W. P. Carey Inc. (WPC) AI Stock Analysis

• Market Cap: $14.99B
• Dividend Yield: 5.18%
• Average Volume (3M): 1.18M
• Price to Earnings (P/E): 44.3
• Beta (1Y): 0.31
• Revenue Growth: 0.23%
• EPS Growth: -41.66%
• Country: US
• Employees: 203
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): 0.25
• Shares Outstanding: 218,991,350
• 10 Day Avg. Volume: 1,250,116
• 30 Day Avg. Volume: 1,175,810
• PEG Ratio: -0.71
• Price to Book (P/B): 1.42
• Price to Sales (P/S): 7.61
• P/FCF Ratio: 6.54
• Enterprise Value/Market Cap: 1.49
• Enterprise Value/Revenue: 13.59
• Enterprise Value/Gross Profit: 14.80
• Enterprise Value/Ebitda: 17.56
• 1Y Price Target: $69.13
• Price Target Upside: 0.99% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 77 Outperform
• Price Target: $75.00 ▲(9.57% Upside)

W. P. Carey Inc. demonstrates strong financial and operational performance, with robust earnings call highlights and positive technical indicators. The high P/E ratio suggests potential overvaluation, but the attractive dividend yield provides a counterbalance. The company's strategic investments and asset sales further enhance its outlook, despite some economic uncertainties.

Positive Factors

Strong Cash Flow Management

Strong cash flow management with a high free cash flow growth rate ensures W. P. Carey can effectively cover its net income and reinvest in growth opportunities, supporting long-term financial stability.

Increased AFFO Guidance

The upward revision of AFFO guidance reflects strong investment activity and sector-leading rent growth, indicating robust operational performance and potential for sustained income growth.

Successful Asset Dispositions

Successful asset sales at favorable cap rates enhance liquidity and allow strategic reinvestment, strengthening W. P. Carey's financial position and growth prospects.

Negative Factors

Decline in Net Profit Margin

The decline in net profit margin suggests pressure on net earnings, which could impact profitability and shareholder returns if not addressed through cost management or revenue growth.

Potential Tenant Credit Issues

Concerns about tenant credit issues could lead to rent loss, affecting revenue stability and necessitating increased focus on tenant creditworthiness to mitigate risks.

Economic Uncertainty

Economic uncertainty, including potential trade impacts, poses risks to W. P. Carey's operations and growth, requiring strategic planning to navigate potential challenges.

W. P. Carey Inc. Business Overview & Revenue Model

Company Description

W. P. Carey ranks among the largest net lease REITs with an enterprise value of approximately $18 billion and a diversified portfolio of operationally-critical commercial real estate that includes 1,215 net lease properties covering approximately 142 million square feet as of September 30, 2020. For nearly five decades, the company has invested in high-quality single-tenant industrial, warehouse, office, retail and self-storage properties subject to long-term net leases with built-in rent escalators. Its portfolio is located primarily in the U.S. and Northern and Western Europe and is well-diversified by tenant, property type, geographic location and tenant industry.

How the Company Makes Money

W. P. Carey generates revenue primarily through long-term net lease agreements with its tenants. The company typically acquires properties and leases them back to businesses, allowing tenants to use the space while paying rent, which is structured to provide a predictable income stream. Key revenue streams include rental income from these leases, which often include contractual rent increases, and income from property management services. WPC also benefits from its strategic partnerships with tenants across various industries, enhancing its portfolio diversification and stability. Additionally, the company may realize gains from the sale of properties, further contributing to its earnings.

W. P. Carey Inc. Financial Statement Overview

Summary

W. P. Carey Inc. exhibits solid financial health with strong cash flow generation and operational efficiency. Revenue and gross profit margins are robust, but the decline in net profit margin and return on equity suggests areas for improvement. The company's leverage is moderate, supporting a stable financial position in the diversified REIT industry.

Income Statement

W. P. Carey Inc. shows a stable revenue growth trend with a recent TTM growth rate of 2.56%. The gross profit margin remains strong at 82.80% TTM, indicating efficient cost management. However, the net profit margin has decreased to 20.42% TTM from 29.11% in the previous year, suggesting some pressure on net earnings. EBIT and EBITDA margins are robust, reflecting solid operational efficiency.

Balance Sheet

The company maintains a moderate debt-to-equity ratio of 1.07 TTM, indicating a balanced leverage position. Return on equity has declined to 4.00% TTM, which may point to challenges in generating returns on shareholder investments. The equity ratio is stable, suggesting a solid asset base supported by equity.

Cash Flow

W. P. Carey Inc. demonstrates strong cash flow management with a free cash flow growth rate of 19.31% TTM. The operating cash flow to net income ratio is healthy at 1.46 TTM, indicating efficient cash generation relative to net income. The free cash flow to net income ratio is slightly above 1, showing that the company generates sufficient free cash flow to cover its net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.64B	1.58B	1.74B	1.47B	1.26B	1.17B
Gross Profit	1.51B	1.46B	1.60B	1.40B	1.21B	1.12B
EBITDA	1.27B	1.31B	1.44B	1.29B	1.16B	1.04B
Net Income	335.76M	460.84M	708.33M	599.14M	409.99M	455.36M
Balance Sheet
Total Assets	18.00B	17.54B	17.98B	18.10B	15.48B	14.71B
Cash, Cash Equivalents and Short-Term Investments	244.83M	640.37M	633.86M	168.00M	165.43M	248.66M
Total Debt	8.64B	8.04B	8.14B	7.88B	6.79B	6.70B
Total Liabilities	9.77B	9.10B	9.27B	9.09B	7.90B	7.83B
Stockholders Equity	8.21B	8.43B	8.70B	8.99B	7.58B	6.88B
Cash Flow
Free Cash Flow	1.25B	1.83B	1.07B	1.00B	926.48M	801.54M
Operating Cash Flow	1.25B	1.83B	1.07B	1.00B	926.48M	801.54M
Investing Cash Flow	-1.29B	-1.13B	-905.88M	-1.05B	-1.57B	-539.93M
Financing Cash Flow	-790.70M	-688.47M	292.56M	57.89M	557.05M	-210.71M

W. P. Carey Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 68.45
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WPC, the sentiment is Positive. The current price of 68.45 is above the 20-day moving average (MA) of 67.61, above the 50-day MA of 66.08, and above the 200-day MA of 60.58, indicating a bullish trend. The MACD of 0.48 indicates Positive momentum. The RSI at 60.78 is Neutral, neither overbought nor oversold. The STOCH value of 41.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WPC.

W. P. Carey Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WPC	77 Outperform	$14.99B	44.29	3.99%	5.18%	0.23%	-41.66%
UE	75 Outperform	2.66B	24.01	8.07%	3.69%	6.09%	-65.94%
EPRT	73 Outperform	5.91B	24.83	5.84%	3.97%	25.79%	2.46%
BNL	71 Outperform	3.43B	34.93	2.80%	6.40%	2.74%	-37.41%
ESRT	68 Neutral	1.30B	31.73	4.30%	1.83%	1.77%	-8.72%
GNL	58 Neutral	1.80B	-6.68	-15.59%	11.41%	-11.06%	29.36%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%

W. P. Carey Inc. Corporate Events

W. P. Carey Inc. Announces $1.3 Billion Investment Volume

On September 4, 2025, W. P. Carey Inc. announced its year-to-date investment volume totaling approximately $1.3 billion, with new investments of $250.8 million primarily in North American and European single-tenant industrial properties. The company also reported year-to-date gross disposition proceeds of $875.0 million, including $310.0 million from recent dispositions of self-storage operating properties. CEO Jason Fox highlighted the company’s strategy of funding investments through accretive sales of non-core assets, generating a spread of approximately 150 basis points between cap rates on dispositions and new investments. The company aims to reach the high end of its guidance range, with full-year investment and disposition volume guidance set at $1.4-$1.8 billion and $900 million-$1.3 billion, respectively.

W. P. Carey Inc. Raises AFFO Guidance Amid Q2 Results

On July 29, 2025, W. P. Carey Inc. announced its financial results for the second quarter of 2025, reporting a net income of $51.2 million, a decrease from the previous year due to various financial impacts. However, the company raised its AFFO guidance for the year, reflecting strong investment activity and effective disposition strategy, which led to a 9.4% increase in AFFO per diluted share. The company also reported a 10.5% increase in revenues compared to the previous year, driven by net investment activity and rent escalations. The company completed significant investments and dispositions, maintaining a robust liquidity position and issuing $400 million in senior unsecured notes.

W. P. Carey Completes $400M Senior Notes Offering

On July 10, 2025, W. P. Carey Inc. completed a public offering of $400 million in 4.650% Senior Notes due 2030. The proceeds are intended to repay certain debts and for general corporate purposes, potentially impacting the company’s financial flexibility and debt management strategies.

W. P. Carey Inc. Announces $400M Senior Notes Offering

On July 7, 2025, W. P. Carey Inc. announced the pricing of a $400 million public offering of 4.650% Senior Notes due 2030. The offering, managed by Wells Fargo Securities, BofA Securities, Scotia Capital, and Mizuho Securities, is expected to settle on July 10, 2025. The company plans to use the proceeds to repay certain debts, including part of its $2 billion unsecured revolving credit facility, and for general corporate purposes. This move is part of W. P. Carey’s strategy to manage its financial obligations and support its ongoing operations.

W. P. Carey Inc. Holds Annual Stockholders Meeting

On June 12, 2025, W. P. Carey Inc. held its annual stockholders meeting where three key proposals were voted on. The stockholders elected ten directors to the board, approved executive compensation on a non-binding basis, and ratified the appointment of PricewaterhouseCoopers LLP as the independent auditor for the fiscal year ending December 31, 2025. These decisions are pivotal for the company’s governance and financial oversight, potentially impacting its operational strategies and stakeholder confidence.