AlphaMadera

GTY Getty Realty Corp.

$32.53

Real Estate Investment Trust 85%

P/FFO × Retail REIT Multiple

Mild · Conviction

Fair Value

Trading 13.7% below fair value

You pay $32.53

Bear $30.80

Fair $37.68

Bull $44.56

Bear $30.80 -5.3% $2.28 FFO × 12x

Fair $37.68 +15.8% $2.28 FFO × 15x

Bull $44.56 +37.0% $2.28 FFO × 18x

Adjust Assumptions

P/FFO Multiple

15.4x

FFO per Share

2.28$

Key Value Driver

FFO/share ($2.28) × retail P/FFO multiple

Terminal Value % of EV

Implied Market Multiple 14.3x

Market is pricing in (growth)

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above.

Average Target (14 analysts) $34.50

Divergence from AlphaVal 9%

Summary

At $2.28 FFO/share with a 15x retail REIT multiple, the base-case value is $37.68 per share. Dividend yield: 6.0%. DDM cross-check: $43.78.

Warnings

⚠ Standard profit figures are misleading for real estate companies — large non-cash accounting charges make profits look artificially low. Dividend yield and funds from operations are better measures.

⚠ Dividend yield of 6.0% is unusually high — make sure the company generates enough cash to keep paying it.

Key Risks

P/E and EV/EBITDA are structurally wrong for REITs — use P/FFO and NAV
Interest rate sensitivity: REIT multiples compress when rates rise
FFO approximation (NI + D&A) may include gains on property sales — verify