Citizens JMP Reiterates Market Perform Rating on W. P. Carey & Co. (WPC)

Citizens JMP analyst Mitch Germain reiterated a Market Perform rating on W. P. Carey & Co. (NYSE: WPC).

The analyst commented, “We maintain our Market Perform rating on shares of W.P. Carey after the company released a 1Q update, detailing progress on tenant credit issues that have previously surfaced, as management turns to dispositions to steady operating cash flows; maintain Market Perform rating. Management’s commitment to transparency toward recent tenant credit issues, which have had a negligible impact on operating rents to date, has been welcomed by the investment community. While the outcome of some of these issues is uncertain, with the company taking an aggressive posture toward re-tenanting and dispositions, we do not anticipate negative implications to the share price. We view the pathway to resolution as achievable, with negligible bottom-line impact, while investment volume is starting the year strong, though down Y/Y. With $2B+ of liquidity at its disposal at the start of 2025 and $750M of dispositions at the midpoint, there is little reliance on capital markets to achieve its investment target ($1.25B at the midpoint). Still, macro noise (tariffs/recession) creates some hesitation to take a more aggressive posture, and we view the current half-turn discount as appropriate, with shares trading 12.6x 2025E AFFO/share, suggesting shares are fairly valued.”

For an analyst ratings summary and ratings history on W. P. Carey & Co. click here. For more ratings news on W. P. Carey & Co. click here.

Shares of W. P. Carey & Co. closed at $61.38 yesterday.

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