W. P. Carey Target Raised to $73 After 5.7% AFFO Growth and $2.1B Investments
Scotiabank raised its target to $73 from $72 after Q4 results showing 5.7% AFFO growth and $2.1 billion record investments at a 7.6% cap rate and 9% yield. Consensus 2026 FFO per share increased four cents to $5.16.
1. Analyst Target Increase
Scotiabank raised W. P. Carey’s price target to $73 from $72 while maintaining a Sector Perform rating, reflecting updated price targets for US real estate and REIT coverage. The firm emphasized boosting target development yields and pursuing external growth via acquisitions.
2. Q4 Performance Metrics
In the fourth quarter of 2025, W. P. Carey reported adjusted funds from operations growth of 5.7% and completed a record $2.1 billion in investments at a weighted average initial cash cap rate of 7.6% and an average yield just over 9%. Investment activity was concentrated in warehouse and industrial (68%), retail (22%), with 74% in North America and 26% in Europe, and leases averaged 17 years.
3. 2026 FFO Forecast Uptick
The consensus estimate for 2026 FFO per share increased by four cents to $5.16, reflecting investor confidence in W. P. Carey’s strong deal pipeline, stable credit quality, and expectations for stronger contractual rent growth through leveraged capital access.