BXP Q4 EPS beats estimates on gains from property sales

Overview

• U.S. workplace developer's Q4 revenue rose 2.2%, beating analyst expectations

• EPS for Q4 exceeded estimates, driven by gains from property sales

• FFO per share for Q4 missed expectations due to non-cash rent reserves and higher G&A costs

Outlook

• BXP projects Q1 2026 EPS of $0.32 - $0.34 and FFO of $1.56 - $1.58

• Company expects full-year 2026 EPS of $2.08 - $2.29 and FFO of $6.88 - $7.04

Result Drivers

• LEASING ACTIVITY - Executed over 1.8 mln SF of leases in Q4, boosted occupancy by 70 basis points

• ASSET SALES - Gains from property sales drove EPS above midpoint of BXP’s guidance, contributing $0.74 per share

• FFO IMPACT - FFO affected by non-cash rent reserves and higher G&A costs

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 11 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the commercial reits peer group is "buy"

• Wall Street's median 12-month price target for BXP Inc is $77.50, about 18.8% above its January 27 closing price of $65.22

• The stock recently traded at 29 times the next 12-month earnings vs. a P/E of 36 three months ago

Press Release: ID:nBw6T5zVLa

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