Intel, Ford and Target rise premarket; Deckers slumps
Investing.com - Jefferies downgraded Cousins Properties (NYSE:CUZ) from Buy to Hold on Monday, while reducing its price target to $27.00 from $34.00. The stock, currently trading at $26.62, has shown recent weakness with a -6.4% return over the past week. According to InvestingPro, the RSI suggests the stock is in oversold territory, while maintaining its impressive 46-year streak of consecutive dividend payments with a current yield of 4.81%.
The downgrade reflects Cousins Properties’ concentrated geographic exposure in Sunbelt markets, with approximately 67% of its annual base rent coming from Austin and Atlanta.
Jefferies noted that this concentration limits the real estate investment trust’s exposure to secular artificial intelligence tailwinds that are benefiting other commercial property owners.
The research firm expressed concern about Cousins Properties’ underweight exposure to AI company formations, combined with moderating migration trends in its core markets.
These factors led Jefferies to forecast lower occupancy rates, projecting 89.0% by the fourth quarter of 2027, compared to the Street consensus of 90.9%.
In other recent news, Cousins Properties reported its second-quarter 2025 earnings, which saw a slight earnings per share (EPS) beat. The company posted an EPS of $0.09, exceeding the forecasted $0.08, representing a 12.5% surprise. However, revenue was reported at $240.13 million, falling short of the anticipated $243.57 million, marking a 1.41% shortfall. Additionally, Cousins Properties announced a cash dividend of $0.32 per common share for the third quarter of 2025. The dividend is scheduled to be paid on October 15, 2025, to shareholders of record as of October 3, 2025. On the analyst front, Truist Securities adjusted its price target for Cousins Properties, lowering it to $30 from $31 while maintaining a Hold rating. The adjustment reflects reduced price-to-funds from operations (P/FFO) and price-to-net asset value (P/NAV) multiples amid declining national job growth. These developments provide investors with insights into the company’s recent financial performance and analyst perspectives.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.