Stifel lowers Postal Realty Trust stock price target to $17.75 on guidance update

Published 05/08/2025, 13:58
Stifel lowers Postal Realty Trust stock price target to $17.75 on guidance update

Investing.com - Stifel has reduced its price target on Postal Realty Trust (NYSE:PSTL), a $427 million market cap REIT with a notable 6.94% dividend yield, to $17.75 from $18.25 while maintaining a Buy rating on the stock. According to InvestingPro analysis, the stock appears fairly valued at current levels.

The price target adjustment comes as Postal Realty Trust updated its fiscal year 2025 AFFO (Adjusted Funds From Operations) guidance to a range of $1.24-$1.26, up from its previous guidance of $1.20-$1.22, compared to the Street consensus of $1.23.

The updated guidance implies year-over-year growth of 7.8% at the midpoint, according to Stifel’s analysis of the real estate investment trust’s outlook.

Postal Realty Trust’s revised forecast includes investment volume of $90 million or more, increased from the previous range of $80-$90 million, alongside cash G&A expense projections of $10.5-$11.5 million, up from $10.5-$11.0 million.

Stifel noted that Postal Realty Trust’s guidance could potentially be raised again when the company releases its third-quarter results.

In other recent news, Postal Realty Trust has announced a 1% increase in its quarterly dividend, setting it at $0.2425 per share for its Class A common stock. This dividend will be distributed to shareholders on August 29, 2025. In addition, Stifel has raised its price target for Postal Realty Trust to $18.25, maintaining a Buy rating, following adjustments to the company’s Net Asset Value estimate. The company also experienced a leadership change as CFO Robert Klein resigned to join another real estate firm, with President Jeremy Garber stepping in as interim CFO.

Furthermore, Postal Realty Trust held its 2025 Annual Meeting of Stockholders, where key proposals were discussed, including the election of five directors. These directors will serve until the 2026 Annual Meeting. The meeting also covered the ratification of the company’s independent auditor and advisory votes on executive compensation. These developments provide a snapshot of the company’s recent activities and strategic adjustments.

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