Rexford stock hits 52-week low at $41.08 amid market shifts

Published 05/12/2024, 15:32
Rexford stock hits 52-week low at $41.08 amid market shifts

In a notable shift within the real estate sector, shares of Rexford Industrial Realty (REXR) have touched a 52-week low, dipping to $41.08. According to InvestingPro data, the company maintains a solid dividend track record, having raised its dividend for 12 consecutive years, with a current yield of 4.04%. This movement reflects a broader trend affecting the industry, as investors recalibrate their portfolios in response to changing economic signals. Over the past year, Rexford has seen its stock price decrease by 20.27%, a significant retreat from previous valuations. Despite the decline, the company maintains strong fundamentals with a 77.49% gross profit margin and an "GOOD" Financial Health score according to InvestingPro analysis. This downturn mirrors investor sentiment as they navigate through a landscape of fluctuating interest rates and a reevaluation of growth prospects within the industrial real estate market. Rexford's performance is closely watched by market analysts, as it often serves as a bellwether for the health of the industrial property sector, particularly in the strategically important markets of Southern California. For deeper insights into REXR's valuation and growth prospects, investors can access the comprehensive Pro Research Report, available exclusively on InvestingPro.

In other recent news, Rexford Industrial Realty reported a 5.4% year-over-year increase in funds from operations (FFO) for the third quarter, reaching $0.59 per share. The company also raised its full-year 2023 FFO guidance to between $2.33 and $2.35 per share, indicating a 7% year-over-year growth. Despite a 7.5% year-over-year drop in market rents, Rexford projects $222 million in internal cash NOI growth over the next three years.

On the executive front, Rexford Industrial appointed Michael Fitzmaurice as the new Chief Financial Officer and promoted Laura Clark to Chief Operating Officer. Analyst firm Baird maintained a Neutral rating on Rexford's shares, viewing the current trading price as a potential opportunity for investors. However, BofA Securities downgraded Rexford's stock from Buy to Neutral and reduced the price target to $49.00, citing a slower-than-expected demand recovery in the Los Angeles market. Conversely, Evercore ISI maintained an Outperform rating for Rexford, albeit with a reduced price target of $55.00.

These are the recent developments that investors should keep an eye on.

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