I’ve been keeping an eye on Lexington Realty Trust (NYSE:LXP) because I’m attracted to its fundamentals. Looking at the company as a whole, as a potential stock investment, I believe LXP has a lot to offer. Basically, it is a well-regarded dividend-paying company with a an impressive track record of performance, trading at a discount. Below is a brief commentary on these key aspects. For those interested in understanding where the figures come from and want to see the analysis, read the full report on Lexington Realty Trust here.
Solid track record, good value and pays a dividend
LXP delivered a triple-digit bottom-line expansion over the past couple of years, with its most recent earnings level surpassing its average level over the last five years. In addition to beating its historical values, LXP also outperformed its industry, which delivered a growth of 14%. This paints a buoyant picture for the company. LXP is currently trading below its true value, which means the market is undervaluing the company’s expected cash flow going forward. According to my intrinsic value of the stock, which is driven by analyst consensus forecast of LXP’s earnings, investors now have the opportunity to buy into the stock to reap capital gains. Also, relative to the rest of its peers with similar levels of earnings, LXP’s share price is trading below the group’s average. This supports the theory that LXP is potentially underpriced.
LXP’s high dividend payments make it one of the best dividend stocks on the market, and it has also been able to maintain it at a level in which net income is able to cover dividend payments.
For Lexington Realty Trust, I’ve put together three key factors you should further examine:
- Future Outlook: What are well-informed industry analysts predicting for LXP’s future growth? Take a look at our free research report of analyst consensus for LXP’s outlook.
- Financial Health: Are LXP’s operations financially sustainable? Balance sheets can be hard to analyze, which is why we’ve done it for you. Check out our financial health checks here.
- Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of LXP? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!
To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at firstname.lastname@example.org.