Validea David Dreman Strategy Daily Upgrade Report - 7/31/2025
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jul 31 2025
0mins
Source: NASDAQ.COM
Kilroy Realty Corp (KRC): The stock rating for Kilroy Realty Corp has improved from 29% to 69% based on its fundamentals and valuation, indicating growing interest according to David Dreman's contrarian investment strategy.
Magnolia Oil & Gas Corp (MGY): Magnolia Oil & Gas Corp's rating increased from 64% to 69%, reflecting positive changes in the company's fundamentals and valuation, also aligning with Dreman's investment criteria.
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Analyst Views on KRC
Wall Street analysts forecast KRC stock price to rise
14 Analyst Rating
2 Buy
11 Hold
1 Sell
Hold
Current: 32.220
Low
34.00
Averages
41.92
High
47.00
Current: 32.220
Low
34.00
Averages
41.92
High
47.00
About KRC
Kilroy Realty Corporation is a self-administered real estate investment trust (REIT) active in office, life science and mixed-use property types in the United States. The Company owns, develops, acquires, and manages real estate assets, consisting primarily of premier properties in Los Angeles, San Diego, the San Francisco Bay Area, Seattle, and Austin. It owns its interests in all of its real estate assets through Kilroy Realty, L.P. (the Operating Partnership) and conducts substantially all of its operations through the Operating Partnership. Its properties include Kilroy Oyster Point, One Paseo, Stadium Tower, 2100 Kettner, Jardine, 100 First, 100 Hooper, 201 Third Street, Crossing 900, Del Mar Corporate Centre I-II, Del Mar Tech Center, Flower Mart, Fremont Lake Union Center, and Key Center. It also owns Maple Plaza, a 293,000-square-foot Class A office campus in the iconic Beverly Hills submarket of Los Angeles.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Kilroy Realty Q4 2025 Earnings Call Insights
- Strong Leasing Performance: In Q4 2025, Kilroy Realty achieved approximately 827,000 square feet in leasing, marking the strongest fourth quarter in six years, with full-year leasing totaling about 2.1 million square feet, which enhances the company's cash flow stability amid market recovery.
- Strategic Asset Dispositions: The company sold Sunset Media Center for $61 million and Kilroy Sabre Springs for $125 million, with plans to sell the Santa Fe Summit land parcel for $86 million, indicating proactive measures in asset optimization and capital redeployment.
- Solid Financial Results: Q4 FFO was $0.97 per diluted share, showing sequential improvement, while year-end occupancy reached 81.6%, reflecting effective execution in leasing and asset management, despite a negative 7.2% growth in cash same-property NOI.
- Cautious Outlook: The 2026 FFO guidance is set between $3.25 and $3.45 per share, with expected occupancy declining to 76% to 78%, primarily due to KOP 2 stabilizing, demonstrating the company's cautious approach in navigating market challenges.
See More
Kilroy Realty Q4 Earnings Report Analysis
- Financial Performance Overview: Kilroy Realty reported Q4 FFO of $0.97, missing estimates by $0.01, indicating pressure on profitability, while revenue of $272.19 million fell 5.0% year-over-year, despite beating expectations by $3.1 million.
- 2026 FFO Guidance: The company has initiated its first guidance for 2026 FFO per share, projecting between $3.25 and $3.45, reflecting cautious optimism about future profitability amid market challenges.
- Key Assumptions Analysis: The 2026 assumptions indicate an average full-year occupancy rate of 76.0% to 78.0%, highlighting uncertainty in market demand, while same-property cash NOI is expected to decline between 1.50% and 0.00%, potentially impacting overall financial health.
- Capital Expenditure Plans: The company plans to allocate $150 million to $200 million for development spending in 2026, while facing gross interest expenses of up to $214 million, indicating a need to manage financial costs while expanding operations.
See More
Kilroy Realty Reports Decline in Q4 Profit
- Profit Decline: Kilroy Realty reported a net profit of $12.44 million for Q4, translating to $0.10 per share, which marks a significant drop from last year's $59.46 million and $0.50 per share, indicating substantial pressure on profitability.
- Revenue Decrease: The company's revenue for the fourth quarter fell to $272.18 million, down 5% from $286.37 million last year, reflecting a direct impact of weakened market demand on performance.
- Future Guidance: Kilroy Realty has provided a diluted EPS guidance range of $0.59 to $0.79 for fiscal year 2026, suggesting a cautiously optimistic outlook despite current challenges, aiming for a rebound in profitability through strategic adjustments.
- Market Reaction: The dual decline in profit and revenue has raised concerns among investors regarding Kilroy Realty's prospects, potentially exerting negative pressure on its stock price, prompting stakeholders to closely monitor the company's subsequent operational strategies and market performance.
See More
Kilroy Realty to Announce Q4 Earnings on February 9
- Earnings Announcement Schedule: Kilroy Realty is set to release its Q4 earnings on February 9 after market close, with consensus estimates predicting a funds from operations (FFO) of $0.98 and revenue of $270.15 million, highlighting market interest in the company's financial performance.
- Earnings Estimate Changes: Over the past three months, Kilroy Realty's earnings per share (EPS) estimates have seen one upward and one downward revision, while revenue estimates experienced four upward and three downward revisions, indicating analyst divergence and market uncertainty regarding the company's future performance.
- Investment Rating Analysis: According to Seeking Alpha's Quant Rating, Kilroy Realty is viewed as an undervalued stock offering a 6% dividend yield, attracting attention from income-seeking investors, which could positively impact its stock price.
- Historical Financial Data: Kilroy Realty's historical earnings data and dividend scorecard suggest a relatively stable performance in the past, maintaining investment appeal despite market fluctuations, potentially providing insights for future investment decisions.
See More
Kilroy Realty Announces 2025 Dividend Tax Treatment
- Dividend Distribution Overview: Kilroy Realty announced a total dividend distribution of $0.54 per share for 2025, payable on January 8, 2025, indicating the company's stable cash flow and commitment to shareholder returns.
- Tax Classification Details: The 2025 dividends will be classified as $0.3582 in taxable ordinary dividends and $0.1190 in capital gain distributions, reflecting the company's transparency in tax compliance and accountability to investors.
- Operational Performance: As of September 30, 2025, Kilroy's stabilized portfolio totaled approximately 16.8 million square feet with an occupancy rate of 81% and a leasing rate of 83.3%, demonstrating strong market performance and sustained demand.
- Sustainability Commitment: Kilroy has achieved carbon neutrality since 2020 and has received multiple awards for sustainability, highlighting the company's leadership in environmental and social responsibility, which enhances brand image and attracts investors.
See More
KILROY REALTY CORPORATION DISCLOSES 2025 TAX IMPLICATIONS FOR DIVIDEND DISTRIBUTIONS
- Announcement of Tax Treatment: Kilroy Realty Corporation has announced the tax treatment for its dividend distributions for the year 2025.
- Impact on Investors: This announcement is significant for investors as it outlines how dividends will be taxed, potentially affecting their investment decisions.
See More
Kilroy Realty Q4 2025 Earnings Call Insights
- Strong Leasing Performance: In Q4 2025, Kilroy Realty achieved approximately 827,000 square feet in leasing, marking the strongest fourth quarter in six years, with full-year leasing totaling about 2.1 million square feet, which enhances the company's cash flow stability amid market recovery.
- Strategic Asset Dispositions: The company sold Sunset Media Center for $61 million and Kilroy Sabre Springs for $125 million, with plans to sell the Santa Fe Summit land parcel for $86 million, indicating proactive measures in asset optimization and capital redeployment.
- Solid Financial Results: Q4 FFO was $0.97 per diluted share, showing sequential improvement, while year-end occupancy reached 81.6%, reflecting effective execution in leasing and asset management, despite a negative 7.2% growth in cash same-property NOI.
- Cautious Outlook: The 2026 FFO guidance is set between $3.25 and $3.45 per share, with expected occupancy declining to 76% to 78%, primarily due to KOP 2 stabilizing, demonstrating the company's cautious approach in navigating market challenges.
See More
Kilroy Realty Q4 Earnings Report Analysis
- Financial Performance Overview: Kilroy Realty reported Q4 FFO of $0.97, missing estimates by $0.01, indicating pressure on profitability, while revenue of $272.19 million fell 5.0% year-over-year, despite beating expectations by $3.1 million.
- 2026 FFO Guidance: The company has initiated its first guidance for 2026 FFO per share, projecting between $3.25 and $3.45, reflecting cautious optimism about future profitability amid market challenges.
- Key Assumptions Analysis: The 2026 assumptions indicate an average full-year occupancy rate of 76.0% to 78.0%, highlighting uncertainty in market demand, while same-property cash NOI is expected to decline between 1.50% and 0.00%, potentially impacting overall financial health.
- Capital Expenditure Plans: The company plans to allocate $150 million to $200 million for development spending in 2026, while facing gross interest expenses of up to $214 million, indicating a need to manage financial costs while expanding operations.
See More
Kilroy Realty Reports Decline in Q4 Profit
- Profit Decline: Kilroy Realty reported a net profit of $12.44 million for Q4, translating to $0.10 per share, which marks a significant drop from last year's $59.46 million and $0.50 per share, indicating substantial pressure on profitability.
- Revenue Decrease: The company's revenue for the fourth quarter fell to $272.18 million, down 5% from $286.37 million last year, reflecting a direct impact of weakened market demand on performance.
- Future Guidance: Kilroy Realty has provided a diluted EPS guidance range of $0.59 to $0.79 for fiscal year 2026, suggesting a cautiously optimistic outlook despite current challenges, aiming for a rebound in profitability through strategic adjustments.
- Market Reaction: The dual decline in profit and revenue has raised concerns among investors regarding Kilroy Realty's prospects, potentially exerting negative pressure on its stock price, prompting stakeholders to closely monitor the company's subsequent operational strategies and market performance.
See More
Kilroy Realty to Announce Q4 Earnings on February 9
- Earnings Announcement Schedule: Kilroy Realty is set to release its Q4 earnings on February 9 after market close, with consensus estimates predicting a funds from operations (FFO) of $0.98 and revenue of $270.15 million, highlighting market interest in the company's financial performance.
- Earnings Estimate Changes: Over the past three months, Kilroy Realty's earnings per share (EPS) estimates have seen one upward and one downward revision, while revenue estimates experienced four upward and three downward revisions, indicating analyst divergence and market uncertainty regarding the company's future performance.
- Investment Rating Analysis: According to Seeking Alpha's Quant Rating, Kilroy Realty is viewed as an undervalued stock offering a 6% dividend yield, attracting attention from income-seeking investors, which could positively impact its stock price.
- Historical Financial Data: Kilroy Realty's historical earnings data and dividend scorecard suggest a relatively stable performance in the past, maintaining investment appeal despite market fluctuations, potentially providing insights for future investment decisions.
See More
Kilroy Realty Announces 2025 Dividend Tax Treatment
- Dividend Distribution Overview: Kilroy Realty announced a total dividend distribution of $0.54 per share for 2025, payable on January 8, 2025, indicating the company's stable cash flow and commitment to shareholder returns.
- Tax Classification Details: The 2025 dividends will be classified as $0.3582 in taxable ordinary dividends and $0.1190 in capital gain distributions, reflecting the company's transparency in tax compliance and accountability to investors.
- Operational Performance: As of September 30, 2025, Kilroy's stabilized portfolio totaled approximately 16.8 million square feet with an occupancy rate of 81% and a leasing rate of 83.3%, demonstrating strong market performance and sustained demand.
- Sustainability Commitment: Kilroy has achieved carbon neutrality since 2020 and has received multiple awards for sustainability, highlighting the company's leadership in environmental and social responsibility, which enhances brand image and attracts investors.
See More
KILROY REALTY CORPORATION DISCLOSES 2025 TAX IMPLICATIONS FOR DIVIDEND DISTRIBUTIONS
- Announcement of Tax Treatment: Kilroy Realty Corporation has announced the tax treatment for its dividend distributions for the year 2025.
- Impact on Investors: This announcement is significant for investors as it outlines how dividends will be taxed, potentially affecting their investment decisions.
See More
