Share Repurchase Program Declared by Highwoods Properties (NYSE:HIW) Board

Key Points

• The Board approved a $250 million share repurchase program to buy up to 9.5% of outstanding shares via open‑market purchases, a signal management may view the stock as undervalued.
• Highwoods missed quarterly estimates (EPS $0.26 vs. $0.84 expected) with slightly lower revenue, provided FY2026 guidance of 3.400–3.680 EPS, and faces a consensus analyst rating of Hold with a $27.67 price target after several downgrades.
• The company declared a quarterly dividend of $0.50 (annualized $2.00), representing a 8.4% yield but a payout ratio of 136.99%, which raises sustainability concerns.

Highwoods Properties (NYSE:HIW - Get Free Report) announced that its Board of Directors has initiated a share buyback plan on Wednesday, April 22nd, RTT News reports. The company plans to repurchase $250.00 million in outstanding shares. This repurchase authorization permits the real estate investment trust to buy up to 9.5% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company's board believes its shares are undervalued.

Highwoods Properties Stock Down 0.6%

Shares of NYSE:HIW traded down $0.15 during trading on Wednesday, hitting $23.73. 970,612 shares of the company were exchanged, compared to its average volume of 1,098,984. The stock has a market cap of $2.62 billion, a price-to-earnings ratio of 16.25 and a beta of 1.05. Highwoods Properties has a fifty-two week low of $20.45 and a fifty-two week high of $32.76. The firm has a fifty day moving average price of $22.29 and a two-hundred day moving average price of $25.63. The company has a current ratio of 1.41, a quick ratio of 1.41 and a debt-to-equity ratio of 1.51.

Highwoods Properties (NYSE:HIW - Get Free Report) last posted its quarterly earnings results on Tuesday, February 10th. The real estate investment trust reported $0.26 earnings per share for the quarter, missing the consensus estimate of $0.84 by ($0.58). The company had revenue of $203.36 million for the quarter, compared to analyst estimates of $208.08 million. Highwoods Properties had a return on equity of 6.86% and a net margin of 20.10%.The firm's revenue for the quarter was down .9% compared to the same quarter last year. During the same period last year, the firm earned $0.85 EPS. Highwoods Properties has set its FY 2026 guidance at 3.400-3.680 EPS. As a group, research analysts anticipate that Highwoods Properties will post 3.55 earnings per share for the current fiscal year.

Highwoods Properties Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, March 10th. Shareholders of record on Tuesday, February 17th were given a dividend of $0.50 per share. The ex-dividend date of this dividend was Tuesday, February 17th. This represents a $2.00 annualized dividend and a dividend yield of 8.4%. Highwoods Properties's payout ratio is 136.99%.

Analysts Set New Price Targets

A number of brokerages recently issued reports on HIW. Citigroup dropped their target price on Highwoods Properties from $30.00 to $24.00 and set a "neutral" rating on the stock in a research report on Wednesday, February 18th. Weiss Ratings reissued a "hold (c)" rating on shares of Highwoods Properties in a research report on Thursday, January 22nd. Mizuho dropped their target price on Highwoods Properties from $30.00 to $25.00 and set a "neutral" rating on the stock in a research report on Tuesday, February 24th. Wall Street Zen raised Highwoods Properties from a "sell" rating to a "hold" rating in a research report on Monday, March 23rd. Finally, Morgan Stanley raised Highwoods Properties from an "underweight" rating to an "equal weight" rating and dropped their target price for the company from $24.00 to $23.00 in a research report on Tuesday, March 31st. Two analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat, Highwoods Properties currently has a consensus rating of "Hold" and a consensus price target of $27.67.

Highwoods Properties Company Profile

Highwoods Properties, Inc is a publicly traded real estate investment trust (REIT) that acquires, develops, leases and manages office properties. The company's portfolio is primarily focused on Class A office space, with an emphasis on high-quality buildings in key urban and suburban submarkets. Highwoods seeks to generate long-term, recurring revenues through a mix of in-place lease renewals, strategic dispositions and build-to-suit developments. Its asset management platform drives operational efficiencies and tenant service initiatives across its holdings.

Founded in 1970 and headquartered in Raleigh, North Carolina, Highwoods Properties has expanded its presence to eight major metropolitan regions across the Southeastern United States and Texas.

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