5 Trends To Watch This Earnings Season
Earnings season kicks off this week in the real estate sector. More than 150 REITs and 100 housing industry components will report 4Q19 earnings over the next six weeks.
REITs delivered their second-best year of the past decade in 2019 with total returns of nearly 30%, boosted by 'Goldilocks' economic conditions of low interest rates and solid economic growth.
Outside of the struggling retail REIT sectors, growth metrics have inflected higher for REITs over the past year after bottoming in 2017. Expectations are quite high for 4Q19.
The "REIT Rejuvenation" of 2019 has given these REITs the currency to re-open the acquisition pipeline which has historically been a primary driver of FFO growth.
Have mall REITs finally bottomed? Can the reacceleration in multifamily rent growth be sustained? We highlight the trends that we're watching this quarter for all real estate sectors.