Brandywine Realty Trust

BDN

Market cap $584M

The REIT sector has seen back-to-back tough months as it saw a modest average negative total return in September (-0.73%) and fell deeper into the red in October (-4.03%). Small cap REITs (-5.05%) had the worst performance in October. Micro caps (-2.81%), mid caps (-3.11%) and large caps (-4.45%) were also in negative territory albeit to a smaller degree. Only 21.66% of REIT securities had a positive total return in October.

I invest most of my capital in REITs. Even then, I'm bearish on a lot of them. This is a sector in which you need to be very selective to succeed.

Most asset classes are not offering any discounts this Black Friday. REITs are the exceptions, with many offering up to 50% discounts. But possibly not for much longer. Here is why this could be your last chance to secure these bargains.

U.S. equity markets posted mixed performance this week- while long-term yields jumped- after the Federal Reserve cut short-term rates for a second-straight meeting, but reigned in expectations for future cuts. Fed Chair Powell hawkishly pushed back on market expectations, saying that another cut in December was "far" from certain and highlighting "strongly differing views" within the committee. Market breadth was exceptionally narrow this past week as post-earnings gains from a handful of mega-cap technology stocks offset weekly declines from over 70% of the S&P 500 constituents.

Brandywine Realty Trust offers a compelling recovery opportunity after a steep decline, with management actively pursuing a turnaround and improved financial stability. BDN's recent dividend cut enhances sustainability, freeing up capital for reinvestment, though further cuts remain a risk if CAD continues to temporarily deteriorate. Despite industry headwinds and elevated vacancy rates, BDN maintains solid occupancy, a diversified tenant base, and is pivoting toward life sciences and diversifying for long-term growth.

Office REITs are cheap and often pitched as great investment opportunities. I strongly disagree and expect more pain ahead. Bulls are ignoring two important risks that could cost them dearly.

U.S. equity markets climbed to fresh record-highs this past week, while interest rates hovered around multi-year lows, after cool inflation data cleared the path for additional Federal Reserve rate cuts. The Consumer Price Index report for September was released this past week - one week delayed - showing cooler-than-expected consumer price pressures across both the headline and core metrics. Combined with a relatively strong start to corporate earnings season and a planned meeting between President Trump and Chinese President Xi, market volatility metrics eased to one-month lows.

Brandywine Realty Trust (NYSE:BDN ) Q3 2025 Earnings Call October 23, 2025 9:00 AM EDT Company Participants Jerry Sweeney - President, CEO & Trustee Thomas E. Wirth - Executive VP & CFO George D.

The headline numbers for Brandywine Realty Trust (BDN) give insight into how the company performed in the quarter ended September 2025, but it may be worthwhile to compare some of its key metrics to Wall Street estimates and the year-ago actuals.

Brandywine Realty Trust (BDN) came out with quarterly funds from operations (FFO) of $0.16 per share, missing the Zacks Consensus Estimate of $0.17 per share. This compares to FFO of $0.23 per share a year ago.