Americold Reports a Strong Set of Numbers in Q3; We Maintain $31.50 FVE as Shares Jump 14%

No-moat-rated Americold Realty reported a strong set of numbers in the third quarter, as food manufacturers continued to ramp up production with supply chain issues and labor shortages abating in recent months. The firm reported adjusted funds from operations of $0.29 per share, 7.4% higher than the $0.27 in adjusted FFO during the third quarter of 2021. The company also increased its full-year AFFO guidance by 4.7% to a midpoint of $1.10 per share from $1.05 per share on better-than-expected same-store performance. The shares of the company jumped 14% in response to the third-quarter results. We do not plan to materially change our $31.50 fair value estimate for the company as we fully incorporate the third-quarter results.