Orin
BXPNYSE·REIT - Office

BXP, Inc. BXP

Market cap $9.9BP/E 33.5× trailingGross margin 46.8%Reports Tue 27 Oct, after the close
$62.29
+0.02 (+0.03%)live 11:20 ET
52-wk $49.72 – $76.37
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Orin's take
0.62conviction · moderate
Refreshed 25 Aug · take v8. A new filing or a print queues the next refresh.

BXP's operational recovery is genuine — FY2025 operating income nearly doubled to $1.94B from $1.02B in FY2024, Q2 2026 occupancy reached 88.4% with 1.8M sq ft of leasing, and FY2026 FFO guidance was raised to $6.99–$7.05 per share. However, the stock has rallied from $67.90 to $72.13 since the prior hold call, pushing RSI to 62.9 and widening the P/E premium to 37.6x versus a peer median of 15.8x — a 138.5% premium — while free cash flow has declined for a fourth consecutive year to $690M and total debt of $17.4B sits against just $5.1B of equity.

The turnaround is real but the price has run ahead of the fundamentals, leaving risk/reward balanced rather than compelling.

What could go wrong

  • Valuation stretch. P/E of 37.6x trades at a 138.5% premium to the peer median of 15.8x, limiting upside if FFO growth disappoints even slightly.
  • FCF deterioration. Free cash flow has declined four straight years from $1.12B (FY2021) to $690M (FY2025), even as revenue grew, signaling rising capital intensity and lease-up costs.
  • Leverage and refinancing. Total debt of $17.4B against equity of $5.1B, with a new $700M issuance at 6.050% due 2036 and a $1.2B loan for 343 Madison, increases interest burden and refinancing exposure.
  • Insider selling. CFO Michael LaBelle sold 8,033 shares at $67.02 on June 9, 2026; 24-month net insider dollar flow is negative at -$8.09M despite phantom stock unit accruals.

What would change my mind

Occupancy and leasing acceleration. Quarterly occupancy exceeds 90% with sustained leasing volume above 2M sq ft, indicating Class A flight-to-quality is converting to NOI growthbullish
FCF inflection. Annual free cash flow stabilizes or grows year-over-year, reversing the four-year decline trendbullish
Cap rate expansion or rent softening. Guidance for same-property NOI growth is cut or office market cap rates widen, compressing NAV and FFO outlookbearish

Where this comes from: FMP annual fundamentals FY2025 vs FY2024 · Seeking Alpha news article, 2026-08-12 · peer_relative composite · FMP annual fundamentals FY2021–FY2025. Orin's read on BXP; not advice.

Twelve months actual closes to 2026-09-24 · actual filings

Sept 25Nov 25Jan 26Mar 26May 26Jul 26

50-day average 200-day average · volume below

Largest holders · 13F Q2 2026

Money flow
FilerPositionOf fund
Vanguard Portfolio Management$859.6M0.0% of fund
Vanguard Capital Management$666.6M0.0% of fund
State Street$659.6M0.0% of fund
Norges Bank$429.8M0.0% of fund
Invesco$384.6M0.0% of fund
Geode Capital Management$291.0M0.0% of fund

73 filers · quarter ended Q2 2026 · positions, not flows

Insiders, last 24 months: 128 Form 4 filings, net −$8.1M. Of the 50 on hand, 0 were open-market purchases and 7 sales— the rest are grants, option exercises and tax withholding.

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Where it trades

vs its own 5y · Real Estate
MetricNowOwn medianSector
P/E33.5×—56.8×
EV/EBITDA13.8×15.3×—
P/S2.82×3.41×—
P/B1.9×2.1×—

Its P/E sits 20th percentile of its own last 5 years (−0.51σ from its own mean).

What the price assumes

3.2%

free-cash-flow growth every year for 10 years, discounted at 10%, is what today’s price implies — starting from $0.7B of trailing free cash flow. It is an assumption the market is making, not a forecast Orin is making.

What Wall Street published

43 firms · 2026-09-24
Consensus target

$72

$61 – $88 · +16% against today's price

How they rate it
  • 25 buy or overweight
  • 17 hold
  • 1 underweight or sell

The analysts’ consensus and their own ratings, not Orin’s. A target is a twelve-month opinion published by the firm that wrote it.

Against the companies it is compared to

median P/E 21.2× of 3 peers
CompanyMarket capP/EEV/EBITDAGrossNetROE
BXPBXP, Inc.$10B33.5×13.8×46.8%8.4%6%
AREAlexandria Real Estate Equities, Inc.$9B—49.7×69.5%-30.6%-6%
CPTCamden Property Trust$10B32.3×13.2×22.3%20.7%8%
HSTHost Hotels & Resorts, Inc.$15B15.1×8.9×15.8%16.5%16%
REXRRexford Industrial Realty, Inc.$9B——61.0%-39.7%-5%
UDRUDR, Inc.$11B21.2×12.7×55.7%30.4%16%

The median is of the 3 peers listed above and nothing else — check it against the column. This company trades 57.7% above it. The peer set is the vendor’s, so a company can appear here that a person would not have chosen.

What it has traded at

P/E by fiscal year
FY14 45.5×FY25 38.8×

What its sector has traded at

Real Estate
FY14 44.0×FY26 52.3×

Two scales, drawn separately on purpose: a sector median and one company’s multiple are not the same number and putting them on one axis invites a comparison neither series supports.

Discounted cash flow

not recomputed since
ModelFair valueAgainstComputed
Standard DCF$145$66.46 · +119%2026-06-10
Levered DCF$79$66.46 · +19%2026-06-10

The vendor’s intrinsic-value models. Treat them as a low-growth anchor — for a fast grower the market routinely pays well above a DCF. These were computed against the price in the “against” column, not today’s.

Every estimate on one scale

price $62.29
52-week range$50 – $76
Analyst targets$61 – $88
Standard DCF$145 as of 2026-06-10, when it was $66.46
Levered DCF$79 as of 2026-06-10, when it was $66.46
At own 5y-median P/E (39×)$72
At 5y P/E range (12–820×)$23 – $1526
At sector P/E (57×)$106

The vertical rule is the current price. Ranges and point estimates are the backend’s, published as they were calculated; an arrow means the estimate sits beyond this scale, and its number is on the right.