Kimco Realty Corporation (NYSE:KIM) is one of Goldman Sachs’ top REIT stock picks. Barclays initiated coverage of retail REITs on July 2 and rated Kimco Realty Overweight, citing its attractive valuation and strong positioning in the grocery-anchored shopping center space. As a large-cap, diversified landlord, Kimco offers investors a lower-cost way to tap into the defensive retail theme, with expected FFO growth of around 5% next year and a modest discount to peers.
An architect standing proud in front of a newly developed real estate asset.
The brokerage noted that while some investors are overpaying for perceived stability in similar portfolios, Kimco stands out with better risk-reward potential in an environment facing slower economic growth. Barclays emphasized its preference for retail REITs with solid balance sheets and improving free cash flow, positioning Kimco as a favorable pick amid sector headwinds.
Kimco Realty Corporation, founded in 1973 by Milton Cooper and Martin S. Kimmel, is a real estate investment trust that owns, develops, and manages open-air shopping centers. Headquartered in Jericho, New York, the company specializes in acquiring and operating grocery-anchored retail properties across the United States.
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This article is originally published at Insider Monkey.
