Four Corners Property Trust's (FCPT) recently accelerated acquisition activity, with the company acquiring $360 million of property so far in 2026 compared with $318 million in 2025, signals its appetite and ability to scale external growth, UBS said in a Thursday note.
UBS said it is now forecasting 2026 and 2027 AFFO of $1.86 and $1.97, and that it expects consensus estimates to move higher on recent and future acquisitions, according to the note.
Four Corners Property Trust's balance sheet has ample capacity to support an acceleration in growth, UBS said, adding that it expects 2026 acquisitions to be funded primarily with debt given its borrowing costs in the mid-to-high 4% range compared with UBS' estimated implied cap rate of 6.8%.
The company has also been issuing equity when its valuation is attractive, meaning that as investors recognize the company's improved growth profile, Four Corners Property Trust should have access to both debt and equity capital to support continued acquisition activity, UBS said.
UBS maintained its buy rating on the company's stock with a $30 price target.
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