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Research Alert: CFRA Retains Sell Opinion On Shares Of Camden Property Trust

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CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:

We lower our target by $6 to $94 using a forward P/FFO of 14.4x, compared to the multi-family residential REIT peer average of 15.5x. We lowered our 2026 FFO estimate by $0.05 to $6.65 and reduce 2027's by $0.20 to 6.855 per share, on projected revenue of $1.56B and $1.60B, or 2.5% Y/Y revenue growth. Management expects 2026 FFO to be in the range of $6.60 to $6.90 with a midpoint of $6.75, representing a $0.13 per share decrease from 2025 results. This decrease is anticipated to result primarily from a decrease in fee and asset management income and a significant increase in operating expenses. CPT is looking to sell rental communities in CA given regulation that limits ROI. The expected sales is projected to bring in $1.1B of capital into the Sunbelt markets for new property acquisitions, and share repurchases. However, we believe the Sunbelt markets have too much new supply in local markets that limits pricing power for CPT to raise rental rates on new leases and taper lease renewal rates as well.

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