| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 36 | 125.7x | 17.8x | Bottom tier | |
Growth | 43 | 13.0% | 7.1% | Around median | |
Quality | 58 | 2.8% | 4.5% | Around median | |
Safety | 27 | 8.0x | 2.6x | Bottom tier | |
Capital Return | 85 | 7.53% | 2.12% | Top tier | |
Momentum | 66 | 6.4% | 2.9% | Top tier | |
Sentiment | 50 | 2 | 3 | Around median |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Easterly Government Properties is a real estate investment trust specializing in owning and developing facilities that perform essential government functions, including assets leased to federal agencies, state and municipal government entities, and defense-related companies. Its revenue model relies on rents from secure, purpose-built facilities that are difficult to replicate or replace; in Q2 FY2026, occupancy was 98%, and the weighted average remaining lease term was 9.2 years, supporting cash flow continuity and distinguishing the portfolio from traditional office properties.
In Q2 FY2026, revenue reached $92.4 million, up 10% from $84.2 million in the comparable period, driven by acquisitions and developments completed during the previous twelve months, lease renewals, and the commencement of tenant improvement revenue recognition. According to EDGAR data, gross profit was $72.4 million, equivalent to a gross margin of approximately 78.4%, net income was $3.0 million, and earnings per share were $0.06; EBITDA also increased to $58.4 million from $54.3 million.
Core funds from operations and core funds from operations, as adjusted, were $0.78 per share in Q2 FY2026, compared with $0.74 in the comparable period, with the latter recording annual growth of 5.4%, exceeding the company’s long-term target of 2% to 3%. On a trailing twelve-month basis ending in FY2026, the company recorded revenue of $357.2 million, gross profit of $276.1 million, and net income of $10.2 million.
Automated analysis for informational purposes only — not investment advice.
The average analyst price target is $26, within a range of $24 to $27, nearly matching the upper end of the 52-week range of $25.96, while the lower end of the range is $20.56 and the recommendation consensus is Neutral. According to the August 28, 2026 report, the forward funds from operations multiple is below eight times, with a dividend yield exceeding 7%; this low valuation reflects the appeal of the income, but it is also consistent with leverage of 7.3 times and the refinancing risk associated with the $127.5 million Loma Linda mortgage.
Figures in the text are as of 2026-09-02; the live price is shown at the top of the page.
Easterly Government Properties owns secure, purpose-built facilities for federal agencies, local government entities, and defense-related companies. Occupancy was 98%, and the weighted average remaining lease term was 9.2 years in Q2 FY2026. Management cites the U.S. District Courthouse in Charleston, which is connected to the adjacent federal judicial center, as an example of an asset embedded in the tenant’s operations and difficult to replace.
Revenue reached $92.4 million, compared with $84.2 million in the comparable period, representing annual growth of 10%. EDGAR data recorded gross profit of $72.4 million, net income of $3.0 million, and earnings per share of $0.06. Core funds from operations, as adjusted, were also $0.78 per share, compared with $0.74, and cash available for distribution was approximately $25.8 million.
On August 3, 2026, the company raised its guidance range to $3.07–$3.13 per share. The midpoint increased by $0.01 from $3.09 to $3.10 after the metric grew 5.4% in Q2 FY2026. The assumptions include gross development investment of between $50 million and $100 million and wholly owned acquisitions valued at $50 million.
In Q2 FY2026, the company closed a five-year, $200 million term loan with a $50 million expansion option and an initial margin of 130 basis points above SOFR. The proceeds were used to reduce the revolving facility balance and increase available liquidity, while management said it primarily matches equity issuance with acquisitions. The company is also considering joint ventures and mezzanine financing within a targeted program of between $30 million and $50 million, but execution remains tied to the cost of capital and the award of leases for the relevant projects.
Net debt was 7.3 times annualized EBITDA in Q2 FY2026, despite the ratio declining from the previous quarter. The $127.5 million Loma Linda mortgage, carrying a 3.6% interest rate, matures in FY2027, and the company prefers to refinance it through unsecured investment-grade debt, with the option of temporarily using the revolving facility. On the leasing side, the FAA lease expires in October 2026 and portfolio maturities increase in FY2028, making renewals and tenant improvement costs important factors for cash flow.
