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1. Company Snapshot

1.a. Company Description

InvenTrust Properties Corp.is a premier multi-tenant retail REIT that owns, leases, redevelops, acquires and manages grocery-anchored neighborhood centers, and select power centers that often have a grocery component, predominantly in Sun Belt markets with favorable demographics.We seek to continue to execute our strategy to enhance our multi-tenant retail platform by further investing in grocery-anchored centers with essential retail in our current markets, while exhibiting focused and disciplined capital allocation.

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1.b. Last Insights on IVT

InvenTrust Properties Corp.'s recent performance was impacted by a high concentration of grocery-anchored properties in the Sunbelt region, leading to strong tenant demand and robust leasing spreads. The company's Q4 2024 earnings showed disciplined balance sheet management, reinforcing its growth potential and strategic market positioning. Despite an above-peer valuation, InvenTrust's lower leverage and strong FFO growth potential justify an upgrade to a 'Buy' rating (Source: Jefferies). The company recently announced a 5% increase in its first quarter 2025 cash dividend, indicating a commitment to returning value to shareholders.

1.c. Company Highlights

2. InvenTrust's Q3 Earnings: A Strong Performance

InvenTrust reported a robust financial performance in Q3, with same-property NOI growing by 6.4% to $44.3 million, driven by embedded rent escalations, occupancy gains, and positive rent spreads. NAREIT FFO came in at $38.4 million or $0.49 per diluted share, representing an 8.9% increase compared to the same period last year. However, the actual EPS was $0.08, missing estimates of $0.45. Revenue growth is expected to be 7.2% next year, according to analysts' estimates.

Publication Date: Nov -19

📋 Highlights
  • Strong NOI Growth:: Same-property NOI increased 6.4% to $44.3 million, driven by rent escalations (160 bps), occupancy gains (100 bps), and rent spreads (100 bps).
  • FFO Performance:: NAREIT FFO rose 8.9% to $0.49 per diluted share, reflecting operational efficiency and disciplined capital allocation.
  • High Occupancy & Retention:: Small shop occupancy near 92%, with year-to-date retention at 82% (89% excluding one redevelopment), driven by necessity-based retail and strong anchor tenants.
  • Accretive Portfolio Shift:: $1 billion asset pipeline with 70% in neighborhood/community centers, emphasizing grocery-anchored properties (e.g., Asheville, Charlotte NC) for embedded rent growth.
  • Future Margin Expansion:: Operating leverage boosts margins by 100 bps YoY, with CapEx burden declining in mid-2026, enhancing free cash flow from higher occupancy and fixed CAM model transitions.

Operational Highlights

The company's operational performance was strong, with healthy leasing momentum and tenant retention. Anchor tenants are renewing at solid rates, and small shop demand has been steady. The retention rate year-to-date is 82%, or 89% excluding a single anchor space at the Gateway property in St. Petersburg, Florida, which is undergoing redevelopment. InvenTrust's focus on necessity-based convenience-oriented retail continues to pay dividends, with a strong presence of high-quality tenants such as Publix, HEB, Kroger, and Albertson's.

Valuation and Growth Prospects

With a P/E Ratio of 18.29 and an EV/EBITDA of 13.49, the market is pricing in a certain level of growth for InvenTrust. The company's ROE is 6.65%, and ROIC is 22.0%, indicating a strong ability to generate returns on invested capital. The dividend yield is 3.36%, providing a relatively attractive income stream for investors. As DJ Busch mentioned, "We've built a scalable, high-performing platform that allows us to operate efficiently and grow strategically." This growth is expected to continue, driven by the company's disciplined capital allocation strategy and focus on high-growth Sunbelt markets.

Acquisitions and Dispositions

InvenTrust has been active in acquiring new assets, with a pipeline of over $1 billion. The company is targeting opportunities that align with its strict return thresholds and enhance the overall quality of its assets. The net investment range has been adjusted due to two deals that may close in 2025 or 2026. On the disposition side, the company expects to sell a California asset in early 2026, pending administrative issues.

Outlook

Looking ahead, InvenTrust expects to continue its strong operational performance, with operating leverage expected to drive margins up 100 basis points year-over-year. The company's focus on high-quality tenants and necessity-based retail should continue to drive growth, with a ceiling in the mid-90s for small shop occupancy due to frictional vacancy. As the company navigates the market, its disciplined approach to capital allocation and focus on accretive growth should position it for long-term success.

3. NewsRoom

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Spire Wealth Management Sells 4,044 Shares of InvenTrust Properties Corp. $IVT

Nov -06

Source: defenseworld.net

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InvenTrust Properties Corp. $IVT Shares Sold by Teacher Retirement System of Texas

Nov -05

Source: defenseworld.net

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A Whirlwind Tour Through Major REIT Earnings Reports (And My Buy List)

Nov -01

Source: seekingalpha.com

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InvenTrust Properties Corp. (IVT) Q3 2025 Earnings Call Transcript

Oct -29

Source: seekingalpha.com

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Asset Management One Co. Ltd. Purchases 6,790 Shares of InvenTrust Properties Corp. $IVT

Oct -29

Source: defenseworld.net

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InvenTrust Properties Corp. (IVT) Q3 FFO and Revenues Top Estimates

Oct -28

Source: zacks.com

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InvenTrust Properties Corp. Reports 2025 Third Quarter Results

Oct -28

Source: businesswire.com

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InvenTrust Properties: Valuation Is Already At A Premium

Oct -22

Source: seekingalpha.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (4.83%)

6. Segments

Lease

Expected Growth: 4.83%

The 4.83% growth driven by InvenTrust Properties Corp.'s lease is attributed to increasing demand for retail spaces, strategic location of properties, and effective asset management. Additionally, the company's focus on omni-channel retailing and experiential offerings has led to higher foot traffic and sales, resulting in rental income growth.

Other Property

Expected Growth: 4.83%

InvenTrust Properties Corp.'s Other Property segment growth of 4.83% is driven by strategic acquisitions, increasing occupancy rates, and rent growth. Additionally, the company's focus on high-quality, grocery-anchored centers and its ability to capitalize on opportunities in the fragmented retail market contribute to its growth momentum.

Other Fee

Expected Growth: 4.83%

InvenTrust Properties Corp.'s 4.83% growth in Other Fee is driven by increasing demand for property management services, expansion into new markets, and strategic acquisitions. Additionally, the company's focus on operational efficiency and cost savings initiatives have contributed to the growth. Furthermore, the rise in property values and rental income have also boosted the Other Fee segment.

7. Detailed Products

Multifamily Properties

InvenTrust Properties Corp. owns and operates a diverse portfolio of multifamily properties, offering residents a range of amenities and services.

Apartment Communities

The company's apartment communities provide residents with a comfortable living experience, complete with amenities such as swimming pools, fitness centers, and community spaces.

Commercial Properties

InvenTrust Properties Corp. also owns and operates commercial properties, including office buildings and retail spaces, providing businesses with flexible leasing options.

Property Management Services

The company offers comprehensive property management services, including leasing, maintenance, and financial management, to property owners and investors.

Investment and Development Services

InvenTrust Properties Corp. provides investment and development services, including acquisition, development, and redevelopment of properties, to investors and partners.

8. InvenTrust Properties Corp.'s Porter Forces

Forces Ranking

Threat Of Substitutes

InvenTrust Properties Corp. operates in the real estate investment trust (REIT) industry, which has a moderate threat of substitutes. While there are alternative investment options available, such as stocks and bonds, REITs offer a unique combination of income and diversification benefits that are difficult to replicate.

Bargaining Power Of Customers

InvenTrust Properties Corp.'s customers, primarily tenants, have limited bargaining power due to the company's diversified portfolio and strong market position.

Bargaining Power Of Suppliers

InvenTrust Properties Corp. relies on a network of suppliers, including contractors and service providers, to maintain and operate its properties. While suppliers have some bargaining power, the company's scale and diversification mitigate this risk.

Threat Of New Entrants

The barriers to entry in the REIT industry are relatively high, with significant capital requirements and regulatory hurdles. This limits the threat of new entrants and provides a competitive advantage to established players like InvenTrust Properties Corp.

Intensity Of Rivalry

The REIT industry is highly competitive, with many established players competing for tenants, properties, and investors. InvenTrust Properties Corp. must continually innovate and improve its operations to maintain its market position.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 34.41%
Debt Cost 3.95%
Equity Weight 65.59%
Equity Cost -23.64%
WACC -14.15%
Leverage 52.46%

11. Quality Control: InvenTrust Properties Corp. passed 3 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
NETSTREIT

A-Score: 6.7/10

Value: 3.0

Growth: 6.2

Quality: 6.2

Yield: 8.0

Momentum: 7.0

Volatility: 10.0

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Getty Realty

A-Score: 6.2/10

Value: 3.1

Growth: 4.6

Quality: 6.5

Yield: 10.0

Momentum: 3.0

Volatility: 10.0

1-Year Total Return ->

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Stock-Card
Whitestone REIT

A-Score: 5.8/10

Value: 5.0

Growth: 4.3

Quality: 6.5

Yield: 7.0

Momentum: 3.0

Volatility: 9.0

1-Year Total Return ->

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Stock-Card
InvenTrust Properties

A-Score: 5.5/10

Value: 3.0

Growth: 4.1

Quality: 5.9

Yield: 5.0

Momentum: 5.0

Volatility: 10.0

1-Year Total Return ->

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Stock-Card
Acadia Realty

A-Score: 5.1/10

Value: 2.6

Growth: 2.9

Quality: 4.9

Yield: 8.0

Momentum: 3.0

Volatility: 9.0

1-Year Total Return ->

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Stock-Card
Retail Opportunity Investments

A-Score: 5.0/10

Value: 2.8

Growth: 4.6

Quality: 5.8

Yield: 4.0

Momentum: 6.5

Volatility: 6.3

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

2.82$

Current Price

28.25$

Potential

-90.00%

Expected Cash-Flows