W. P. Carey (WPC) closed 2025 with strong investment activity, reaching the top of its guidance and positioning for a solid 2026, RBC Capital Markets said.
According to the report Wednesday, the real estate investment trust acquired $2.1 billion in properties last year, including $322 million for Life Time Fitness centers and sold $500 million in assets, both at the high end of its guidance.
The brokerage said W. P. Carey's recent At-The-Market issuance, along with prior equity and expected cash flow, mostly covers 2026 acquisitions of $1.6 billion to $1.7 billion. RBC said that the bad debt came in better than expected at $6 million.
Reflecting stronger acquisitions and favorable credit trends, the investment firm raised its diluted AFFO per share estimates for 2025-2027 to $4.97, $5.16 and $5.27 from $4.96, $5.12 and $5.21, respectively.
RBC raised its price target on the company's stock to $70 from $69, with a sector perform rating.
Shares of W. P. Carey were up 1.4% in recent Thursday trading.
Price: 67.24, Change: +0.93, Percent Change: +1.40
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