Assessing Boston Properties (BXP) Valuation After Recent Share Price Uptick

BXP (BXP) is catching the attention of investors today after its stock showed some movement over the past week. The real estate investment trust is known for managing high-profile workplaces across major US cities.

See our latest analysis for BXP.

After a modest uptick this week, BXP’s share price is still hovering below where it started the year. This reflects how the commercial property space continues to grapple with shifting office demand and higher interest rates. Looking past recent minor moves, BXP’s longer-term story is one of healthy recovery, with a 3-year total shareholder return of nearly 27% even as the 1-year total return remains negative.

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With BXP still trading below analyst targets and at a notable discount to intrinsic value, the real question is whether this represents an undervalued opportunity or if the market is already accounting for future recovery.

Most Popular Narrative: 9.8% Undervalued

With BXP last closing at $71.97 and the narrative’s fair value set at $79.80, market watchers see a potential price gap. This consensus view leans on a mix of steady property demand and expectations for a rebound in profitability, fueling debate over the real upside.

BXP’s aggressive capital recycling and asset sales strategy (targeting $600 million in non-core dispositions), along with redevelopment and adaptive reuse of assets for mixed-use and multifamily, is expected to unlock higher-yielding income streams, fortify net margins, and provide non-dilutive funding for growth. This approach is seen as supporting future FFO and earnings resilience.

Read the complete narrative.

Curious how this playbook of asset sales, margin momentum, and bold growth bets could drive future returns? One key forecast shifts the needle in this story—and it is not just about rent rolls or headline revenue. Discover exactly which assumptions analysts are banking on to reach that fair value point.

Result: Fair Value of $79.80 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, persistent declines in occupancy and weaker leasing from key tech or life sciences tenants could quickly challenge the upbeat recovery story around BXP.

Find out about the key risks to this BXP narrative.

Build Your Own BXP Narrative

If you think there is more beneath the surface or want to dig into the facts yourself, building your own perspective is quick and easy. Do it your way.

A great starting point for your BXP research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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