Highwoods Properties, Inc. (HIW)

In the past six months (August 2025 - February 2026), Highwoods Properties reported its Q2 2025 earnings on September 1, 2025, delivering FFO of $0.89 per share, with occupancy roughly flat at 85.6% and the lease rate increasing to 88.9%. On October 28, 2025, the company posted its Q3 2025 earnings, reporting an EPS of $0.86, which met analyst estimates, though quarterly revenue fell 1.2% year-over-year to $201.77 million, missing consensus estimates. Despite industry headwinds, the company improved its 2025 FFO outlook in Q3 2025 to $3.41 to $3.45 per share. The stock has experienced volatility due to broader industry challenges, including remote/hybrid work trends, falling occupancy rates, lower Funds From Operations (FFO), and rising interest rates. As of January 30, 2026, the share price was $25.85, compared to $29.40 on February 3, 2025. The 52-week high for the stock was $32.76, and the 52-week low was $24.19.

While specific detailed information on demand seasonality for Highwoods Properties' office products and services is not extensively detailed, one mention indicates "normal seasonality" in the context of increased repairs and maintenance spending in the second half of 2023. Generally, the demand for office space can be influenced by economic cycles, business expansion, and contraction, rather than strict seasonal patterns like retail or hospitality. Highwoods Properties has reported consistent leasing activity, with strong performance in Q2 2025 and Q4 2024, suggesting a relatively steady demand for its high-quality office spaces in its target markets. The company's strategy of focusing on Sun Belt markets with strong population and employment growth aims to mitigate potential fluctuations in demand.

Highwoods Properties, Inc. (HIW) is a publicly traded REIT based in Raleigh, North Carolina, operating in the Real Estate sector, specifically Office REITs. The company focuses on owning, developing, acquiring, leasing, and managing high-quality office properties in the Best Business Districts (BBDs) of dynamic Sun Belt markets in the United States, providing exceptional workplace environments and experiences for its customers.

Highwoods Properties' portfolio is concentrated in key Sun Belt markets including Atlanta, Charlotte, Dallas, Nashville, Orlando, Raleigh, Richmond, and Tampa. These markets are characterized by strong population and office employment growth.

In the past year, Highwoods Properties' brand reputation has been influenced by the broader challenges facing the office REIT sector, leading to some analyst downgrades in 2024. However, the company has also demonstrated operational resilience and strength in its Sun Belt markets. For instance, its Q1 2025 results surpassed earnings estimates, and it reported strong leasing activity in Q2 2025, with 750,000 square feet of leases signed, including 300,000 square feet of new leases. CEO Ted Klinck highlighted that tenant expansions outnumbered contractions 3-to-1, indicating enduring demand for centralized workspaces in Highwoods' Best Business Districts. The company's focus on high-quality properties in desirable urban and suburban locations, catering to various industries, contributes positively to its reputation.

Highwoods Properties, Inc. has a significant institutional ownership base, with 634 institutional owners and shareholders holding a total of 140,881,035 shares. Major institutional owners include Vanguard Group Inc (approximately 15-17% of shares), BlackRock, Inc. (approximately 10-12%), Cohen & Steers, Inc., State Street Corp (approximately 4-6%), iShares Core S&P Small-Cap ETF, Massachusetts Financial Services Co /ma/, Vanguard Real Estate Index Fund Investor Shares, and T. Rowe Price Investment Management, Inc. Insider and director holdings are generally modest, around 2%.