
Price to Earnings (P/E)17.3
Beta (1Y)0.87
Revenue Growth2.01%
EPS Growth9.35%
CountryCA
EmployeesN/A
SectorReal Estate
Sector Strength53
IndustryREIT - Retail
Share Statistics
EPS (TTM)0.72
Shares Outstanding59,219,000
10 Day Avg. Volume1,677,021
30 Day Avg. Volume663,124
Financial Highlights & Ratios
PEG Ratio2.62
Price to Book (P/B)1.00
Price to Sales (P/S)3.08
P/FCF Ratio10.84
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
C$16.57Price Target Upside2.54% Upside
Rating ConsensusHold
Number of Analyst Covering4
EPS Forecast (FY)1.3
Revenue Forecast (FY)C$243.36M
Slate Grocery REIT Business Overview & Revenue Model
Company Description
Slate Grocery REIT is an owner and operator of U.S. grocery-anchored real estate. The REIT owns and operates critical real estate infrastructure across major U.S. metro markets that communities rely upon for their everyday needs. The REIT's resili...
How the Company Makes Money
Slate Grocery REIT primarily makes money by earning rental income from tenants leasing space in its grocery-anchored retail properties. Its key revenue stream is contractual base rent paid under lease agreements (generally long-term for anchor gro...
Slate Grocery REIT Earnings Call Summary
Earnings Call Date:Aug 06, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Nov 11, 2026
Earnings Call Sentiment Positive
The call presented multiple meaningful operational positives — robust leasing volume, strong renewal and new-lease rent spreads, same-property NOI growth, a conservative debt profile with >90% fixed-rate debt and a low 5% weighted average interest rate, and favorable sector fundamentals supporting pricing power. Offsetting these strengths were notable near-term challenges including roughly 260,000 square feet of vacates (with several large vacates still to be backfilled), an ongoing strategic review with no timeline, and limited disposition activity beyond one property held for sale. Overall, the operational and financial positives outweigh the disclosed challenges.Positive Updates
Strong Leasing Volume and Rent Growth
Completed over 569,000 square feet of total leasing in Q2; renewal spreads averaged +16.7% above expiring rents and new deals completed at +41% above comparable average in-place rent.
Negative Updates
Significant Vacancies/Vacates This Quarter
Roughly 260,000 square feet of vacates occurred in the quarter; management reported 10 largest vacates and has leased 4 of those 10 so far, with prospects/letters of intent for several others — remaining vacancies present leasing and timing risk to occupancy and cash flow.
Read all updates
Q2-2026 Updates
Positive
Negative
Strong Leasing Volume and Rent Growth
Completed over 569,000 square feet of total leasing in Q2; renewal spreads averaged +16.7% above expiring rents and new deals completed at +41% above comparable average in-place rent.
Read all positive updates
Company Guidance
Management's guidance emphasized a stable near‑term outlook driven by a 5.0% weighted average interest rate with over 90% of debt fixed, and a weighted average capitalization rate that remains well above the REIT's borrowing cost, supporting positive leverage; operationally the REIT reported 569,000 sq. ft. of leasing in Q2 with renewal spreads of +16.7% and new deals at +41% versus comparable in‑place rent, portfolio occupancy of 93.6%, average in‑place rent of $13.10/sq. ft. (below market), same‑property NOI up $3.8 million or 2.3% on a trailing 12‑month basis (adjusted for redevelopments), and 260,000 sq. ft. of vacates this quarter (four of the 10 largest already re‑leased with additional LOIs), while noting one asset (Heritage Heights) is held for sale to close in Q3, no net strategic‑review costs hit FFO this quarter, and elevated construction costs and tight lending continue to limit new retail supply and bolster landlord pricing power.Slate Grocery REIT Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
62
Positive
Cash Flow
72
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 223.37M | 213.37M | 209.13M | 203.28M | 177.49M | 138.28M |
| Gross Profit | 144.12M | 138.34M | 135.40M | 130.47M | 127.41M | 100.86M |
| EBITDA | 136.67M | 129.86M | 128.47M | 86.77M | 215.05M | 150.55M |
| Net Income | 43.29M | 43.39M | 39.67M | 13.60M | 128.80M | 90.87M |
Balance Sheet | ||||||
| Total Assets | 2.37B | 2.36B | 2.23B | 2.24B | 2.27B | 1.74B |
| Cash, Cash Equivalents and Short-Term Investments | 24.78M | 21.82M | 22.67M | 23.59M | 20.39M | 14.04M |
| Total Debt | 1.30B | 1.30B | 1.17B | 1.16B | 1.13B | 937.74M |
| Total Liabilities | 1.53B | 1.52B | 1.38B | 1.37B | 1.34B | 1.11B |
| Stockholders Equity | 660.24M | 659.12M | 673.47M | 687.44M | 740.51M | 619.02M |
Cash Flow | ||||||
| Free Cash Flow | 68.63M | 60.71M | 67.04M | 71.78M | 51.95M | 46.12M |
| Operating Cash Flow | 79.35M | 66.96M | 70.97M | 76.30M | 58.99M | 50.80M |
| Investing Cash Flow | -57.43M | -51.94M | -10.43M | -20.55M | -381.74M | -190.85M |
| Financing Cash Flow | -26.56M | -15.87M | -61.46M | -52.55M | 329.11M | 151.72M |
Slate Grocery REIT Technical Analysis
Positive
16.16
Price Trends
15.97
Positive
16.36
Positive
15.70
Positive
Market Momentum
-0.21
Negative
60.81
Neutral
73.41
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:SGR.UN, the sentiment is Positive. The current price of 16.16 is above the 20-day moving average (MA) of 14.91, above the 50-day MA of 15.97, and above the 200-day MA of 15.70, indicating a bullish trend. The MACD of -0.21 indicates Negative momentum. The RSI at 60.81 is Neutral, neither overbought nor oversold. The STOCH value of 73.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:SGR.UN.
Slate Grocery REIT Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
81 Outperform | C$4.09B | 7.33 | 12.79% | 5.65% | 4.77% | 24.61% | |
76 Outperform | C$581.07M | 9.39 | 11.07% | 5.32% | 2.84% | 78.07% | |
73 Outperform | C$1.06B | 17.30 | 5.97% | 6.82% | 2.01% | 9.35% | |
70 Outperform | C$4.84B | 4.70 | 22.27% | 3.98% | 0.07% | 295.34% | |
69 Neutral | C$3.59B | 22.12 | 3.53% | 5.49% | 7.63% | -22.77% | |
66 Neutral | C$4.55B | 28.74 | 3.03% | 6.93% | -1.11% | -31.75% | |
65 Neutral | $2.17B | 12.19 | 3.79% | 4.94% | 3.15% | 1.96% |
* Real Estate Sector Average
TSE:SGR.UN
Slate Grocery REIT
17.55
3.96
29.13%
TSE:CRT.UN
CT Real Estate Investment
16.99
1.57
10.20%
TSE:DIR.UN
Dream Industrl REIT
12.80
1.01
8.55%
TSE:FCR.UN
First Capital Realty
22.76
3.73
19.60%
TSE:PLZ.UN
Plaza Retail REIT
5.26
1.34
34.22%
TSE:SRU.UN
SmartCentres Real Estate Investment Trust
26.71
1.66
6.63%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.