Peakstone Realty Trust (PKST) AI Stock Analysis

• Market Cap: $552.23M
• Dividend Yield: 5.42%
• Average Volume (3M): 196.90K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.69
• Revenue Growth: -16.50%
• EPS Growth: -640.43%
• Country: US
• Employees: 38
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): -0.18
• Shares Outstanding: 36,790,867
• 10 Day Avg. Volume: 231,736
• 30 Day Avg. Volume: 196,903
• PEG Ratio: 0.39
• Price to Book (P/B): 0.37
• Price to Sales (P/S): 1.77
• P/FCF Ratio: 4.25
• Enterprise Value/Market Cap: 2.29
• Enterprise Value/Revenue: 6.48
• Enterprise Value/Gross Profit: 8.95
• Enterprise Value/Ebitda: -8.20
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): -7.53
• Revenue Forecast (FY): $203.16M

• Rating: 56 Neutral
• Price Target: $13.50 ▲(5.97% Upside)

Peakstone Realty Trust's overall stock score is driven by significant financial challenges, including declining revenues and high leverage. However, the strategic shift towards an industrial-only REIT and successful debt reduction are positive developments. Technical indicators are neutral, and valuation concerns persist due to negative earnings, despite a high dividend yield. The earnings call provided a positive outlook on strategic transformation and financial improvements.

Positive Factors

Strategic Transformation

The shift to an industrial-only REIT with a focus on the IOS sector positions Peakstone for long-term growth in a high-demand market, enhancing its competitive edge.

Debt Reduction

Significant debt reduction improves financial stability and flexibility, allowing for better capital allocation and reduced interest expenses.

Strong Leasing Performance

High occupancy and favorable leasing spreads indicate strong demand and effective asset management, supporting revenue stability and growth.

Negative Factors

Declining Revenue Growth

Significant revenue decline poses a risk to long-term profitability and may hinder the company's ability to invest in growth opportunities.

High Leverage

High leverage increases financial risk, potentially limiting the company's ability to weather economic downturns and invest in future growth.

Office Portfolio Challenges

Ongoing challenges in exiting the office sector could delay strategic goals and tie up capital that could be used for industrial investments.

Peakstone Realty Trust Business Overview & Revenue Model

Company Description

Peakstone Realty Trust (PKST) is a real estate investment trust (REIT) focused on acquiring, owning, and managing a diversified portfolio of commercial properties. The company primarily invests in income-generating real estate assets, including retail, office, and industrial properties, targeting markets with strong fundamentals and growth potential. Peakstone Realty Trust aims to deliver attractive risk-adjusted returns to its shareholders through strategic property acquisitions and effective asset management.

How the Company Makes Money

Peakstone Realty Trust generates revenue primarily through rental income from its portfolio of commercial properties. The company leases space to tenants, collecting rent that serves as the core revenue stream. Additionally, PKST may earn income from property management fees, leasing commissions, and other ancillary services provided to its tenants. The company's revenue model is supplemented by capital appreciation of its real estate assets, which can be realized through property sales or refinancing. Strategic partnerships with local real estate firms and developers may also enhance its market presence and lead to acquisition opportunities, further contributing to its earnings.

Peakstone Realty Trust Financial Statement Overview

Summary

Peakstone Realty Trust faces significant financial challenges, with a negative net profit margin and declining revenue growth. High leverage is a risk, although operational efficiency is maintained with positive EBIT and EBITDA margins. Cash flow conversion is strong, but declining free cash flow growth is concerning.

Income Statement

Peakstone Realty Trust's income statement shows significant challenges with profitability. The TTM data indicates a negative net profit margin of -145.77%, reflecting substantial losses. Revenue has been declining, with a TTM revenue growth rate of -85.3%. However, the gross profit margin remains relatively strong at 72.14%, indicating efficient cost management. The EBIT and EBITDA margins are positive, suggesting operational efficiency, but the overall financial performance is hindered by declining revenues and net losses.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 1.81 in the TTM, indicating significant leverage. This could pose risks if revenue continues to decline. The equity ratio is moderate, suggesting a balanced asset structure. However, the return on equity is negative, reflecting the company's inability to generate profits from its equity base. The financial stability is challenged by high leverage and negative returns.

Cash Flow

Cash flow analysis shows a mixed picture. The TTM free cash flow growth rate is negative at -45.35%, indicating declining cash generation. However, the operating cash flow to net income ratio is strong at 6.12, suggesting that the company is generating cash despite net losses. The free cash flow to net income ratio is 1.0, indicating that all net income is being converted into free cash flow, which is positive for liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	194.73M	228.07M	254.28M	416.49M	459.87M	397.45M
Gross Profit	141.03M	184.35M	201.86M	323.22M	353.30M	292.22M
EBITDA	-153.90M	146.76M	-427.27M	-165.82M	306.30M	234.93M
Net Income	-298.47M	-10.43M	-550.55M	-401.67M	11.50M	-4.25M
Balance Sheet
Total Assets	1.99B	2.68B	2.79B	3.63B	5.27B	4.15B
Cash, Cash Equivalents and Short-Term Investments	326.08M	146.51M	391.80M	233.18M	168.62M	168.95M
Total Debt	0.00	1.44B	1.50B	1.53B	2.61B	2.19B
Total Liabilities	1.21B	1.52B	1.59B	1.65B	2.77B	2.41B
Stockholders Equity	741.12M	1.09B	1.11B	1.81B	2.28B	1.51B
Cash Flow
Free Cash Flow	-8.04M	94.66M	89.15M	-999.13M	181.49M	163.01M
Operating Cash Flow	31.70M	94.66M	89.15M	152.68M	204.98M	164.54M
Investing Cash Flow	-318.77M	-215.84M	308.56M	1.10B	-62.81M	-24.97M
Financing Cash Flow	-164.10M	-125.62M	-234.64M	-1.20B	-159.34M	-49.52M

Peakstone Realty Trust Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.74
• 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 PKST, the sentiment is Positive. The current price of 12.74 is below the 20-day moving average (MA) of 13.65, below the 50-day MA of 13.45, and above the 200-day MA of 12.39, indicating a bullish trend. The MACD of 0.38 indicates Negative momentum. The RSI at 67.99 is Neutral, neither overbought nor oversold. The STOCH value of 89.49 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PKST.

Peakstone Realty Trust Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CTO	66 Neutral	$560.36M	―	-5.80%	8.64%	23.84%	-312.04%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
OLP	60 Neutral	$434.81M	15.57	10.91%	8.70%	7.71%	-5.37%
GOOD	59 Neutral	$535.59M	59.51	5.96%	10.68%	4.95%	-6.49%
PKST	56 Neutral	$552.23M	―	-31.72%	5.42%	-16.50%	-640.43%
MDV	56 Neutral	$146.69M	―	-0.54%	7.96%	-2.40%	42.84%
FVR	55 Neutral	$365.29M	-11.34	―	6.31%	―	―

Peakstone Realty Trust Corporate Events

Peakstone Realty Trust’s Strategic Shift to Industrial Focus

Peakstone Realty Trust is a real estate investment trust focused on owning and operating industrial assets, with a strategic emphasis on industrial outdoor storage.

Peakstone Realty Trust Completes Property Sales for $177M

On September 3, 2025, Peakstone Realty Trust announced the completion of the sale of two office properties in Birmingham, AL and Greenwood Village, CO, along with one industrial property in Sparks Glencoe, MD, for approximately $177 million. This move is part of the company’s strategic shift towards becoming an industrial REIT, with industrial annualized base rent now representing over 50% of their total. The transactions have improved the company’s leverage, aligning it with their target level, and are seen as a step towards delivering growth and value for shareholders.

The most recent analyst rating on (PKST) stock is a Buy with a $19.00 price target. To see the full list of analyst forecasts on Peakstone Realty Trust stock, see the PKST Stock Forecast page.

Peakstone Realty Trust’s Earnings Call: Mixed Outlook Amid Strategic Shift

Peakstone Realty Trust’s recent earnings call painted a picture of strategic ambition tempered by financial challenges. The company is aggressively expanding its Industrial Outdoor Storage (IOS) platform, a move that underscores its growth potential. However, this optimism is counterbalanced by a substantial net loss attributed to office impairments and increased leverage, resulting in a mixed outlook for the future.

Peakstone Realty Trust’s Q2 2025: Industrial Focus

Peakstone Realty Trust is a real estate investment trust specializing in industrial assets, with a strategic focus on industrial outdoor storage. In its second quarter of 2025, Peakstone Realty Trust reported significant progress in its transition to an industrial REIT, emphasizing growth in the industrial outdoor storage sector and divesting office properties. The company achieved a revenue of $54 million, but faced a net loss of $286.8 million due to a substantial non-cash impairment related to office properties. Despite the loss, Peakstone reported a 6.3% increase in Same Store Cash Net Operating Income and made strategic acquisitions in the industrial segment. The company’s portfolio now consists of 94 properties, with industrial assets making up 65% of its net book value. Looking forward, Peakstone Realty Trust remains focused on scaling its industrial outdoor storage platform and generating long-term value for shareholders.