| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 86 | 7.4x | 17.3x | Top tier | |
Growth | 65 | 8.3% | 7.1% | Around median | |
Quality | 43 | 8.5% | 4.5% | Around median | |
Safety | 51 | 3.6x | 2.6x | Around median | |
Capital Return | 71 | 10.36% | 0.06% | Top tier | |
Momentum | 41 | -7.6% | -1.6% | Around median | |
Sentiment | 2 | 1 | 3 | Bottom tier |
The floor: what the company is worth if growth stopped today
10-year US Treasury yield 4.96% as of 2026-10-22. Estimates computed from company data and analyst targets, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Regency Centers Corporation owns, develops, and operates open-air shopping centers focused on neighborhoods and communities and typically anchored by grocery stores, generating its income primarily from rents, occupancy growth, rent increases, and property expense recoveries. Its tenant base includes essential, value-oriented, restaurant, personal services, and health and fitness retailers; the latter two categories accounted for approximately 12% of annual base rent in Q2 fiscal 2026 ended 2026-06-30. The company adds external growth through development, redevelopment, and selective acquisitions, alongside approximately $35 million in annual ancillary income from solar energy, electric vehicle charging, fees, and marketing events.
In Q2 fiscal 2026 ended 2026-06-30, revenue increased 8.9% to $414.8 million from $380.8 million in Q2 fiscal 2025, while net income was $115.8 million, diluted EPS was $0.61, and operating cash flow was $281.3 million. In contrast, gross margin was 18.5% versus 75.2% a year earlier, and operating margin was 36.7% versus 73.8%, representing declines of 56.7 and 37.1 percentage points, respectively. At the property operating level, same-property NOI growth was 3.8%, the leased rate approached 97%, rent-paying occupancy was 94.5%, and tenant retention was 84%.
Projects in progress totaled $680 million and were 80% leased, with an expected blended yield of 9%, while the company targets development and redevelopment starts approaching $400 million during fiscal 2026. In the last 12 months through 2026-06-30, the company recorded revenue of $1.6 billion, net income of $556.2 million, operating cash flow of $856.6 million, and free cash flow of $210.9 million. Cash and investments were $191.6 million versus total debt of $5.5 billion in Q2 fiscal 2026, while management indicated leverage within its target range of 5 to 5.5 times and nearly full availability under a $1.5 billion revolving credit facility.
Automated analysis for informational purposes only — not investment advice.
Q2 FY2026
Last 12 months to 2026-06-30
When: 2026-10-29
Revenue compared with the $414.8 million threshold
Gross margin compared with the 18.5% threshold
Operating margin compared with the 36.7% threshold
The no-growth value method, which assumes that current after-tax operating profit remains constant forever, produces a value of $7.83 using an 8.9% discount rate, and therefore estimates what remains if growth stops. This is the only calculated method available, so there are no multiple values whose agreement or divergence can be tested, while analyst opinion is limited to a “Buy” consensus without a numerical price target. The cash flow model is inherently conservative, placing large U.S. companies in the sample approximately 51% below their prices on average, while analyst targets tend to be optimistic and place the typical company approximately 20% higher. The valuation pillar of the EL7 score ranked 4 out of 37 within the industry with a score of 92 out of 100 for the period ended 2026-06-30; it is a relative measure of valuation attractiveness within the industry and not a substitute for intrinsic value methods.
Figures in the text are as of 2026-09-27; the live price is shown at the top of the page.
The growth model combines higher rents within the existing portfolio with external development. In Q2 fiscal 2026 ended 2026-06-30, same-property NOI grew 3.8%, cash rent spreads exceeded 10%, and GAAP spreads approached 20%. Projects in progress total $680 million, with an expected blended yield of 9% and an 80% leased rate, while starts approaching $400 million are targeted during fiscal 2026.
The leased rate approached 97% in Q2 fiscal 2026 ended 2026-06-30, and tenant retention reached 84%. Rent-paying occupancy was 94.5%, with a gap between leased and rent-paying space of approximately 240 basis points versus a stable historical level of approximately 180 basis points. Demand included grocery, health and fitness, restaurant, personal services, and value-oriented retailers, while more than 80% of new small-shop leases included annual increases of 3% or more.
Development and redevelopment projects in progress total $680 million, with an expected blended yield of 9% and 80% leased as of Q2 fiscal 2026 ended 2026-06-30. More than $140 million of projects commenced during the first half of fiscal 2026, including the $55 million Berkman at Durbin Park project, anchored by Whole Foods and TJ Maxx. Ground-up project yields exceeded 7%, while management reported that some competing acquisitions are now being completed at capitalization rates beginning with 4.
Cash and investments were $191.6 million and total debt was $5.5 billion in Q2 fiscal 2026 ended 2026-06-30, so debt remains significantly greater than the cash shown on the balance sheet. In contrast, management said leverage was within its target range of 5 to 5.5 times, with nearly full availability under a $1.5 billion revolving credit facility. Operating cash flow was $856.6 million and free cash flow was $210.9 million in the last 12 months through 2026-06-30, while management estimated fiscal 2026 free cash flow at approximately $180 million.
Gross margin was 18.5% in Q2 fiscal 2026 ended 2026-06-30 versus 75.2% in Q2 fiscal 2025, a decline of 56.7 percentage points. Operating margin was 36.7% versus 73.8%, a decline of 37.1 percentage points, despite annual revenue growth of 8.9% to $414.8 million. The next report will therefore determine whether the strength of revenue, NOI, and cash flow can offset this substantial margin contraction.
A major operator decided not to open 11 locations within a package of sites, but continued operating approximately 15 units in Regency's portfolio during Q2 fiscal 2026 ended 2026-06-30. The company continues to collect rent through the end of fiscal 2026 and received a termination fee equal to four years of rent. Leasing teams had begun working to re-lease 8 of the 11 locations, mitigating the impact but not eliminating the execution risks associated with tenant plans at the remaining locations.