Peakstone Realty Trust (PKST) AI Stock Analysis

• Market Cap: $775.58M
• Dividend Yield: 5.44%
• Average Volume (3M): 896.96K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.48
• Revenue Growth: -16.50%
• EPS Growth: -640.43%
• Country: US
• Employees: 38
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): -0.35
• Shares Outstanding: 37,180,294
• 10 Day Avg. Volume: 362,309
• 30 Day Avg. Volume: 896,957
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.71
• Price to Sales (P/S): 4.98
• P/FCF Ratio: 7.68
• Enterprise Value/Market Cap: 1.53
• Enterprise Value/Revenue: 7.27
• Enterprise Value/Gross Profit: 10.64
• Enterprise Value/Ebitda: -6.84
• 1Y Price Target: $21.00
• Price Target Upside: 0.67% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2
• EPS Forecast (FY): -0.35
• Revenue Forecast (FY): $121.92M

• Rating: 54 Neutral
• Price Target: $21.00 ▲(0.67% Upside)
• Action: Reiterated Date: 02/19/26
• Date: Action: Reiterated 02/19/26

The score is held back primarily by weak and volatile financial performance (sharp 2025 deterioration and uneven cash flow). Offsetting factors include a strong technical uptrend and constructive strategic progress discussed on the earnings call, while the Brookfield all-cash acquisition agreement adds a meaningful positive catalyst despite dividend suspension.

Positive Factors

Industrial portfolio concentration

The shift to an industrial-heavy portfolio (over 60% ABR) aligns Peakstone with structural demand for industrial and outdoor storage assets. This concentration should produce more predictable, rent-driven cash flows via long-term net leases and reduces exposure to office-sector secular decline.

Strong IOS leasing performance

Full occupancy and very large re-leasing spreads demonstrate pricing power and rent growth within the IOS niche. Durable high spreads and occupancy support sustainable NOI expansion, bolster FFO resilience, and indicate effective asset-level leasing execution over multiple lease cycles.

Material debt reduction and liquidity

Significant deleveraging and ample reported liquidity materially lower refinancing and solvency risk. A stronger balance sheet increases financial flexibility to fund capex, complete dispositions, or pursue accretive acquisitions, improving long-term operational stability and access to capital.

Negative Factors

Revenue and profitability volatility

A very large revenue decline and severe net loss in 2025 highlight unstable earnings and weak operating consistency. Persistent swings undermine predictability of FFO/AFFO, complicate capital planning and dividend sustainability, and suggest the company has faced material execution or portfolio valuation issues.

Inconsistent cash generation

Operating and free cash flow collapsing to zero in 2025, after prior years of mixed cash generation, signals unreliable internal funding for capex, tenant improvements, and distributions. This forces reliance on asset sales or external financing, raising long-term funding and execution risk.

Execution risk from office dispositions and capex

Incomplete office divestitures and required landlord improvements introduce timing, sale price and capex execution risks. Prolonged disposition timelines or higher-than-expected improvement costs could delay transition benefits, reduce liquidity, and pressure returns until the industrial portfolio is fully scaled.

Peakstone Realty Trust Business Overview & Revenue Model

Company Description

Peakstone Realty Trust is an internally managed real estate investment trust that owns and operates a high-quality portfolio of predominantly single-tenant industrial and office properties across the United States. The company is executing a strategic transition to become an industrial-only REIT, with a particular focus on industrial outdoor storage assets in high-growth coastal and Sunbelt markets. Peakstone’s properties are generally leased to creditworthy tenants under long-term net lease agreements with contractual rent escalations, providing stable and predictable cash flows. The trust is headquartered in El Segundo, California, and positions itself as a specialist owner-operator of newer-vintage, well-located industrial real estate in strategic markets.

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

Fundamentals are weak and volatile: the income statement shows a sharp 2025 revenue decline and a severe net loss, and cash flow is uneven with 2025 operating/free cash flow reported at zero. Balance-sheet leverage appears improved recently (debt reported at zero), but returns on equity have been persistently negative.

Income Statement

Operating performance has deteriorated meaningfully. Revenue fell sharply in 2025 (down ~46% year over year), and profitability swung deeply negative with a very large net loss in 2025 (net margin roughly -290%). While 2024 showed solid gross and EBITDA margins, the company has been inconsistent over time with multiple years of sizable losses (notably 2022–2023), signaling earnings volatility and weaker stability.

Balance Sheet

Leverage improved materially in 2025 with total debt reported at zero and a lower asset base, which reduces balance-sheet risk versus prior years when debt-to-equity ran around ~0.85–1.49. However, equity also stepped down versus earlier periods and returns on equity have been persistently negative (very weak in 2025), indicating that despite lower leverage, shareholder capital has not been generating positive returns.

Cash Flow

Cash generation quality is mixed. In 2023–2024, operating cash flow was positive and covered reported net income well (operating cash flow running roughly ~1.9–2.2x net income), and free cash flow was positive. However, 2022 saw a very large free-cash-flow deficit, and 2025 shows operating cash flow and free cash flow reported at zero alongside a sharp decline in free cash flow growth, raising concerns about near-term cash generation and sustainability.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	105.98M	228.07M	254.28M	416.49M	459.87M
Gross Profit	-12.68M	184.35M	201.86M	323.22M	353.30M
EBITDA	40.10M	146.76M	-427.27M	-165.82M	306.30M
Net Income	-287.28M	-10.43M	-550.55M	-401.67M	11.50M
Balance Sheet
Total Assets	1.35B	2.68B	2.79B	3.63B	5.27B
Cash, Cash Equivalents and Short-Term Investments	138.67M	146.51M	391.80M	233.18M	168.62M
Total Debt	546.91M	1.44B	1.50B	1.53B	2.61B
Total Liabilities	574.12M	1.52B	1.59B	1.65B	2.77B
Stockholders Equity	745.42M	1.09B	1.11B	1.81B	2.28B
Cash Flow
Free Cash Flow	68.72M	94.66M	89.15M	-999.13M	181.49M
Operating Cash Flow	68.72M	94.66M	89.15M	152.68M	204.98M
Investing Cash Flow	834.10M	-215.84M	308.56M	1.10B	-62.81M
Financing Cash Flow	-910.59M	-125.62M	-234.64M	-1.20B	-159.34M

Peakstone Realty Trust Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 20.86
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• 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 20.86 is above the 20-day moving average (MA) of 20.55, above the 50-day MA of 16.77, and above the 200-day MA of 14.10, indicating a bullish trend. The MACD of 1.24 indicates Positive momentum. The RSI at 87.58 is Negative, neither overbought nor oversold. The STOCH value of 80.45 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
OLP	71 Outperform	$508.44M	15.23	10.91%	9.03%	7.71%	-5.37%
FVR	71 Outperform	$465.28M	-73.71	-1.07%	5.74%	―	―
CTO	69 Neutral	$634.26M	243.80	1.71%	8.56%	23.84%	-312.04%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
MDV	63 Neutral	$159.37M	-57.40	0.37%	8.15%	-0.59%	-160.22%
GOOD	55 Neutral	$608.41M	88.83	5.53%	11.56%	4.95%	-6.49%
PKST	54 Neutral	$775.58M	-2.25	-30.58%	5.44%	-16.50%	-640.43%

Peakstone Realty Trust Corporate Events

Peakstone Realty Trust to Be Acquired by Brookfield

On February 2, 2026, Peakstone Realty Trust agreed to be acquired by a Brookfield Asset Management private real estate fund in an all-cash transaction valuing Peakstone at about $1.2 billion, with shareholders to receive $21.00 per share—representing premiums of 34%, 46% and 51% to the company’s closing price and 30- and 90-day VWAPs, respectively, as of January 30, 2026. The deal, unanimously approved by Peakstone’s board and expected to close by the end of the second quarter of 2026 subject to shareholder and customary approvals, includes a 30-day go-shop period running to March 4, 2026, a tiered termination-fee structure, committed equity and debt financing from Brookfield affiliates, suspension of Peakstone’s regular quarterly dividend during the merger process, and will result in Peakstone being taken private and delisted from the NYSE, underscoring Brookfield’s push to scale its industrial real estate platform and crystallizing the value of Peakstone’s recently streamlined industrial-only portfolio for existing investors.

The most recent analyst rating on (PKST) stock is a Hold with a $16.00 price target. To see the full list of analyst forecasts on Peakstone Realty Trust stock, see the PKST Stock Forecast page.