BMO Capital reiterates Boston Properties stock rating, raises price target

Published 23/06/2025, 15:18
BMO Capital reiterates Boston Properties stock rating, raises price target

Investing.com - BMO Capital on Monday reiterated its Outperform rating on Boston Properties Inc. (NYSE:BXP), a $12.7 billion market cap office REIT, while raising its price target to $86.00. The stock currently trades at $72.07, offering a substantial 5.48% dividend yield.

The research firm noted that Boston Properties is strategically moving its portfolio "further upscale" through new developments and selective asset sales, while reducing its focus on suburban properties. According to InvestingPro, the company has maintained dividend payments for 29 consecutive years, demonstrating consistent shareholder returns.

BMO Capital highlighted that Boston Properties is already achieving premium rental rates across its portfolio and is now positioning its assets to capitalize on the evolving artificial intelligence landscape.

The firm indicated that Boston Properties is concentrating its development efforts primarily on East Coast markets, while its San Francisco properties continue to show recovery.

BMO Capital's analysis follows recent investor meetings with Boston Properties' Chairman and CEO Owen Thomas, CFO and Treasurer Mike LaBelle, and VP of Investor Relations Helen Han, which were held in the United Kingdom (TADAWUL:4280) and Europe.

In other recent news, Boston Properties has seen a variety of updates from analysts and developments in its business. JPMorgan upgraded Boston Properties from Underweight to Neutral, increasing the price target to $78.00, due to signs of improving leasing activity and a broader office recovery. Citi maintained a Neutral rating with a $70.00 price target, noting Boston Properties' strong leasing activity in New York City and the West Coast, along with progress in selling non-income producing land parcels. Evercore ISI reiterated an Outperform rating, highlighting a 10% increase in the company's leasing pipeline and significant interest in future development projects like 343 Madison.

Truist Securities adjusted its price target from $75.00 to $71.00 while maintaining a Hold rating, citing tenant move-outs affecting future funds from operations. Piper Sandler reaffirmed its Overweight rating with an $85.00 price target, emphasizing Boston Properties' growth potential amid increasing demand for premium office spaces. The company is actively marketing land parcels to reduce leverage and improve funds from operations, targeting $400 million in land sales. Despite some challenges, analysts like Piper Sandler's Alexander Goldfarb express optimism about Boston Properties' ability to capitalize on the current market conditions. These recent developments provide a nuanced view of Boston Properties' positioning in the evolving real estate landscape.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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