LXP Industrial Trust (LXP) AI Stock Analysis

• Market Cap: $2.45B
• Dividend Yield: 6.41%
• Average Volume (3M): 2.78M
• Price to Earnings (P/E): 42.3
• Beta (1Y): 0.80
• Revenue Growth: 5.68%
• EPS Growth: 358.78%
• Country: US
• Employees: 59
• Sector: Real Estate
• Sector Strength: 62
• Industry: REIT - Industrial
• EPS (TTM): 0.06
• Shares Outstanding: 295,756,380
• 10 Day Avg. Volume: 2,437,768
• 30 Day Avg. Volume: 2,783,386
• PEG Ratio: 0.86
• Price to Book (P/B): 1.13
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 12.37
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $10.00
• Price Target Upside: 20.92% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 67 Neutral
• Price Target: $9.00 ▲( 8.83% Upside)

LXP Industrial Trust has a strong financial foundation with consistent revenue growth and no debt, providing a solid base. However, challenges in profitability and operational efficiency, along with a high P/E ratio, weigh on the score. The stock shows short-term momentum, but potential overvaluation and overbought technical indicators suggest caution. Positive earnings call sentiment and strategic corporate events provide additional support, leading to an overall moderate score.

Positive Factors

Demand and Occupancy

Occupancy increased to 93.6%, with rents on leasing activities expanding by roughly 40%, indicating strong demand.

Market Focus

LXP Industrial Trust has improved their exposure to higher growth markets while incurring no bottom-line dilution in the process.

Operating Trends

LXP Industrial Trust has become a pure-play industrial REIT with favorable operating trends.

Negative Factors

Leasing Challenges

Leasing challenges pertaining to speculative big-box vacant developments continue to impact sentiment, bottom-line earnings, and leverage.

Vacancy Issues

Three large developments remain vacant, with one potential full-building lease falling through due to the tenant suspending expansion plans.

Valuation Concerns

The current valuation of mid-12x forward FFO/share is seen as fair due to lack of progress on the leasing front and limited bottom-line growth.

LXP Industrial Trust Business Overview & Revenue Model

Company Description

LXP Industrial Trust (LXP) is a publicly traded real estate investment trust (REIT) focused on the ownership, operation, and management of industrial properties. Headquartered in the United States, LXP specializes in investing in high-quality, strategically located logistics and distribution facilities, which are essential components of the supply chain infrastructure. The company's portfolio primarily consists of single-tenant, net-leased industrial properties that cater to a diverse range of industries, including e-commerce, manufacturing, and logistics.

How the Company Makes Money

LXP Industrial Trust generates revenue primarily through the leasing of its industrial properties to tenants under long-term lease agreements. The company earns rental income, which is typically structured as net leases, meaning the tenant is responsible for paying a significant portion of the property's operating expenses, such as taxes, insurance, and maintenance. This lease structure allows LXP to maintain a steady and predictable income stream. Additionally, LXP may engage in property acquisitions and dispositions to optimize its portfolio and enhance shareholder value. Strategic partnerships and relationships with tenants and real estate brokers also contribute to the company's ability to maintain high occupancy rates and competitive leasing terms.

LXP Industrial Trust Financial Statement Overview

Summary

LXP Industrial Trust shows consistent revenue growth and strong liquidity, with no debt in 2024, which is a significant advantage. However, the company faces challenges in profitability margins and operational efficiency, indicated by a negative EBITDA margin in 2024. Improving profitability and maintaining operational efficiency should be key focus areas going forward.

Income Statement

LXP Industrial Trust has shown consistent revenue growth over the years, with a 5.27% increase from 2023 to 2024. The gross profit margin improved significantly in 2024 to 82.98%, indicating strong control over cost of goods sold. However, the net profit margin is relatively low at 10.57% in 2024, suggesting potential challenges in managing other operating expenses. EBITDA margin turned negative in 2024, which is concerning as it indicates potential issues in operational efficiency. Despite these challenges, the company's revenue trajectory remains positive.

Balance Sheet

The balance sheet is relatively strong with a solid equity base and no total debt reported in 2024, resulting in a healthy equity ratio of 54.59%. The return on equity for 2024 is moderate at 1.81%, which may reflect on the company's ability to generate returns on shareholders' equity. The improvement in cash and short-term investments from the previous year strengthens the company's liquidity position. However, the company should focus on enhancing its ROE to improve overall financial performance.

Cash Flow

LXP Industrial Trust has maintained a stable operating cash flow to net income ratio over the last few years, indicating efficiency in converting net income into cash flow. The free cash flow has seen a slight growth, which is positive for future investments and debt repayment. However, the negative financing cash flow in 2024 could indicate a reduction in financing activities, which might limit future growth opportunities. Overall, the cash flow position is stable but requires careful management to sustain growth.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
361.07M	358.46M	340.50M	321.25M	344.00M	330.45M
	Gross Profit
102.75M	105.08M	98.58M	85.81M	119.54M	126.94M
	EBIT
51.55M	65.10M	62.28M	-139.46M	-97.81M	-70.71M
	EBITDA
1.42M	313.16M	245.81M	227.57M	85.44M	258.16M
	Net Income Common Stockholders
63.78M	44.53M	30.38M	113.78M	382.65M	183.30M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
70.94M	101.84M	329.39M	54.39M	190.93M	178.79M
	Total Assets
3.76B	3.84B	4.19B	4.05B	4.01B	3.49B
	Total Debt
0.00	1.46B	1.66B	1.39B	1.40B	1.25B
	Net Debt
1.34B	1.36B	1.46B	1.33B	1.21B	1.07B
	Total Liabilities
1.66B	1.72B	1.93B	1.66B	1.68B	1.50B
	Stockholders Equity
2.07B	2.10B	2.23B	2.35B	2.29B	1.97B
Cash Flow		Free Cash Flow
192.76M	193.41M	191.51M	161.71M	205.14M	184.59M
	Operating Cash Flow
212.56M	211.19M	209.45M	194.27M	220.35M	201.84M
	Investing Cash Flow
113.22M	86.40M	-183.45M	-236.92M	-337.76M	-494.35M
	Financing Cash Flow
-418.42M	-394.98M	118.96M	-93.87M	129.10M	342.63M

LXP Industrial Trust Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8.27
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LXP, the sentiment is Positive. The current price of 8.27 is above the 20-day moving average (MA) of 8.15, above the 50-day MA of 8.20, and below the 200-day MA of 8.76, indicating a neutral trend. The MACD of 0.08 indicates Negative momentum. The RSI at 56.50 is Neutral, neither overbought nor oversold. The STOCH value of 49.66 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for LXP.

LXP Industrial Trust Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
STAG	78 Outperform	$6.78B	26.85	7.15%	4.31%	8.81%	33.30%
IIPR	75 Outperform	$1.60B	10.97	7.78%	13.71%	-1.33%	-8.62%
FR	72 Outperform	$6.87B	24.97	10.18%	3.19%	9.18%	-7.05%
REXR	69 Neutral	$8.31B	28.53	3.35%	4.95%	18.02%	12.12%
TRNO	68 Neutral	$5.99B	29.27	5.33%	3.31%	22.17%	4.34%
LXP	67 Neutral	$2.45B	42.26	2.98%	6.41%	5.68%	358.78%
Sector *	60 Neutral	$2.75B	10.29	0.33%	8508.22%	5.95%	-17.48%

LXP Industrial Trust Corporate Events

LXP Industrial Trust Reports Strong Q1 2025 Results

LXP Industrial Trust reported its first quarter 2025 results, highlighting a net income of $17.3 million and an increase in same-store NOI by 5.2% compared to the same period in 2024. The company completed significant lease extensions and property transactions, including the sale of a warehouse for $35 million and the commencement of a 250,000 square foot warehouse redevelopment. These activities are part of LXP’s strategy to enhance occupancy and leverage its geographic footprint amid a challenging macroeconomic environment.

LXP Industrial Trust Appoints New CFO Nathan Brunner

LXP Industrial Trust has appointed Nathan Brunner as its Executive Vice President, Chief Financial Officer, and Treasurer effective March 1, 2025. Mr. Brunner, who joined the Trust in September 2024, previously worked as an investment banker at J.P. Morgan. This leadership change follows the transition of Beth Boulerice to an advisory role and highlights the Trust’s strategic focus on strengthening its financial leadership team.