Getty Realty Corp. Explodes To Even Higher Highs


Start generating passive income through real estate

Check out these featured investments from Benzinga's Real Estate Offerings Screener.


Start generating passive income through real estate.

Own a piece of your favorite cities through diversified real estate investments in the country's top markets

*Terms and conditions apply. Visit Nada's website for more details.

While most other real estate investment trusts (REITs) are heading lower as the year ends, Getty Realty Corp. GTY is blasting off to even higher highs. 

It’s an extraordinary achievement considering that the two benchmark exchange-traded funds (ETFs) for the sector are only slightly above their October lows and negative for 2022.

The iShares U.S. Real Estate ETF IYR is down for the year by 24%. The Real Estate Select Sector SPDR Fund XLRE is down by 26%. Meantime, Getty Realty Corp. is up by 17% from the beginning of January to now.

Getty is a net lease REIT with a focus on convenience and automotive retail real estate. The New York-based company has 1,021 properties in 38 states and in Washington, D.C. The name sounds familiar because the REIT was a 1997 spinoff of the petroleum giant Getty Petroleum.

Getty Realty trades with a price-earnings ratio of 20 and at just over two times its book value. Funds from operations (FFO) this year are off by 15.3%. The past five-year FFO growth rate is 3.3%. For a New York Stock Exchange security, it’s relatively lightly traded with an average daily volume of 322,000.

Market capitalization is $1.62 billion, on the small side compared to the major REITS in the sector. American Tower Corp. AMT, for example, has a market cap of $98 billion.

Getty is paying a 4.96% dividend.

The daily price chart looks like this:

GTY daily chart

Those who bought shares in mid-May or mid-June and held on must be delighted with the move upward since then. From $24 to $34 is a 41% gain. What’s semi-astonishing, though, is the way Getty Realty is outperforming all other REITs that trade.

Here’s the weekly price chart:

GTY weekly chart

The March 2020 pandemic-scare low at $14 is clear on this chart. Note the heavy buying volume coming in during 2022’s third quarter. Getty Realty is one of the few REITs now trading above the 50-week moving average and the 200-week moving average.

The company’s investments in convenience store sites are paying off as consumers look to cut shopping costs and as the price of a tank of gas comes down.

Not investment advice. For educational purposes only.

Read next: This Fund Is Looking To Grant Moderate Returns If The Real Estate Market Doesn't Collapse – And Spectacular If It Does

Weekly REIT Report: REITs are one of the most misunderstood investment options, making it difficult for investors to spot incredible opportunities until it’s too late. Benzinga’s in-house real estate research team has been working hard to identify the greatest opportunities in today’s market, which you can gain access to for free by signing up for Benzinga’s Weekly REIT Report.

More on Real Estate from Benzinga

Photo by Marten Bjork on Unsplash

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: REITSmall CapReal EstateAlternative investmentsreal estate investing
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!