It's Been Over 30 Months Since W.P. Carey Stock Set Its All-Time High.

Core Viewpoint - W.P. Carey is actively restructuring its portfolio to enhance long-term growth potential, which is beginning to show positive results despite recent challenges in rental income and cash flow [1][5][11] Portfolio Strategy - W.P. Carey has a diversified portfolio of high-quality commercial real estate across North America and Europe, but has shifted focus away from certain property types in recent years [2] - In late 2023, the company strategically exited the office sector by spinning off part of its office portfolio and selling remaining office properties [3] - The company has also divested noncore properties, including self-storage, vacant retail, industrial properties, and hotels, generating $1.2 billion in cash [4] Financial Performance - The portfolio pivot has negatively impacted rental income, cash flow, and dividend payments, with revenue declining 9.2$1.6 billion and adjusted funds from operations (FFO) falling 9.3% to $4.70 per share [5] - Despite these challenges, adjusted FFO per share began to increase in the fourth quarter, rising 1.7$1 billion to $1.5 billion into new properties in 2025, expecting adjusted FFO to grow to a range of$4.82 to $4.92 per share, representing nearly 5$200 million purchase of discount retail store portfolios, a $100 million U.S. battery manufacturing facility, and a$150 million sale-leaseback of industrial properties in Italy, among others [9]