Piedmont Office (PDM)
NYSE:PDM
Want to see PDM full AI Analyst Report?
Top Page
Piedmont Office
(NYSE:PDM)
Select Model
Select Model
Rating:57Neutral
Price Target:
$8.50
▲(9.25% Upside)
Action:Reiterated
Date:05/13/26
The score is primarily held back by weak financial performance (declining revenue and continued losses) despite improved leverage and positive operating cash flow. Offsetting this are constructive technical momentum and a positive earnings-call backdrop driven by stronger leasing and slightly improved 2026 outlook, while valuation remains challenged due to negative earnings and no provided dividend yield.
Positive Factors
Leasing Momentum
Sustained leasing volume and a deep legal-stage pipeline materially improve occupancy and cash rent roll. Durable leasing success reduces vacancy risk, drives same-store NOI and supports recurring rental cash flow that underpins FFO and debt-service capacity over the next several quarters.
Negative Factors
Declining Revenue & Losses
Persistent top-line decline and negative net margins are structural concerns that weaken distributable earnings and return on equity. Even with positive operating cash flow, recurring losses constrain the firm's ability to sustainably reinstate dividends, fund growth without asset sales, and deliver positive shareholder earnings.
Read all positive and negative factors
Positive Factors
Negative Factors
Leasing Momentum
Sustained leasing volume and a deep legal-stage pipeline materially improve occupancy and cash rent roll. Durable leasing success reduces vacancy risk, drives same-store NOI and supports recurring rental cash flow that underpins FFO and debt-service capacity over the next several quarters.
Read all positive factors
Piedmont Office (PDM) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$1.01B
Dividend Yield6.09%
Average Volume (3M)801.90K
Price to Earnings (P/E)―
Beta (1Y)0.94
Revenue Growth-0.50%
EPS Growth-40.17%
CountryUS
Employees150
SectorReal Estate
Sector Strength53
IndustryREIT - Office
Share Statistics
EPS (TTM)-0.70
Shares Outstanding125,019,005
10 Day Avg. Volume717,928
30 Day Avg. Volume801,900
Financial Highlights & Ratios
PEG Ratio-2.65
Price to Book (P/B)0.69
Price to Sales (P/S)1.84
P/FCF Ratio-62.23
Enterprise Value/Market Cap3.26
Enterprise Value/Revenue5.83
Enterprise Value/Gross Profit68.33
Enterprise Value/Ebitda11.89
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusModerate Buy
Number of Analyst Covering1
EPS Forecast (FY)-0.07
Revenue Forecast (FY)$521.16M
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 m...
How the Company Makes Money
PDM primarily makes money by leasing office space in its portfolio to tenants under contractual lease agreements. The core revenue stream is rental income (base rent) collected from occupied space; this is typically supported by additional recover...
Piedmont Office Earnings Call Summary
Earnings Call Date:Apr 30, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Jul 29, 2026
Earnings Call Sentiment Positive
The call conveyed strong operational momentum driven by robust leasing, meaningful rent roll-ups and improving same-store NOI, alongside balance sheet flexibility and tangible pipeline activity. Management raised guidance modestly and highlighted multiple positive metrics (net effective rent growth, high renewal/retention rates, redevelopment lease-up progress and substantial revolver capacity). Key risks include concentrated near-term expirations, suspended dividend policy, reliance on continued leasing execution to sustain growth and some timing uncertainty around dispositions and a New York lease public hearing. Overall, the positive leasing and financial indicators materially outweigh the manageable near-term risks.Positive Updates
Strong Leasing Momentum
Executed over 430,000 square feet of leasing in Q1 2026 (~50 transactions), with roughly 2/3 attributable to new tenancy; leasing pipeline exceeded 700,000 square feet in the legal stage for Q2 and outstanding proposals rose from 1.8 million to 2.4 million square feet quarter-over-quarter.
Negative Updates
Near-Term Large Lease Expirations and Concentrations
9% of leases expire in 2026 with the vast majority occurring in Q2 and concentrated among a few large tenants (notably Eversheds, Epsilon and the New York City lease) — though management has already backfilled or negotiated terms for portions of these exposures.
Read all updates
Q1-2026 Updates
Positive
Negative
Strong Leasing Momentum
Executed over 430,000 square feet of leasing in Q1 2026 (~50 transactions), with roughly 2/3 attributable to new tenancy; leasing pipeline exceeded 700,000 square feet in the legal stage for Q2 and outstanding proposals rose from 1.8 million to 2.4 million square feet quarter-over-quarter.
Read all positive updates
Company Guidance
Piedmont slightly raised and narrowed its 2026 outlook, increasing annual core FFO guidance by $0.01 to $1.49–$1.54 per diluted share (an implied >$0.10 midpoint increase vs. 2025) and boosting same‑store NOI (cash and GAAP) guidance by 100 basis points to 4%–7% (from 3%–6%); Q1 metrics included core FFO of $0.36 and AFFO of ~ $23.8 million, and management reiterated year‑end total portfolio lease percentage guidance of 89.5%–90.5%. The company noted ~$526 million of revolver capacity, no final debt maturities until 2028, an improving weighted average cost of debt and an expectation that unsecured maturities this decade could be refinanced at lower rates (a potential FFO tailwind); guidance excludes any speculative acquisitions, dispositions or refinancing activity.Piedmont Office Financial Statement Overview
Summary
Income Statement
33
Negative
Balance Sheet
54
Neutral
Cash Flow
50
Neutral
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 565.60M | 564.99M | 570.32M | 577.76M | 563.77M | 528.71M |
| Gross Profit | 48.27M | -117.06M | 336.20M | 342.67M | 337.71M | 317.78M |
| EBITDA | 277.45M | 271.49M | 252.13M | 289.10M | 437.04M | 256.73M |
| Net Income | -86.42M | -83.60M | -79.07M | -48.39M | 146.83M | -1.15M |
Balance Sheet | ||||||
| Total Assets | 4.03B | 4.03B | 4.11B | 4.06B | 4.09B | 3.93B |
| Cash, Cash Equivalents and Short-Term Investments | 2.28M | 731.00K | 109.64M | 825.00K | 16.54M | 7.42M |
| Total Debt | 2.28B | 2.27B | 2.51B | 2.10B | 2.04B | 1.88B |
| Total Liabilities | 2.55B | 2.53B | 2.53B | 2.33B | 2.24B | 2.14B |
| Stockholders Equity | 1.48B | 1.50B | 1.59B | 1.72B | 1.85B | 1.79B |
Cash Flow | ||||||
| Free Cash Flow | 9.07M | -16.68M | -14.00M | 51.94M | 93.86M | 119.58M |
| Operating Cash Flow | 164.96M | 140.56M | 198.11M | 210.13M | 215.22M | 242.20M |
| Investing Cash Flow | -183.92M | -175.35M | -186.62M | -196.02M | -1.25M | -368.93M |
| Financing Cash Flow | 18.66M | -75.31M | 98.18M | -29.50M | -203.23M | 126.38M |
Piedmont Office Technical Analysis
Positive
7.78
Price Trends
7.47
Positive
7.81
Positive
8.09
Negative
Market Momentum
0.09
Positive
53.58
Neutral
26.37
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 7.78 is below the 20-day moving average (MA) of 8.20, above the 50-day MA of 7.47, and below the 200-day MA of 8.09, indicating a neutral trend. The MACD of 0.09 indicates Positive momentum. The RSI at 53.58 is Neutral, neither overbought nor oversold. The STOCH value of 26.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PDM.
Piedmont Office Risk Analysis
Piedmont Office disclosed 56 risk factors in its most recent earnings report. Piedmont Office reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Piedmont Office Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
65 Neutral | $2.17B | 12.19 | 3.79% | 4.94% | 3.15% | 1.96% | |
63 Neutral | $1.11B | 181.57 | 0.85% | 9.58% | 13.93% | -43.58% | |
57 Neutral | $1.01B | -15.87 | -5.70% | 6.09% | -0.50% | -40.17% | |
55 Neutral | $625.49M | -1.98 | -17.20% | ― | -0.88% | 47.15% | |
54 Neutral | $519.20M | -2.42 | -24.69% | 17.55% | -2.12% | 3.11% | |
50 Neutral | $1.07B | -11.54 | -9.32% | 4.01% | -3.31% | 0.50% |
* Real Estate Sector Average
PDM
Piedmont Office
8.20
1.68
25.77%
HPP
Hudson Pacific Properties
11.23
-1.93
-14.67%
BDN
Brandywine Realty
3.00
-0.66
-18.01%
DEA
Easterly Government Properties
23.75
4.19
21.44%
JBGS
JBG Smith Properties
14.51
-1.30
-8.25%
Piedmont Office Corporate Events
Business Operations and StrategyExecutive/Board ChangesShareholder Meetings
Piedmont Office Shareholders Approve Expanded Omnibus Incentive Plan
Positive
May 12, 2026
On May 12, 2026, Piedmont Realty Trust stockholders approved the Third Amended and Restated Omnibus Incentive Plan, which had been authorized by the board on March 9, 2026. The updated plan increased the number of common shares available for issua...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.