Evercore ISI raises Tanger's PT to $36 from $35, maintains In-Line rating.

Evercore ISI raises Tanger's PT to $36 from $35, maintains In-Line rating.

In a recent update, Evercore ISI has raised its price target for Tanger Inc. (NYSE: SKT) to $36, from the previous $35, while maintaining an In-Line rating, according to a WRAL MarketMinute article. This move comes amid a backdrop of strong financial performance and a recent dividend declaration by Tanger, which has signaled the company's robust health and commitment to shareholder returns.

Tanger Inc. announced a quarterly cash dividend of $0.2925 per share on October 14, 2025, reflecting an annualized payout of $1.17 per share. This increase brings the company's annualized dividend to $1.17 per share, representing an annual yield of approximately 3.6% and an annualized increase of 7.8%. The dividend was approved by Tanger's Board of Directors and is scheduled for payment on November 14, 2025, to common shareholders of record as of the close of business on October 31, 2025.

The financial performance of Tanger Inc. for the last reported quarter (ending August 4, 2025) underscores the company's resilience. Tanger reported earnings per share (EPS) of $0.58, surpassing analysts' consensus estimates of $0.56, with revenue of $133.44 million, exceeding estimates of $132.02 million. The company's revenue also saw a healthy 9.2% year-over-year increase, as noted in the article.

Evercore ISI's positive outlook is supported by Tanger's strong dividend growth and financial stability. The company has shown a consistent pattern of dividend increases, raising its payout eight times in the past five years. The current payout ratio of 119.4% indicates a temporary reliance on the balance sheet for dividend payments, but analysts are optimistic about its future sustainability, the WRAL article added.

The impact of Tanger's dividend declaration extends beyond the company itself. Competitors in the retail REIT sector may face increased pressure to demonstrate similar financial stability and commitment to shareholder returns. Meanwhile, Tanger's major tenants, such as Gap, Nike, and Under Armour, may benefit from the company's financial stability, potentially leading to increased foot traffic and a better shopping environment, according to the article.

Tanger's strategy aligns with broader industry trends, including the rise of e-commerce and evolving consumer preferences. The company's focus on premium outlet centers and its diversified tenant mix reflect a move towards broader shopping centers and open-air plazas, which are seeing stable demand due to limited new supply, the article observed.

In the future, Tanger Inc. is poised for strategic pivots and market opportunities. The company is actively pursuing portfolio diversification, enhanced tenant mix, customer-centric innovation, and sustainable development goals. These strategic initiatives are expected to drive growth and maintain investor confidence, the WRAL piece concluded.