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Analyst Blog

The September-quarter end reporting cycle is drawing to an end. Some companies from the real estate investment trust (REIT) industry are yet to report their results. On Nov 8, Gaming and Leisure Properties, Inc (GLPI - Free Report) , NorthStar Realty Finance Corp. (NRF - Free Report) , New York REIT, Inc. (NYRT - Free Report) and Easterly Government Properties, Inc. (DEA - Free Report) are slated to release their third-quarter 2016 figures.

So far, the performance of the REIT industry has been mixed. On one side, the sustained low rate of interest benefited the companies in this industry during the quarter. On the other, the individual market dynamics played a key role in the performance of the companies.

While REITs like Prologis, Inc. (PLD - Free Report) and Simon Property Group Inc. (SPG - Free Report) reported better-than-expected numbers, Boston Properties Inc. (BXP - Free Report) failed to surpass expectations in the quarter.

Since, neither all REITs cater to the same asset class nor are they equally poised to surpass analyst’s expectations, we relied on the Zacks methodology, combining a favorable Zacks Rank – Zacks Rank #1 (Strong Buy) or 2 (Buy) or 3 (Hold) – and a positive Earnings ESP, to predict the chances of a beat this quarter.

Please check our Earnings ESP Filter that enables you to find stocks that are expected to come out with earnings surprises.

Per our proprietary methodology, Earnings ESP shows the percentage difference between the Most Accurate estimate and the Zacks Consensus Estimate. Research shows that with this combination of rank and ESP, chances of a positive earnings surprise are as high as 70% for the stocks.

Wyomissing, PA-based Gaming and Leisure Properties is primarily engaged in owning, acquiring, developing, expanding, managing, and leasing gaming and related facilities. We cannot conclusively predict an earnings beat this quarter as the company has an Earnings ESP of 0.00% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

GAMING AND LEIS Price and EPS Surprise

 

GAMING AND LEIS Price and EPS Surprise | GAMING AND LEIS Quote

NorthStar Realty Finance is a New York-based real estate operations firm which invests in multiple asset classes across commercial real estate. The company has an Earnings ESP of 0.00% and a Zacks Rank #5 (Strong Sell). Here, surprise prediction becomes inconclusive, with the company not having a right combination of ESP and rank.

NORTHSTAR RLTY Price and EPS Surprise

NORTHSTAR RLTY Price and EPS Surprise | NORTHSTAR RLTY Quote

New York REIT is engaged in acquiring commercial real estate. The company has an Earnings ESP of 0.00% and a Zacks Rank #3. Despite a favorable Zacks Rank, the 0.00% ESP makes surprise prediction difficult.

NEW YORK REIT Price and EPS Surprise

 

NEW YORK REIT Price and EPS Surprise | NEW YORK REIT Quote

Washington, DC-based Easterly Government Properties focuses on acquisition, development and management of commercial properties leased to the U.S. Government agencies. The company has an Earnings ESP of 0.00% and a Zacks Rank #3. Despite a favorable Zacks Rank, a 0.00% ESP makes surprise prediction difficult.

EASTRLY GOV PPT Price and EPS Surprise

 

EASTRLY GOV PPT Price and EPS Surprise | EASTRLY GOV PPT Quote

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