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Piedmont Realty TrustPDM -2.27%67 Forward Rate of Return (Yacktman) % is 0.28% as of Jun. 2026, which is 97% below its 10-year median of 10.16. GuruFocus rates PDM with a GF Score™ of 67/100 and a GF Value™ of $7.62 (Modestly Overvalued). The stock has 10 warning signs investors should review. Among 617 REITs companies, Piedmont Realty Trust ranks worse than 74.07% on this metric.
Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. Piedmont Realty Trust's forward rate of return for was 0.28%.
The historical rank and industry rank for Piedmont Realty Trust's Forward Rate of Return (Yacktman) % or its related term are showing as below:
PDM'
s Forward Rate of Return (Yacktman) % Range Over the Past 10 Years
Min: -6.17 Med: 10.16 Max: 27.91
Current: 0.15
During the past 13 years, Piedmont Realty Trust's highest Forward Rate of Return was 27.91. The lowest was -6.17. And the median was 10.16.
PDM's Forward Rate of Return (Yacktman) % is ranked worse than 74.07% of 617
companies
in the REITs industry
Industry Median: 8.22
vs PDM: 0.15
Unlike the Earnings Yield %, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.
Unlike the Earnings Yield, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.
For the growth part of the Forward Rate of Return calculation, GuruFocus uses the 5-year average growth rate of EBITDA per share as the growth rate, and the growth rate is always capped at 20%. For the Free Cash Flow we use per share data averaged over five years. The reason we use five years is to make it comparable to the growth rate.
Be Aware
In the Forward Rate of Return calculation, the growth rate is added directly to today's free cash flow yield. Therefore the calculation is reliable only if the company can grow at the same rate in the future as it did in the past. Investors should pay close attention to this when researching growth stocks. A more accurate measurement for return is Return on Capital.
Piedmont Realty Trust Forward Rate of Return (Yacktman) % Related Terms
Piedmont Realty Trust Forward Rate of Return (Yacktman) % Historical Data
* Premium members only.
The historical data trend for Piedmont Realty Trust's Forward Rate of Return (Yacktman) % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Piedmont Realty Trust Forward Rate of Return (Yacktman) % Chart
PDM vs DEA, ESBA, HPP: Forward Rate of Return (Yacktman) % Comparison
For the REIT - Office subindustry, Piedmont Realty Trust's Forward Rate of Return (Yacktman) %, along with its competitors' market caps and Forward Rate of Return (Yacktman) % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Piedmont Realty Trust Forward Rate of Return (Yacktman) % vs REITs Industry
For the REITs industry and Real Estate sector, Piedmont Realty Trust's Forward Rate of Return (Yacktman) % distribution charts can be found below:
* The bar in red indicates where Piedmont Realty Trust's Forward Rate of Return (Yacktman) % falls into.
Piedmont Realty Trust Forward Rate of Return (Yacktman) % Calculation
Forward Rate of Return is a concept that Don Yacktman uses in his investment approach. Yacktman explained the forward rate of return concept in detail in his interview with GuruFocus. Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. He said in the interview (March 2012, when the S&P 500 was at about 1400):
If the business is stable, this calculation is fairly straightforward. For instance, on the S&P 500 we would normalize earnings. We would then calculate what percentage of those earnings are not reinvested in the underlying businesses and are therefore free. Historically, for the S&P 500, this has been just under 50% of earnings. Currently, we expect the S&P to earn about 70 on a normalized basis, a number which is far below reported earnings due to our adjusting for record high profit margins. $70 X ½ / 1400 gives you a normalized free cash flow yield of approximately 2.5%.
The historical real growth rate of the S&P 500 (companies) is about 1.5%. Assuming an inflation rate of 2.5%, the forward rate of return on an investment in the S&P 500 is about 6.5% today (2.5% free cash flow yield plus 1.5% real growth plus 2.5% inflation).
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
What does a Forward Rate of Return (Yacktman) % of 0.28% mean?
Piedmont Realty Trust (PDM) has a Forward Rate of Return (Yacktman) % of 0.28% as of Jun. 2026. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on Piedmont Realty Trust and its competitors. This is 97% below median its historical median of 10.16. According to the industry distribution chart, Piedmont Realty Trust ranks #457 out of 617 companies in the REITs industry, placing it in the top 74.1%.
Is Piedmont Realty Trust's Forward Rate of Return (Yacktman) % too high?
Piedmont Realty Trust's current Forward Rate of Return (Yacktman) % of 0.28% is 97% below median its 10-year median of 10.16. The REITs industry median Forward Rate of Return (Yacktman) % is 8.22. Piedmont Realty Trust's value of 0.28% is 96.6% below this industry median. Based on the distribution chart, Piedmont Realty Trust ranks #457 out of 617 companies in the REITs industry, which is below the industry midpoint. Overall, Piedmont Realty Trust has a GF Score™ of 67/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Piedmont Realty Trust's Forward Rate of Return (Yacktman) % compare to DEA and ESBA?
According to the REITs industry distribution chart, Piedmont Realty Trust ranks #457 out of 617 companies for Forward Rate of Return (Yacktman) %. This places Piedmont Realty Trust in the lower half of its industry. The industry median Forward Rate of Return (Yacktman) % is 8.22. Piedmont Realty Trust's value of 0.28% is 96.6% below this benchmark. While the company's 10-year median is 10.16 vs. the industry median of 8.22, Piedmont Realty Trust has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Forward Rate of Return (Yacktman) % for a REITs company?
The median Forward Rate of Return (Yacktman) % among REITs companies is 8.22, based on 617 companies in the industry. Companies in the top quartile (top 25%) have a Forward Rate of Return (Yacktman) % significantly above this median, while those in the bottom quartile fall well below. However, Forward Rate of Return (Yacktman) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Piedmont Realty Trust's current Forward Rate of Return (Yacktman) % of 0.28% is 96.6% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Forward Rate of Return (Yacktman) % mean?
A high Forward Rate of Return (Yacktman) % can signal that a stock is expensive relative to its fundamentals. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on Piedmont Realty Trust and its competitors. For the REITs industry, the median Forward Rate of Return (Yacktman) % is 8.22 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Piedmont Realty Trust's current Forward Rate of Return (Yacktman) % is 0.28%, which is 97% below median its own 10-year median of 10.16. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Piedmont Realty Trust stock overvalued right now?
Based on GuruFocus' analysis, Piedmont Realty Trust (PDM) is currently considered Modestly Overvalued. The stock's GF Value™ is $7.62, compared to a current price of $9.27 — trading 21.6% above its estimated fair value. The current Forward Rate of Return (Yacktman) % is 0.28%, which is 97% below median its 10-year median of 10.16 and 96.6% below the REITs industry median of 8.22. Piedmont Realty Trust's overall GF Score™ is 67/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Forward Rate of Return (Yacktman) % calculated?
Forward Rate of Return (Yacktman) % is calculated from a company's financial statements. For Piedmont Realty Trust (PDM), the current Forward Rate of Return (Yacktman) % is 0.28% as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Piedmont Realty Trust (PDM) Overvalued in 2026?
Based on GuruFocus' analysis, Piedmont Realty Trust stock appears to be overvalued.
The current stock price of $9.27 is trading 21.6% above its estimated GF Value™ of $7.62.
GuruFocus considers Piedmont Realty Trust to be Modestly Overvalued.
Key valuation signals for PDM:
Forward Rate of Return (Yacktman) %: 0.28% (97% below median its 10-year median of 10.16)
GF Value™: $7.62 vs. price of $9.27 (21.6% above fair value)
Industry Position: 96.6% below the REITs median (#457 of 617)
No single metric tells the full story. See the PDM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Piedmont Realty Trust Inc is a fully integrated, self-managed real estate investment company focused on delivering an exceptional office environment. As an owner, manager, developer and operator of 16 MM SF of Class A properties across U.S. Sunbelt markets, Piedmont Realty Trust is known for its hospitality-driven approach and commitment to transforming buildings into Piedmont PLACEs that enhance each client's workplace experience.
67GF Score
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Forward Rate of Return (Yacktman) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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