Easterly Government Properties (NYSE:DEA) Releases Quarterly Earnings Results, Misses Estimates By $0.67 EPS

Easterly Government Properties (NYSE:DEA) announced its quarterly earnings results on Monday. The real estate investment trust reported $0.10 EPS for the quarter, missing analysts’ consensus estimates of $0.77 by ($0.67), FiscalAI reports. Easterly Government Properties had a net margin of 3.87% and a return on equity of 0.94%. The firm had revenue of $87.04 million for the quarter, compared to analyst estimates of $87.73 million. During the same period in the previous year, the business posted $0.29 earnings per share. The business’s revenue for the quarter was up 11.1% compared to the same quarter last year. Easterly Government Properties updated its FY 2026 guidance to 3.050-3.120 EPS.

Here are the key takeaways from Easterly Government Properties’ conference call:

• Core FFO per share momentum — Easterly reported ~3% full-year Core FFO growth for 2025 (Q4 Core FFO +~6% YoY) and is guiding to ~3% Core FFO per share growth at the 2026 midpoint, marking a third consecutive year in its 2%–3% growth target range.
• High-quality, durable portfolio — Portfolio occupancy is near 97% with roughly a decade weighted average lease term and an active development pipeline (FDA Atlanta delivered; courthouses and a state crime lab under construction) that management says will drive stable, mission-critical cash flows.
• Accretive deal execution — Closed a three-asset Virginia acquisition for $44.5M (~298k sq ft) at a ~11% going-in cash cap rate that management calls immediately accretive, and they cite a $1.5B acquisition pipeline focused on state/local partnerships with built-in escalations.
• Leverage remains elevated — Reported cash leverage (net debt / annualized quarterly EBITDA) of 7.5x, above the company’s medium-term ~6x target; management expects reimbursements and ongoing execution to lower leverage but current levels could pressure funding costs in the near term.
• Policy and budget uncertainty — Management frames recent federal real estate initiatives (DOGE) and agency budget changes as ultimately favorable for outsourcing to private owners, but acknowledged agency efficiency drives and cuts that could create near-term headline risk despite the firm’s stated portfolio durability.

Easterly Government Properties Stock Down 0.7%

Shares of Easterly Government Properties stock opened at $23.32 on Wednesday. Easterly Government Properties has a one year low of $19.33 and a one year high of $29.49. The company has a debt-to-equity ratio of 1.22, a current ratio of 3.87 and a quick ratio of 3.47. The stock’s 50-day moving average is $22.77 and its 200 day moving average is $22.38. The firm has a market cap of $1.08 billion, a price-to-earnings ratio of 83.25 and a beta of 0.96.

Easterly Government Properties Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, March 19th. Stockholders of record on Thursday, March 5th will be paid a $0.45 dividend. This represents a $1.80 dividend on an annualized basis and a dividend yield of 7.7%. The ex-dividend date of this dividend is Thursday, March 5th. Easterly Government Properties’s payout ratio is currently 642.86%.

Hedge Funds Weigh In On Easterly Government Properties

Institutional investors have recently added to or reduced their stakes in the business. Corient Private Wealth LLC acquired a new position in Easterly Government Properties during the 4th quarter worth approximately $203,000. Polymer Capital Management US LLC increased its holdings in shares of Easterly Government Properties by 17.1% during the fourth quarter. Polymer Capital Management US LLC now owns 19,629 shares of the real estate investment trust’s stock valued at $416,000 after acquiring an additional 2,867 shares in the last quarter. Balyasny Asset Management L.P. raised its position in shares of Easterly Government Properties by 7.5% during the fourth quarter. Balyasny Asset Management L.P. now owns 921,658 shares of the real estate investment trust’s stock worth $19,530,000 after purchasing an additional 64,554 shares during the period. Freestone Grove Partners LP bought a new position in shares of Easterly Government Properties in the 4th quarter worth $463,000. Finally, Guggenheim Capital LLC lifted its holdings in shares of Easterly Government Properties by 58.0% in the 4th quarter. Guggenheim Capital LLC now owns 23,755 shares of the real estate investment trust’s stock worth $503,000 after purchasing an additional 8,717 shares in the last quarter. 86.51% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on DEA shares. Truist Financial lowered their target price on Easterly Government Properties from $25.00 to $24.00 and set a “hold” rating for the company in a research report on Monday, November 24th. Weiss Ratings cut Easterly Government Properties from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Friday. Finally, Wall Street Zen upgraded Easterly Government Properties from a “sell” rating to a “hold” rating in a research report on Saturday, January 10th. Two equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $24.99.

About Easterly Government Properties

Easterly Government Properties, Inc is a real estate investment trust that specializes in the acquisition, development and management of commercial properties leased to U.S. government agencies. Structured as a triple-net lease REIT, the company focuses on single-tenant assets with long-term, credit-backed leases that transfer most property-level responsibilities—including taxes, insurance and maintenance—to its government tenants.

The firm’s portfolio encompasses a variety of facility types, including office buildings, training centers, laboratories and mission-critical installations used by federal agencies.