Americold Ends the Year With Decent Results in Q4; We Maintain Our $31.50 Fair Value Estimate

No-moat-rated Americold Realty reported decent results in the fourth quarter as food manufacturers continued to ramp up production in recent months. The firm reported adjusted funds from operations of $0.29 per share, 6.4% lower than the $0.31 in adjusted FFO during the fourth quarter of 2021. The year-over-year decline in AFFO was partly due to quarterly fluctuations in expenses like maintenance capital expenditure. Core EBITDA, which is less prone to quarterly fluctuations, increased by 10.5% compared with the previous year. Our 2023 AFFO estimate of $1.22 per share is mostly in line with management's 2023 full-year AFFO guidance of $1.14-$1.24 per share. We do not plan to change our $31.50 fair value estimate for the company as we incorporate the fourth-quarter results.