AlphaMadera

NTST NETSTREIT Corp.

$17.35

Real Estate Investment Trust 85%

P/FFO × Retail REIT Multiple

Mild · Conviction

Fair Value

Trading 3.2% below fair value

You pay $17.35

Bear $14.33

Fair $17.92

Bull $21.50

Bear $14.33 -17.4% $0.92 FFO × 16x

Fair $17.92 +3.3% $0.92 FFO × 20x

Bull $21.50 +23.9% $0.92 FFO × 23x

Adjust Assumptions

P/FFO Multiple

19.5x

FFO per Share

0.92$

Key Value Driver

FFO/share ($0.92) × retail P/FFO multiple

Terminal Value % of EV

Implied Market Multiple 18.9x

Market is pricing in (growth)

Analyst Consensus (External Reference)

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

Average Target (19 analysts) $22.33

Divergence from AlphaVal 20%

Summary

At $0.92 FFO/share with a 20x retail REIT multiple, the base-case value is $17.92 per share. Dividend yield: 5.1%. DDM cross-check: $15.56.

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 5.1% 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