Tanger Factory upgraded to Buy at BofA as leasing beats expectations

As previously reported, BofA upgraded Tanger Factory (SKT) to Buy from Neutral with a price target of $40, up from $35. The stock has outperformed the MSCI U.S. REIT index over the past year, notes the analyst, whose more bullish view reflects management’s leasing accomplishments year-to-date, which have exceeded the firm’s expectations. A strong leasing performance, robust pipeline of retail store openings through 2026 and record-low retail center vacancies with limited new supply strengthen the firm’s conviction that Tanger will continue achieving its goals, adds the analyst, who raised the firm’s FY25 and FY26 FFO estimates.