2Q AFFO Slightly Behind, but Solid KPIs, Increased Guidance, and Pre-Funded Equity for the Pipeline

Research evidence excerpt

2Q AFFO Slightly Behind, but Solid KPIs, Increased Guidance, and Pre-Funded Equity for the Pipeline

J P M O R G A N North America Equity Research

22 July 2026

Getty Realty Neutral

GTY, GTY US

2Q AFFO Slightly Behind, but Solid KPIs, Increased Price (22 Jul 26):$35.81

Guidance, and Pre-Funded Equity for the Pipeline

REITs & Real Estate Services

GTY reported 2Q company-defined AFFO/share of $0.62 (+5.1% y/y), which was Anthony Paolone, CFA AC

slightly below our forecast and Bloomberg consensus, both at $0.63. While it was (1-212) 622-6682

a headline miss, it was mainly rounding versus our forecast. Importantly, GTY anthony.paolone@jpmorgan.com

completed $128.3 million of investments, which was better than our $40 million Michael W. Mueller, CFA

assumption, though the in-quarter yield of 7.4% came in below the ~8% yields of (1-212) 622-6689

recent quarters. Post the quarter, GTY closed on an additional $13.5 million at a michael.w.mueller@jpmorgan.com

stronger 8.2% yield, bringing YTD volume to $172.1 million at a 7.6% blended Nahom Tesfazghi

yield. It also has a $95 million pipeline still to fund. With deals closed to date and (1-212) 622 4884

nahom.tesfazghi@jpmchase.com

assuming $40 million of the pipeline is spent in 2H 2026, we think there is line of

Daniella De Armas Rosales

sight for about $212 million of deployment this year – ahead of our $200 million (1-212) 622-0050

forecast. daniella.dearmasrosales@jpmchase.com

J.P. Morgan Securities LLC

Portfolio performance was solid in 2Q itself with full rent collections, tenant rent

coverage of 2.5x, and 99.8% occupancy. GTY settled forward equity during the

quarter, generating $39.8 million in proceeds, and sold new equity for expected

gross proceeds of $60.6 million. It sat at quarter-end with $190.5 million in