Piedmont Office Realty Trust, Inc. (PDM) AI Stock Analysis

Piedmont Office Realty Trust, Inc. operates as a fully-integrated real estate investment trust specializing in the ownership, management, development, redevelopment, and operation of Class A office properties. Its portfolio is valued at approximately $5 billion and spans approximately 17 million square feet across select sub-markets in seven major Eastern U.S. office markets, with significant revenue generated from the Sunbelt region. The company holds investment-grade credit ratings from S&P Global Ratings (BBB) and Moody's (Baa2). Approximately 63% of its properties are ENERGY STAR certified, and about 41% hold LEED certification.

Revenue reached $565.0M in FY2025, down 0.9% following a 1.3% decline in FY2024 to $570.3M. Five-year revenue CAGR from FY2020 to FY2025 was 1.1%. Piedmont has reported consecutive annual net losses, with net income of -$48.4M in FY2023, -$79.1M in FY2024, and -$83.6M in FY2025. Gross margin shifted to -20.7% in FY2025 from 58.9% in FY2024, while operating margin was 14.1%. In the trailing twelve months ending June 30, 2026, revenue totaled $569.4M with an operating margin of 14.3% and a profit margin of -14.2%. In the latest quarter, revenue grew 2.7% year-over-year, while quarterly earnings declined 70.0%.

As of June 30, 2026, Piedmont held $16.8M in cash and short-term investments compared to $2.27B in total debt, resulting in net debt of $2.26B. Shareholders' equity stood at $1.47B, total assets were $4.05B, and the debt-to-equity ratio was 1.54 with a current ratio of 0.85. Operating cash flow in FY2025 was $140.6M. Capital expenditures of $157.2M led to free cash flow of -$16.7M. During FY2025, cash deployment included $30.9M in dividends paid and $2.3M in share buybacks.

PDM trades at an enterprise value of $3.40B and a market cap of $1.14B. The stock trades at a price-to-sales multiple of 2.0x, lower than the 3.7x median of its US-listed Real Estate peers. Its EV-to-EBITDA stands at 12.1x compared to the peer median of 14.7x, while its forward P/E is 75.2x compared to the peer median of 23.5x. Over the past year, PDM returned 11.5%, trailing the S&P 500 (SPY) return of 16.8%. Over a 5-year span, the stock fell 36.6% compared to an 83.0% gain for the index.

Wall Street analysts cover PDM with 1 Strong Buy and 3 Hold ratings. The mean price target is $10.75, representing an upside of 18.3% over the last close of $9.09. For the fiscal year ending December 31, 2026, consensus estimates project an EPS of -$0.17 on revenue of $583.6M. For the following fiscal year, 1 analyst projects an EPS of $0.25 on revenue of $597.6M. PDM has beaten EPS estimates in 1 of the last 4 quarters, and its next earnings date is October 26, 2026.

This page is an AI-written research summary of Piedmont Office Realty Trust, Inc. (PDM). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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