Stifel has revised its price target for Camden Property (CPT, Financial), increasing it slightly from $122 to $122.75. The decision follows the company's first-quarter report and future guidance. Despite the adjustment, Stifel maintains a Hold rating on the stock.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 21 analysts, the average target price for Camden Property Trust (CPT, Financial) is $129.08 with a high estimate of $148.00 and a low estimate of $118.00. The average target implies an upside of 12.41% from the current price of $114.83. More detailed estimate data can be found on the Camden Property Trust (CPT) Forecast page.
Based on the consensus recommendation from 25 brokerage firms, Camden Property Trust's (CPT, Financial) average brokerage recommendation is currently 2.4, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Camden Property Trust (CPT, Financial) in one year is $121.99, suggesting a upside of 6.24% from the current price of $114.83. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Camden Property Trust (CPT) Summary page.
CPT Key Business Developments
Release Date: February 07, 2025
- Core Funds from Operations (FFO): $190.4 million or $1.73 per share for Q4 2024, $0.03 ahead of prior guidance.
- Same-Store Revenue Growth: 1.3% for 2024.
- Same-Store Expense Growth: 1.8% for 2024.
- Same-Store NOI Growth: 1.1% for 2024.
- Core FFO Guidance for 2025: $6.60 to $6.90 per share, midpoint of $6.75.
- 2025 Revenue Growth Expectation: 1% for same-store properties.
- 2025 Expense Growth Expectation: 3% for same-store properties.
- Debt to EBITDA Ratio: 3.8 times.
- Development and Acquisitions: $750 million anticipated for both acquisitions and dispositions in 2025.
- Net Debt: Less than $200 million outstanding on a $1.2 billion credit facility.
- Occupancy Rate: Expected to average 95.4% in 2025.
- Rental Income Growth: Budgeted at 1% for 2025.
- Interest Expense Increase: $0.10 per share increase anticipated for 2025.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Camden Property Trust (CPT, Financial) anticipates a positive market backdrop in 2025, with new supply pressures expected to lessen, setting the stage for improved revenue and net operating income growth.
- The company exceeded its operating budgets in 2024 despite record supply, showcasing strong operational performance.
- Camden Property Trust (CPT) plans to recycle capital by acquiring newer properties and disposing of older, more capital-intensive assets, aiming for long-term core FFO growth.
- The company reported core funds from operations for Q4 2024 of $1.73 per share, which was $0.03 ahead of the midpoint of prior guidance.
- Camden Property Trust (CPT) maintains a strong balance sheet with net debt to EBITDA at 3.8 times, providing capacity for future opportunities.
Negative Points
- Camden Property Trust (CPT) anticipates a decrease in core FFO per share for 2025, with a midpoint of $6.75, representing a $0.10 per share decrease from 2024.
- The company expects same-store revenue growth of only 1% for 2025, with some markets like Nashville and Austin facing continued challenges due to new supply.
- Camden Property Trust (CPT) is experiencing slower leasing in its single-family rental communities, which could impact revenue growth.
- The company anticipates a 100 basis point negative FFO yield differential for matching acquisitions and dispositions in 2025.
- Camden Property Trust (CPT) faces potential risks from economic downturns, which could impact overall performance despite a positive supply outlook.
