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Acadia Realty Trust (Acadia Realty Trust) Financial Strength

: 3 (As of Dec. 2023)
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Acadia Realty Trust has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.

Warning Sign:

Acadia Realty Trust displays poor financial strength. Usually, this is caused by too much debt for the company.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.

Acadia Realty Trust's Interest Coverage for the quarter that ended in Dec. 2023 was 0.43. Acadia Realty Trust's debt to revenue ratio for the quarter that ended in Dec. 2023 was 5.66. As of today, Acadia Realty Trust's Altman Z-Score is 0.50.


Competitive Comparison

For the REIT - Retail subindustry, Acadia Realty Trust's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Acadia Realty Trust Financial Strength Distribution

For the REITs industry and Real Estate sector, Acadia Realty Trust's Financial Strength distribution charts can be found below:

* The bar in red indicates where Acadia Realty Trust's Financial Strength falls into.



Acadia Realty Trust Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Acadia Realty Trust's Interest Expense for the months ended in Dec. 2023 was $-24.7 Mil. Its Operating Income for the months ended in Dec. 2023 was $10.6 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $1,721.2 Mil.

Acadia Realty Trust's Interest Coverage for the quarter that ended in Dec. 2023 is

Interest Coverage=-1*Operating Income (Q: Dec. 2023 )/Interest Expense (Q: Dec. 2023 )
=-1*10.619/-24.692
=0.43

The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Acadia Realty Trusts earnings cannot cover its interest expense. If the situation continues, the company may have to issue more debt.

2. Debt to revenue ratio. The lower, the better.

Acadia Realty Trust's Debt to Revenue Ratio for the quarter that ended in Dec. 2023 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2023 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(213.287 + 1721.173) / 342.052
=5.66

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Acadia Realty Trust has a Z-score of 0.50, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 0.5 is in distress zone. This implies bankruptcy possibility in the next two years.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Acadia Realty Trust  (NYSE:AKR) Financial Strength Explanation

The maximum rank is 10. Companies with rank 7 or higher will be unlikely to fall into distressed situations. Companies with rank of 3 or less are likely in financial distress.

Acadia Realty Trust has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.


Acadia Realty Trust Financial Strength Related Terms

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Acadia Realty Trust (Acadia Realty Trust) Business Description

Traded in Other Exchanges
Address
411 Theodore Fremd Avenue, Suite 300, Rye, NY, USA, 10580
Acadia Realty Trust is a real estate investment trust which specializes in the operation, management, leasing, renovation, and acquisition of shopping centers and mixed-use properties with retail components. The company's portfolios are located primarily in metropolitan areas of the United States. The company operates through three segments: core portfolio, which consists primarily of high-quality retail properties located primarily in high-barrier-to-entry, densely-populated metropolitan areas with a long-term investment horizon and generates the majority of total revenue; funds, which comprises the funds launched by the trust; and structured financing, which consists of notes receivable and related interest income.
Executives
John J. Gottfried officer: Senior Vice President/CFO C/O ACADIA REALTY TRUST, 411 THEODORE FREMD AVE., SUITE 300, RYE NY 10580
Jason Blacksberg officer: Sr. V.P. and General Counsel C/O ACADIA REALTY TRUST, 1311 MAMARONECK AVE. STE. 260, WHITE PLAINS NY 10605
Lee S Wielansky director PAUL HASTINGS, 75 EAST 55TH STREET, NEW YORK NY 10022
Joseph Napolitano officer: Sr. Vice President PAUL HASTINGS, 75 EAST 55TH STREET, NEW YORK NY 10022
Douglas Ii Crocker director C/O COLONY NORTHSTAR, INC., 515 S. FLOWER ST., 44TH FLOOR, LOS ANGELES CA 90071
Kenneth F Bernstein director, officer: President and CEO C/O ACADIA REALTY TRUST, 411 THEODORE FREMD AVENUE, SUITE 300, RYE NY 10580
C David Zoba director C/O GALYAN'S TRADING CO, 2437 EAST MAIN ST, PLAINFIELD IN 46168
Hope B Woodhouse director 1601 UTICA AVENUE, SUITE 900, ST. LOUIS PARK MN 55416
Wendy W Luscombe director 480 TAGHKANIC CHURCH TOWN ROAD, CRARYVILLE NY 12521
Mark A Denien director 600 E 96TH ST, #100, INDIANAPOLIS IN 46240
Christopher Conlon officer: Executive Vice President C/O ACADIA REALTY TRUST, 1311 MAMARONECK AVE., SUITE 260, WHITE PLAINS NY 10605
Lorrence T Kellar director C/O LOEHMANNS INC, 2500 HALSEY STREET, BRONX NY 10461
Mcintyre Kenneth A Jr director C/O HUDSON CITY BANCORP, INC., WEST 80 CENTURY ROAD, PARAMUS NJ 07652
Richard Hartmann officer: Senior Vice President C/O ACADIA REALTY TRUST, 1311 MAMARONECK AVE., SUITE 260, WHITE PLAINS NY 10605
Lynn C Thurber director JONES LANG LASALLE INCORPORTED, 200 E RANDOLPH DR, CHICAGO IL 60601