Cousins Properties: Solid Yield, Massive Upside Potential, But Sectoral Headwinds Keep Me Cautious (Rating Downgrade)
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Dividend Collection AgencyInvesting GroupFollow5ShareSavePlay(9min)Comment(1)SummaryCousins Properties (CUZ) is downgraded from buy to hold due to persistent sector headwinds and lack of sequential improvement in fundamentals.Despite resilient financials and a well-covered 5% dividend yield, CUZ faces declining occupancy and sluggish same-property NOI growth.Management has raised full-year FFO guidance three times, but near-term upside is limited by continued office sector uncertainty and potential layoffs.CUZ's solid balance sheet and Sun Belt focus provide stability, but meaningful capital appreciation likely requires 2–4 quarters of improved occupancy and NOI. Funtap/iStock via Getty Images Introduction With 2025 coming to a close in less than 2 weeks, I'll admit I'd expect REITs (XLRE) to have performed better by now. Multiple rate cuts were anticipated to help the sector rally. And whileThis article was written byDividend Collection Agency7.87K FollowersFollowFormerly known as "The Dividend Collectuh." Top 1% of financial experts on TipRanks. Contributing analyst to the iREIT+Hoya Capital investment group.
Dividend Collection Agency is not a registered investment professional nor financial advisor and these articles should not be taken as financial advice. This is for educational purposes only and I encourage everyone to do their own due diligence. I'm a Navy veteran who enjoys dividend investing in quality blue-chip stocks, BDC's, and REITs. I am a buy-and-hold investor who prefers quality over quantity and plans to supplement his retirement income and live off dividends in the next 5-7 years. I aspire to reach and help the hard working, lower and middle class workers build investment portfolios of high quality, dividend-paying companies. I also hope to give investors a new perspective to help them reach financial independence.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.