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LXP

LXP Industrial Trust NYSE:LXP Stock Report

Last Price

US$9.20

Market Cap

US$2.6b

7D

-6.3%

1Y

-28.0%

Updated

26 Sep, 2022

Data

Company Financials +
LXP fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance2/6
Financial Health2/6
Dividends4/6

LXP Stock Overview

Lexington Realty Trust (NYSE: LXP) is a publicly traded real estate investment trust (REIT) that owns a portfolio of real estate assets consisting primarily of equity investments in single-tenant net-leased industrial properties across the United States.

LXP Industrial Trust Competitors

Price History & Performance

Summary of all time highs, changes and price drops for LXP Industrial Trust
Historical stock prices
Current Share PriceUS$9.20
52 Week HighUS$16.11
52 Week LowUS$9.14
Beta0.76
1 Month Change-11.71%
3 Month Change-15.29%
1 Year Change-27.96%
3 Year Change-10.24%
5 Year Change-10.94%
Change since IPO0.82%

Recent News & Updates

Sep 16

Lexington Realty Trust declares $0.12 dividend

Lexington Realty Trust (NYSE:LXP) declares $0.12/share quarterly dividend, in line with previous. Forward yield 4.92% Payable Oct. 17; for shareholders of record Sept. 30; ex-div Sept. 29. See LXP Dividend Scorecard, Yield Chart, & Dividend Growth.

Sep 07

LXP Industrial: Buy The Rodney Dangerfield Of Industrial REITs

Summary LXP Industrial Trust is a quality and under-the-radar company that's quickly transitioning into a pure-play Industrial REIT. It maintains strong portfolio fundamentals with relatively newer properties and has an attractive development pipeline. I also highlight the dividend, leverage ratio, valuation, and other points worth considering. There are some stocks, like the late great comic Rodney Dangerfield, that just get no respect. That's not necessarily a bad thing, however, as this opens up opportunities for value investors to pick them up on the cheap. As experienced investors know, stock investing isn't a popularity contest, and some of the biggest gains are had when good-paying stocks are bought when the market isn't paying attention. This brings me to LXP Industrial Trust (LXP), which has and still is undergoing a major portfolio transition. This article highlights why LXP appears to be undervalued and is an attractive income stock, so let's get started. Why LXP? LXP Industrial Trust is a REIT that was once called Lexington Property Trust. Over the recent years, LXP has undergone a major portfolio transition away from office buildings and towards industrial properties. At present, industrial properties, which consists of warehouse and distribution facilities make up 90.4% of LXP's annual base rent, while office properties make up the rest. The industrial side of LXP's portfolio appears to be rather healthy, and includes 110 properties covering 53 million square feet. The majority of them (77%) are located in the Top 25 MSAs in the U.S., and 92% are in the Top 50 MSAs. This segment also carries a reasonably long weighted average lease term of 6.7 years, and is seeing strong demand with a 99.3% leased rate. The portfolio is also rather young, with an average age of just 8.9 years. This results in higher marketability to new tenants should an existing one move out. Moreover, LXP counts large and well-known companies as its top tenants. As shown below, Amazon (AMZN), Nissan (NSANY), Kellogg (K), and Walmart (WMT) represent LXP's top 4 tenants, representing 18% of portfolio ABR. LXP Portfolio Mix (Investor Presentation) Meanwhile, LXP is seeing healthy demand, with a 99% occupancy rate as noted earlier, and it was able to raise base rents by 21% on new and extension leases during the second quarter. Moreover, LXP continues to recycle capital away from office properties and towards industrial facilities. This includes disposing of 6 properties for an aggregate amount of $147 million during Q2 and subsequent months, while commencing development and acquiring 3 properties and a 60 acre parcel of developable land in Atlanta and Indianapolis. Factors that could pressure the share price include ongoing transformation efforts, in which higher cap rate office properties are traded for lower cap rate industrial facilities. As such, FFO per share growth could be muted in the near-term, but higher rent growth and tenant stability positions LXP well for the long-term. Moreover, LXP caries a net debt to Adjusted EBITDA of 6.8x, which I view as being reasonable, considering the development projects currently underway that could drive the leverage ratio down once they are stabilized. Meanwhile, LXP pays an attractive 4.8% dividend yield, which is well-protected by a 46% payout ratio. It's worth noting that LXP reset its dividend back in 2019, which was earlier in the portfolio transformation. This put LXP on solid financial footing with plenty of retained capital to fund its transition. I see value in the stock at the current price of $10.15 with a forward P/FFO of 15.4, sitting well below that of its larger industrial REIT peers that have P/FFO ratios well above 20x. Management also seems to think that the stock is cheap, as it repurchased 7.9 million shares since the start of the year, representing a 2.8% reduction in the share count.

Shareholder Returns

LXPUS REITsUS Market
7D-6.3%-8.7%-6.9%
1Y-28.0%-19.7%-23.7%

Return vs Industry: LXP underperformed the US REITs industry which returned -18.5% over the past year.

Return vs Market: LXP underperformed the US Market which returned -23% over the past year.

Price Volatility

Is LXP's price volatile compared to industry and market?
LXP volatility
LXP Average Weekly Movement3.1%
REITs Industry Average Movement3.7%
Market Average Movement6.9%
10% most volatile stocks in US Market15.7%
10% least volatile stocks in US Market2.8%

Stable Share Price: LXP is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: LXP's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
198663Will Eglinhttps://www.lxp.com

Lexington Realty Trust (NYSE: LXP) is a publicly traded real estate investment trust (REIT) that owns a portfolio of real estate assets consisting primarily of equity investments in single-tenant net-leased industrial properties across the United States. Lexington seeks to expand its industrial portfolio through build-to-suit transactions, sale-leaseback transactions and other transactions, including acquisitions.

LXP Industrial Trust Fundamentals Summary

How do LXP Industrial Trust's earnings and revenue compare to its market cap?
LXP fundamental statistics
Market CapUS$2.58b
Earnings (TTM)US$314.12m
Revenue (TTM)US$329.95m

8.2x

P/E Ratio

7.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
LXP income statement (TTM)
RevenueUS$329.95m
Cost of RevenueUS$53.50m
Gross ProfitUS$276.45m
Other Expenses-US$37.67m
EarningsUS$314.12m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)1.12
Gross Margin83.78%
Net Profit Margin95.20%
Debt/Equity Ratio71.4%

How did LXP perform over the long term?

See historical performance and comparison

Dividends

5.2%

Current Dividend Yield

73%

Payout Ratio

Does LXP pay a reliable dividends?

See LXP dividend history and benchmarks
When do you need to buy LXP by to receive an upcoming dividend?
LXP Industrial Trust dividend dates
Ex Dividend DateSep 29 2022
Dividend Pay DateOct 17 2022
Days until Ex dividend1 day
Days until Dividend pay date19 days

Does LXP pay a reliable dividends?

See LXP dividend history and benchmarks