🔥 Premium AI-powered Stock Picks from InvestingPro Now up to 50% OffCLAIM SALE

Goldman Sachs maintains buy on Kilroy Realty stock

EditorAhmed Abdulazez Abdulkadir
Published 03/05/2024, 18:20
KRC
-

On Friday, Goldman Sachs (NYSE:GS) reaffirmed its Buy rating and $43.00 price target for Kilroy Realty Corporation (NYSE:KRC), following the company's first-quarter financial results for 2024. Kilroy Realty reported first-quarter funds from operations per share (FFOPS) of $1.11, marking a 1% increase over Goldman Sachs estimates and a 4% rise against the consensus.

The real estate investment trust (REIT) also adjusted its full-year 2024 FFO guidance upwards by 1%, setting the new midpoint at $4.23. This updated guidance remains 1% below Goldman Sachs' own projection of $4.27, with the firm anticipating further positive revisions throughout the year based on the company's history of surpassing its initial forecasts.

Kilroy Realty's occupancy rates were in line with expectations, while leasing spreads showed a 9% increase on a Generally Accepted Accounting Principles (GAAP) basis and a 3% decrease on a cash basis. The company's operational performance included approximately 400,000 square feet of signed leases. Excluding short-term agreements, 284,000 square feet were signed, which is consistent with the previous year's figures and estimated to be 12% higher than the average levels recorded in the first quarters of 2018 and 2019.

The firm expressed confidence that Kilroy Realty's stock would outperform other REITs due to its strong first-quarter performance, upwardly revised full-year guidance, and robust leasing activity. Additional details from Kilroy Realty's earnings release and points of discussion for the earnings call were also highlighted by the firm, emphasizing the solid foundation for the company's anticipated market performance.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.