Real estate stocks are a good option for investors with long time horizons. These stocks are well known for offering tax advantages and paying out sizable dividends. It is worth highlighting that real estate investment trusts (REITs) are required to pay at least 90% of their taxable income to investors.
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To assist investors in selecting the top real estate stocks out of all the available options, TipRanks offers a Stock Screener tool. Using this tool, we shortlisted stocks that have a Strong Buy rating from analysts and an Outperform Smart Score (i.e., 8, 9, or 10) on TipRanks, indicating a chance to outperform the broader market.
Here are the five key stocks from the real estate sector for investors to consider.
- American Tower (NYSE:AMT) – AMT stock’s average price target implies a consensus upside of 16.3%. Also, it has a Smart Score of eight. The company owns and operates wireless and broadcast communications infrastructure.
- VICI Properties (NYSE:VICI) – VICI owns, acquires, and develops gaming, hospitality, and entertainment properties. VICI stock has an analyst consensus upside of 13.8% and a Smart Score of eight.
- Prologis (NYSE:PLD) – The stock has an average price target of $138.75, which implies a 12.1% upside potential from current levels. Also, its Smart Score of ten is encouraging. The REIT is engaged in the logistics real estate business.
- Public Storage (NYSE:PSA) – The stock of the self-storage services provider has an average price target of $348, which implies a 11.7% upside potential from current levels. Further, it has a Smart Score of “Perfect 10.”
- Arbor Realty Trust (NYSE:ABR) – Analysts currently see an upside potential of 50.1% in ABR stock, which boasts a Smart Score of ten. Arbor provides loan origination and servicing for multifamily, healthcare, and diverse commercial real estate assets.