Why Brandywine Realty Trust Stock Slumped More Than 10% in February

Shares of Brandywine Realty Trust (NYSE: BDN) slumped 10.2% in February, according to data provided by S&P Global Market Intelligence. Weighing on the real estate investment trust (REIT) was its fourth-quarter results and guidance for the coming year. While those numbers suggest the office REIT could maintain its dividend, which currently yields an eye-popping 13.5%, the payout's longer-term outlook remains unclear. 

Brandywine Realty Trust reported solid results last month. The office REIT generated $55.7 million, or $0.32 per share, of funds from operations (FFO). That was right in line with the analysts' consensus estimate. The company also signed 168,000 square feet of leases in the period, pushing occupancy to 91.1%. 

The REIT also introduced its FFO guidance range for 2023 at $1.12 to $1.20 per share. At the midpoint, it's below analysts' expectations that the REIT would produce $1.19 per share of FFO this year. That's largely due to higher interest expenses from its recent debt refinancing. 

Continue reading


Source Fool.com