PECO vs. NNN

Last updated Jun 4, 2026

PECO (Phillips Edison & Company, Inc.) and NNN (National Retail Properties, Inc.) are both stocks. Both operate in the REIT - Retail industry within the Real Estate sector. Over the past 3 years, PECO returned 12.71%/yr vs 6.64%/yr for NNN. A 0.59 correlation means they provide meaningful diversification when combined.

Performance

PECO vs. NNN - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Phillips Edison & Company, Inc. (PECO) and National Retail Properties, Inc. (NNN). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PECO achieves a 11.17% return, which is significantly lower than NNN's 14.71% return.

PECO

• 1D: -0.89%
• 1M: -1.55%
• YTD: 11.17%
• 6M: 13.75%
• 1Y: 13.47%
• 3Y*: 12.71%
• 5Y*: —
• 10Y*: —

NNN

• 1D: 0.84%
• 1M: 0.30%
• YTD: 14.71%
• 6M: 10.58%
• 1Y: 12.62%
• 3Y*: 6.64%
• 5Y*: 3.52%
• 10Y*: 4.44%

*Multi-year figures are annualized to reflect compound growth (CAGR)

PECO vs. NNN - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
PECO Phillips Edison & Company, Inc.	11.17%	-1.59%	6.20%	18.53%	-0.33%	20.40%
NNN National Retail Properties, Inc.	14.71%	2.81%	-0.06%	-0.60%	-0.01%	1.33%

Correlation

The correlation between PECO and NNN is 0.51, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.51
Correlation (3Y) Calculated over the trailing 3-year period	0.57
Correlation (All Time) Calculated using the full available price history since Jul 16, 2021	0.59

The correlation between PECO and NNN has been stable across timeframes, ranging from 0.51 to 0.59 - a consistent structural relationship.

Fundamentals

EPS PECO : $1.15 NNN : $2.05
PE Ratio PECO : 34.03 NNN : 21.51
PEG Ratio PECO : 0.49 NNN : 2.44
PS Ratio PECO : 5.31 NNN : 8.90
Total Revenue (TTM) PECO : $739.02M NNN : $935.78M
Gross Profit (TTM) PECO : $525.25M NNN : $761.54M
EBITDA (TTM) PECO : $502.64M NNN : $870.06M

Return for Risk

PECO vs. NNN — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

PECO

PECO Risk / Return Rank: 66
PECO Sharpe Ratio Rank: 68
PECO Sortino Ratio Rank: 63
PECO Omega Ratio Rank: 57
PECO Calmar Ratio Rank: 70
PECO Martin Ratio Rank: 70

NNN

NNN Risk / Return Rank: 62
NNN Sharpe Ratio Rank: 65
NNN Sortino Ratio Rank: 57
NNN Omega Ratio Rank: 55
NNN Calmar Ratio Rank: 67
NNN Martin Ratio Rank: 67

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

PECO vs. NNN - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Phillips Edison & Company, Inc. (PECO) and National Retail Properties, Inc. (NNN). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	PECO	NNN	Difference
Sharpe ratio Return per unit of total volatility	0.89	0.78	+0.11
Sortino ratio Return per unit of downside risk	1.42	1.17	+0.24
Omega ratio Gain probability vs. loss probability	1.15	1.14	+0.02
Calmar ratio Return relative to maximum drawdown	1.63	1.44	+0.20
Martin ratio Return relative to average drawdown	3.74	3.31	+0.44
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PECO vs. NNN - Sharpe Ratio Comparison

The current PECO Sharpe Ratio is 0.89, which is comparable to the NNN Sharpe Ratio of 0.78. The chart below compares the historical Sharpe Ratios of PECO and NNN, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	PECO	NNN	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.89	0.78	+0.11
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.18	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.16	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.48	0.40	+0.08

Drawdowns

PECO vs. NNN - Drawdown Comparison

The maximum PECO drawdown since its inception was -23.11%, smaller than the maximum NNN drawdown of -56.17%. Use the drawdown chart below to compare losses from any high point for PECO and NNN.

Drawdown Indicators

	PECO	NNN	Difference
Max Drawdown Largest peak-to-trough decline	-23.11%	-56.17%	+33.06%
Max Drawdown (1Y) Largest decline over 1 year	-8.30%	-8.83%	+0.53%
Max Drawdown (3Y) Largest decline over 3 years	-15.78%	-22.03%	+6.25%
Max Drawdown (5Y) Largest decline over 5 years	—	-25.22%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-54.99%	—
Current Drawdown Current decline from peak	-4.58%	-2.45%	-2.13%
Average Drawdown Average peak-to-trough decline	-6.51%	-9.82%	+3.31%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.61%	3.82%	-0.21%

Volatility

PECO vs. NNN - Volatility Comparison

Phillips Edison & Company, Inc. (PECO) and National Retail Properties, Inc. (NNN) have volatilities of 4.63% and 4.61%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PECO	NNN	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.63%	4.61%	+0.02%
Volatility (6M) Calculated over the trailing 6-month period	10.68%	11.44%	-0.76%
Volatility (1Y) Calculated over the trailing 1-year period	15.27%	16.32%	-1.05%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.58%	19.66%	+2.92%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.58%	28.08%	-5.50%

Dividends

PECO vs. NNN - Dividend Comparison

PECO's dividend yield for the trailing twelve months is around 3.29%, less than NNN's 5.43% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
NNN National Retail Properties, Inc.	5.43%	5.96%	5.61%	5.17%	4.72%	4.37%	5.06%	3.79%	4.02%	4.31%	4.03%	4.27%
PECO Phillips Edison & Company, Inc.	3.29%	3.52%	3.18%	3.12%	3.43%	1.33%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Financials

PECO vs. NNN - Profitability Comparison

The chart below illustrates the profitability comparison between Phillips Edison & Company, Inc. and National Retail Properties, Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

PECO - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Phillips Edison & Company, Inc. reported a gross profit of 135.68M and revenue of 190.74M. Therefore, the gross margin over that period was 71.1%.

NNN - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, National Retail Properties, Inc. reported a gross profit of 230.63M and revenue of 240.42M. Therefore, the gross margin over that period was 95.9%.

PECO - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Phillips Edison & Company, Inc. reported an operating income of 58.21M and revenue of 190.74M, resulting in an operating margin of 30.5%.

NNN - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, National Retail Properties, Inc. reported an operating income of 146.65M and revenue of 240.42M, resulting in an operating margin of 61.0%.

PECO - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Phillips Edison & Company, Inc. reported a net income of 30.38M and revenue of 190.74M, resulting in a net margin of 15.9%.

NNN - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, National Retail Properties, Inc. reported a net income of 93.95M and revenue of 240.42M, resulting in a net margin of 39.1%.

Frequently Asked Questions

Can I hold both PECO and NNN in my portfolio?

PECO and NNN have a correlation of 0.51, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PECO or NNN?

PECO has higher volatility (4.63%) compared to NNN (4.61%). In terms of maximum drawdown, PECO dropped -23.11% vs NNN's -56.17%.

Which has better risk-adjusted returns?

PECO currently has the higher Sharpe Ratio (0.89 vs 0.78), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.