Piedmont Office (PDM) AI Stock Analysis

• Market Cap: $931.82M
• Dividend Yield: 6.68%
• Average Volume (3M): 1.14M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.09
• Revenue Growth: -6.23%
• EPS Growth: 18.07%
• Country: US
• Employees: 150
• Sector: Real Estate
• Sector Strength: 67
• Industry: REIT - Office
• EPS (TTM): -0.08
• Shares Outstanding: 124,408,010
• 10 Day Avg. Volume: 1,105,826
• 30 Day Avg. Volume: 1,136,500
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.61
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 12.05
• Enterprise Value/Market Cap: 3.32
• Enterprise Value/Revenue: 1.41
• Enterprise Value/Gross Profit: -443.12
• Enterprise Value/Ebitda: 2.43
• 1Y Price Target: $8.50
• Price Target Upside: 13.48% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 52 Neutral
• Price Target: $7.00 ▼(-6.54%Downside)

The overall stock score reflects significant financial challenges and valuation concerns, partially offset by positive leasing momentum and technical indicators suggesting near-term stability. The suspension of dividends and macroeconomic uncertainties further temper the outlook.

Piedmont Office Business Overview & Revenue Model

Company Description

Piedmont Office Realty Trust, Inc. (NYSE: PDM) is an owner, manager, developer, redeveloper, and operator of high-quality, Class A office properties located primarily in select sub-markets within seven major Eastern U.S. office markets, with the majority of its revenue being generated from the Sunbelt. Its geographically-diversified, approximately $5 billion portfolio is currently comprised of approximately 17 million square feet. The Company is a fully-integrated, self-managed real estate investment trust (REIT) with local management offices in each of its markets and is investment-grade rated by S&P Global Ratings (BBB) and Moody's (Baa2). At the end of the third quarter, approximately 63% of the company's portfolio was ENERGY STAR certified and approximately 41% was LEED certified.

How the Company Makes Money

Piedmont Office Realty Trust makes money primarily through leasing office space in its portfolio of properties to a diverse range of tenants including corporations, government agencies, and other entities. Rental income from these leases constitutes the majority of the company's revenue. Additionally, Piedmont may engage in strategic property sales and acquisitions to optimize its portfolio, which can also contribute to its earnings. The company focuses on maintaining high occupancy rates and attracting long-term tenants to ensure a steady revenue stream. Partnerships with property management firms and local economic development organizations may enhance Piedmont's ability to attract and retain high-quality tenants, thus supporting its financial performance.

Piedmont Office Financial Statement Overview

Summary

Piedmont Office's financial performance shows significant challenges with negative profitability metrics and inconsistent revenue growth. A moderate balance sheet and subdued cash flow generation highlight potential risks and the need for strategic improvements.

Income Statement

Piedmont Office's income statement reveals challenges in achieving profitability, with a negative net income in the TTM period and declining EBIT and EBITDA margins. The gross profit margin has turned negative, indicating pressure on cost management or revenue generation. Revenue growth is inconsistent, with a significant drop recently, reflecting operational difficulties.

Balance Sheet

The balance sheet shows moderate stability with a reasonable debt-to-equity ratio and a positive equity ratio, implying the company is not overly leveraged. However, the return on equity is negative due to persistent net losses, raising concerns about shareholder value creation.

Cash Flow

Cash flow analysis indicates pressure on free cash flow, with a notable decline in the TTM period. The operating cash flow remains positive, but the free cash flow to net income ratio is unfavorable due to negative net income. This suggests challenges in converting earnings into cash.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
568.47M	570.32M	577.76M	563.77M	528.71M	535.02M
	Gross Profit
-6.99M	336.20M	340.72M	337.71M	317.78M	320.09M
	EBIT
74.64M	74.24M	77.26M	86.74M	91.13M	91.34M
	EBITDA
288.36M	270.46M	231.06M	234.41M	218.14M	491.54M
	Net Income Common Stockholders
-61.41M	-79.07M	-48.39M	272.58M	-62.65M	175.11M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.91M	109.64M	825.00K	16.54M	7.42M	7.33M
	Total Assets
4.00B	4.11B	4.06B	4.09B	3.93B	3.74B
	Total Debt
2.22B	2.26B	2.05B	1.98B	1.88B	1.62B
	Net Debt
2.21B	2.15B	2.05B	1.97B	1.87B	1.61B
	Total Liabilities
2.44B	2.53B	2.33B	2.24B	2.14B	1.84B
	Stockholders Equity
1.56B	1.59B	1.72B	1.85B	1.79B	1.90B
Cash Flow		Free Cash Flow
-27.21M	-14.00M	51.94M	93.86M	119.58M	80.70M
	Operating Cash Flow
178.47M	198.11M	210.13M	215.22M	242.20M	193.28M
	Investing Cash Flow
-224.41M	-186.62M	-196.02M	-1.25M	-368.93M	-197.88M
	Financing Cash Flow
44.82M	98.18M	-29.50M	-203.23M	126.38M	-1.58M

Piedmont Office Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.49
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PDM, the sentiment is Positive. The current price of 7.49 is above the 20-day moving average (MA) of 7.18, above the 50-day MA of 6.80, and below the 200-day MA of 8.30, indicating a neutral trend. The MACD of 0.24 indicates Negative momentum. The RSI at 58.42 is Neutral, neither overbought nor oversold. The STOCH value of 75.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PDM.

Piedmont Office Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PGRE	70 Outperform	$1.54B	―	-2.11%	2.17%	1.67%	73.75%
DEA	68 Neutral	$1.04B	56.00	1.32%	7.75%	6.06%	-15.10%
Sector *	61 Neutral	$2.84B	10.78	0.41%	6.09%	6.01%	-21.16%
ELME	57 Neutral	$1.44B	―	-1.29%	4.39%	5.31%	72.97%
BDN	55 Neutral	$778.86M	―	-18.11%	13.36%	-2.22%	1.51%
JBGS	55 Neutral	$1.59B	―	-8.54%	3.82%	-12.34%	-36.05%
PDM	52 Neutral	$931.82M	―	-3.79%	6.68%	-6.23%	18.07%

Piedmont Office Corporate Events

Piedmont Office Rebrands to Piedmont Realty Trust

On June 6, 2025, Piedmont Office Realty Trust, Inc. officially changed its name to Piedmont Realty Trust, Inc. as part of a rebranding initiative to better align with its strategic focus on creating premium workspaces known as Piedmont PLACEs. This rebranding reflects the company’s commitment to transforming traditional office environments into spaces that promote collaboration and community, with no changes to its stock trading symbol or CUSIP. The name change aims to enhance the company’s market positioning by emphasizing its dedication to providing elevated service and cohesive client experiences.

The most recent analyst rating on (PDM) stock is a Hold with a $9.00 price target. To see the full list of analyst forecasts on Piedmont Office stock, see the PDM Stock Forecast page.

Piedmont Office Holds 2025 Virtual Annual Meeting

On May 15, 2025, Piedmont Office held its 2025 Annual Meeting virtually, where stockholders elected several individuals to its board of directors for one-year terms expiring in 2026. Additionally, stockholders ratified the appointment of Deloitte and Touche, LLP, as independent registered public accountants for the fiscal year ended December 31, 2025, and approved the compensation of named executive officers on an advisory basis.

The most recent analyst rating on (PDM) stock is a Hold with a $9.00 price target. To see the full list of analyst forecasts on Piedmont Office stock, see the PDM Stock Forecast page.