Saul Centers, Inc.
AI Valuation
AI-generated fair value estimate for this company.
AI Fair Value
$34.02
Market Price
$30.16
Undervalued By
11.3%
Method: AFFO-multiple valuation: FY2025 FFO of $2.76/share reduced about 12% for recurring capex and leasing costs to an AFFO estimate of roughly $2.43/share, times a 14x AFFO multiple (below the 15-18x typical for grocery-anchored shopping-center REIT peers, reflecting Saul's ~55% leverage and Washington DC-metro concentration)
Reasoning: As an equity REIT, Saul Centers' GAAP net income is distorted by real-estate depreciation, so REIT valuation convention and this analysis use FFO/AFFO-per-share multiples rather than net income or a standard unlevered FCF DCF