LXP Industrial Trust (LXP) AI Stock Analysis

• Market Cap: $2.41B
• Dividend Yield: 6.15%
• Average Volume (3M): 3.64M
• Price to Earnings (P/E): 29.4
• Beta (1Y): 0.70
• Revenue Growth: 6.64%
• EPS Growth: 210.89%
• Country: US
• Employees: 59
• Sector: Real Estate
• Sector Strength: 48
• Industry: REIT - Industrial
• EPS (TTM): 0.09
• Shares Outstanding: 295,786,200
• 10 Day Avg. Volume: 3,131,043
• 30 Day Avg. Volume: 3,644,912
• PEG Ratio: 0.91
• Price to Book (P/B): 1.13
• Price to Sales (P/S): 6.60
• P/FCF Ratio: 12.24
• Enterprise Value/Market Cap: 1.61
• Enterprise Value/Revenue: 10.66
• Enterprise Value/Gross Profit: 37.48
• Enterprise Value/Ebitda: 15.95
• 1Y Price Target: $9.00
• Price Target Upside: 3.45% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 69 Neutral
• Price Target: $9.00 ▲(3.45% Upside)

LXP Industrial Trust's overall stock score reflects a solid financial position with strong revenue growth and profitability. The positive sentiment from the earnings call, highlighting strategic leasing and debt management, boosts the score. However, technical analysis indicates potential overvaluation and bearish momentum, while the decline in free cash flow growth poses a risk to future liquidity. Investors should weigh the attractive dividend yield against these risks.

Positive Factors

Market Expansion

LXP Industrial Trust has improved their exposure to higher growth markets while incurring no bottom-line dilution in the process.

Occupancy and Rent Growth

Occupancy increased to 93.6%, with rents on leasing activities expanding by roughly 40%, indicating strong demand.

Operational Performance

LXP Industrial Trust has become a pure-play industrial REIT with favorable operating trends.

Negative Factors

Earnings Performance

Earnings have been lower year-over-year due to the lack of lease updates on newly completed developments.

Leasing Challenges

Leasing challenges pertaining to speculative big-box vacant developments continue to impact sentiment, bottom-line earnings, and leverage.

Vacancy Issues

Three 1Msf+ developments that were placed in service currently still sit vacant, impacting leasing activity.

LXP Industrial Trust Business Overview & Revenue Model

Company Description

Lexington Realty Trust (NYSE: LXP) is a publicly traded real estate investment trust (REIT) that owns a portfolio of real estate assets consisting primarily of equity investments in single-tenant net-leased industrial properties across the United States. Lexington seeks to expand its industrial portfolio through build-to-suit transactions, sale-leaseback transactions and other transactions, including acquisitions.

How the Company Makes Money

LXP Industrial Trust generates revenue primarily through rental income from its portfolio of industrial properties, which are leased to tenants under long-term, net lease agreements. In a net lease structure, tenants are responsible for property-related expenses such as maintenance, insurance, and property taxes, which allows LXP to enjoy a stable income stream with lower operational costs. The company also benefits from rental escalations over time, which can enhance revenue growth. Additionally, LXP may realize income through property sales or dispositions, capitalizing on appreciation in asset values. Their strategic partnerships with leading logistics and distribution companies further solidify their tenant base, contributing to consistent occupancy rates and reliable cash flows.

LXP Industrial Trust Financial Statement Overview

Summary

LXP Industrial Trust has demonstrated solid financial health with stable revenue growth and strong profit margins. However, leverage levels and fluctuations in net income pose potential risks.

Income Statement

The income statement shows a stable revenue growth with the TTM (Trailing-Twelve-Months) revenue at $361.07 million, a slight increase from the previous year. Gross profit margin is moderate at 28.5%, while net profit margin has improved to 17.67% from 12.42% in the prior year. EBIT and EBITDA margins are strong at 17.13% and 71.39% respectively, indicating efficient operational management. However, fluctuations in net income over the years suggest some volatility in profitability.

Balance Sheet

The balance sheet remains solid with a debt-to-equity ratio of 0.74, indicating moderate leverage. The equity ratio stands at 55.18%, reflecting a strong equity base. Return on Equity (ROE) improved to 3.07%, showcasing a better return for shareholders. However, the total assets have slightly decreased, and the company's high debt level could pose future risks if not managed properly.

Cash Flow

Cash flow analysis shows a healthy free cash flow of $192.76 million for the TTM, with an operating cash flow to net income ratio of 3.33, highlighting strong cash generation capabilities relative to net income. The free cash flow to net income ratio is 3.02, indicating that the company manages to convert its earnings effectively into cash flow. The free cash flow growth rate is consistent, although reliant on stable operating cash flows due to high capital expenditures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	363.00M	358.46M	340.50M	321.25M	344.00M	330.45M
Gross Profit	103.28M	105.08M	98.58M	85.81M	119.54M	126.94M
EBITDA	242.71M	257.96M	245.81M	227.57M	260.79M	258.16M
Net Income	87.49M	44.53M	30.38M	113.78M	382.65M	183.30M
Balance Sheet
Total Assets	3.72B	3.84B	4.19B	4.05B	4.01B	3.49B
Cash, Cash Equivalents and Short-Term Investments	70.98M	101.84M	329.39M	54.39M	190.93M	178.79M
Total Debt	1.41B	1.46B	1.66B	1.39B	1.53B	1.25B
Total Liabilities	1.63B	1.72B	1.93B	1.66B	1.68B	1.50B
Stockholders Equity	2.06B	2.10B	2.23B	2.35B	2.29B	1.97B
Cash Flow
Free Cash Flow	191.25M	193.41M	191.51M	161.71M	205.14M	184.59M
Operating Cash Flow	217.10M	211.19M	209.45M	194.27M	220.35M	201.84M
Investing Cash Flow	51.96M	86.40M	-183.45M	-236.92M	-337.76M	-494.35M
Financing Cash Flow	-246.73M	-394.98M	118.96M	-93.87M	129.10M	342.63M

LXP Industrial Trust Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8.70
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LXP, the sentiment is Positive. The current price of 8.7 is above the 20-day moving average (MA) of 8.10, above the 50-day MA of 8.28, and above the 200-day MA of 8.30, indicating a bullish trend. The MACD of 0.06 indicates Negative momentum. The RSI at 67.37 is Neutral, neither overbought nor oversold. The STOCH value of 86.71 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for LXP.

LXP Industrial Trust Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
STAG	79 Outperform	$6.88B	28.56	6.89%	4.14%	8.56%	22.20%
FR	74 Outperform	$6.91B	24.74	10.33%	3.26%	9.66%	-4.60%
REXR	74 Outperform	$9.34B	29.34	3.74%	4.31%	13.66%	11.34%
IIPR	73 Outperform	$1.48B	11.39	7.04%	14.40%	-7.80%	-18.78%
TRNO	72 Outperform	$5.75B	22.17	6.85%	3.52%	22.17%	40.80%
LXP	69 Neutral	$2.41B	29.42	4.15%	6.15%	6.64%	210.89%
Sector *	53 Neutral	$1.23B	2.70	-5.89%	5.63%	-2.28%	-110.71%

LXP Industrial Trust Corporate Events

LXP Industrial Trust Reports Strong Q2 2025 Financials

In the second quarter of 2025, LXP Industrial Trust reported a net income of $27.5 million and an adjusted company funds from operations of $47.3 million. The company achieved a 4.7% increase in same-store NOI and leased a significant development project, contributing to increased occupancy. LXP also extended leases, commenced redevelopment projects, and repurchased securities to reduce leverage. The sale of a warehouse facility for $39.6 million and the repurchase of trust preferred securities further strengthened their financial position.

LXP Industrial Trust’s Annual Shareholder Meeting Outcomes

On May 27, 2025, LXP Industrial Trust held its Annual Meeting of Shareholders, where approximately 92% of eligible common shares were represented. Key decisions included the election of eight trustees, approval of executive compensation, an amendment to the equity-based award plan, and the ratification of Deloitte & Touche LLP as the accounting firm for 2025. These outcomes reflect the company’s strategic direction and governance priorities, potentially impacting shareholder value and operational focus.