VRAI - REIT Earnings Preview: Here's What We're Watching
2025-10-22 09:00:00 ET
Real Estate Earnings Preview
Hoya Capital
Real estate earnings season kicks into gear this week, and over the next month, we'll hear results from 175 equity REITs, 40 mortgage REITs, and dozens of housing industry companies. One step forward, one step back: Matching the stubborn performance pattern seen around this time last year, REITs rallied ahead of the Fed's September rate cut but stumbled into the start of earnings season amid renewed uncertainty over the inflation outlook and broader economic growth. Since the start of the second quarter, the Equity REIT Index ( VNQ ) has lagged the broader S&P 500 ( SPY ) by 14 percentage points, swelling the cumulative three-year REIT underperformance to roughly 60 percentage points - far and away the widest performance gap between the two benchmarks in any three-year stretch ever. As analyzed in our State of REIT Nation report, however, valuations - not fundamentals - are responsible for the vast majority of this REIT underperformance, setting the stage for significant REIT outperformance as interest rates pull-back....
REIT Earnings Preview: Here's What We're Watching