btlines

AAT US Earnings call

American Assets Trust, Inc. (AAT) · Q2 2026 results and valuation

Share price: $21.49 · 2026-11-11

Results Q2 2026 vs Q1 2026 · previous quarter · published 29 Jul 2026 and 29 Apr 2026

Net income up 0.8% on the previous quarter. Management sounded about as positive as a typical company call, in its script and in answers to analysts.

Only a basic analysis is available for this company at the moment.

1 · Numbers

+0.8%

Net income vs Q1 2026

Outlook given

Net income 6.8M vs 6.7M

Revenue −1.0%

2 · How management spoke

Typical

Less upbeat than 63% of company calls

Answers to analysts: cautious, in line with the script.

Similar to last call.

3 · What stood out

Figure

Occupancy increased to 90.5% compared to 86% last year.

Valuation

Is American Assets Trust, Inc. undervalued?

Reverse DCF. Free cash flow from the last full fiscal year (2025-12-31), grown for 10 years, discounted back, plus a terminal value. “Implied growth” is the rate the current price assumes.

The projected cash flow doesn't cover the debt, so the price is far above the model's fair value.

Current price

$21.49

close of 2026-11-11

Market implies growth of iThe yearly free-cash-flow growth, for the next 10 years, that today’s share price already assumes. If you believe the company grows faster than this, the stock is cheap under this model; slower, and it is expensive.

+13.5% for 10 yrs

Fair value / share

$-6.74

Buy below

$-5.05

Price vs fair value

n/a

Price vs buy-below price

n/a

Read between the lines

  1. Key theme

    Same-store cash NOI increased 0.3% or 1.3% excluding a one-time reserve for an office tenant receivable, which aligns with the company's expectations.

    Source quote
    “portfolio-wide same-store cash NOI increased 0.3% or 1.3%, excluding a onetime reserve for an office tenant receivable, in line with our expectations. FFO increased modestly from the first quarter, primarily driven by incremental rental income from recently commenced office leases at City Center Bellevue and One Beach. This also impacted our quarter-over-quarter results.”
  2. Guidance

    AAT expects dividend coverage to improve over time as signed office leases commence and leasing and redevelopment investments, including the office spec suite, move forward.

    Source quote
    “As we have discussed, we expect dividend coverage to improve over time as signed office leases commence and our leasing and redevelopment investments, including the office spec suite...”
  3. Guidance

    AAT expects earnings, EBITDA, and leverage to improve through execution.

    Source quote
    “We expect earnings, EBITDA and leverage to improve through execution.”
  4. Fading

    The company reported that 12 of 14 non-comparable leases in Q1 were new tenants, with nine in the spec suite program, while 144,000 square feet of signed leases are not yet commenced.

    Source quote
    “Meanwhile, of our 14 non-comparable leases in Q1, 12 were new tenants, nine of which were in our spec suite... ...approximately 237,000 square feet of office leases, with comparable cash leasing spreads of 4.8% and straight-line leasing spreads of 10.6%, which are now separately disclosed in our supplemental. We entered the second quarter on solid footing, including approximately 144,000 square feet of previously signed leases not yet commenced, another 122,000 square feet in lease...”

Tone

How upbeat the language was, compared with other companiesiTone counts positive minus negative finance words, adjusted for length. Executives mostly speak positively, so the labels compare each call with every company's latest call: “typical” is the middle third, “very upbeat” the top tenth, “cautious” the bottom tenth.. Dot: Q2 2026. Ring: Q1 2026.

Prepared remarks Typical (was restrained)
Answers to analysts Cautious (was restrained)

Script and answers carried a similar tone, so the script's message held up under questioning.

Sentences that drove the tone
“In Portland, Hassalo on Eighth ended the quarter 88% leased and renewal rents grew 2%, while new lease rents grew 1%, resulting in blended growth of 2%.”
“Of note, during the quarter, each of our office, retail and multifamily portfolios achieved record average base rents, underscoring the underlying strength of our assets.”
“Public real estate markets have strengthened as well with listed REITs outperforming the broader equity market this year on growing investor recognition of durable cash flows, limited new supply and...”

Full figures

USD · ROIC.AI fundamentals (NYSE:AAT, period end 2026-06-30)

Metric Q2 2026period end 2026-06-30 Q1 2026period end 2026-03-31 Change Q2 2025 YoY
Revenue 109.5M 110.6M −1.0% 107.9M +1.4%
Gross profit 67.9M 66.9M +1.5% 67.6M +0.5%
Operating income 26.3M 25.8M +1.8% 26.0M +1.2%
Net income 6.8M 6.7M +0.8% 7.1M −4.6%
EPS 0.11 0.08 +39.8% 0.09 +24.3%
P/E today 71.2 — 61.4 — 16.3 —

Topics

Most discussed now

  • New American Assets Trust's retail same-store NOI declined 0.4%, reflecting the absence of a onetime real estate tax refund received during the…
  • American Assets Trust mentioned on earlier calls that it got a Genentech giveback space and now that's in its planning.
  • Separate from American Assets Trust has several large requirements sitting in proposal right now.
  • The pricing would have to be compelling, and American Assets Trust would need line of sight on a replacement that maintains...

Faded since Q1 2026

  • Fading Altogether, this facility provides us with $600 million of total unsecured borrowing capacity.
  • Fading American Assets Trust's multifamily teams operated well in a competitive supply environment, and Waikiki Beach Walk delivered steady…
  • Fading Last night, American Assets Trust reported first quarter 2026 FFO per share of $0.51 and net income attributable to common stockholders…
  • Fading It is still slow right now, but what is interesting in terms of the rates—American Assets Trust still outperforms its competitive set,...

Latest announcements

Official filings, newest first.

Similar companies

Real Estate · REIT—Diversified
All Real Estate companies →