COPT Defense Crushes Q2 Consensus by 30% and Lifts Full-Year FFO Outlook
CDP sits 42% above its 52-week low of $26.91.
Summary
COPT Defense posted Q2 2026 net income of $48.6M, a 30% beat, and raised its full-year FFO guidance. Same Property Cash NOI grew 7.4%, while higher capital commitment and leasing targets highlight strong defense-tenant demand.
Key Events · Earnings and Guidance · CDP
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Q2 Earnings Beat
Net income of $48.6M surpassed consensus by 30%; diluted FFO per share of $0.71 came in $0.02 above the guidance midpoint and grew 4.4% year-over-year.
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Same Property Cash NOI Growth
Same Property Cash NOI rose 7.4% year-over-year, supported by robust leasing and high occupancy in the Defense/IT Portfolio, which was 95.1% occupied and 96.4% leased.
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Raised Full-Year Guidance
The midpoint of 2026 FFO per share guidance was raised by $0.02 to $2.78, and the Same Property Cash NOI growth guidance midpoint was lifted by 100 bps to 4.0%.
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Increased Investment and Leasing Targets
The capital commitment target was raised by $45M to $335M, and the vacancy leasing target was increased by 75,000 SF to 475,000 SF, reflecting a strong pipeline of defense-related demand.
Analysis · CDP · Real Estate & Construction
A standout second quarter saw net income reach $48.6 million, topping consensus by 30%, while adjusted FFO per share of $0.71 rose 4.4% year-over-year. Same Property Cash NOI surged 7.4%, fueled by vigorous leasing and occupancy that remains elevated across the defense-focused portfolio. Reflecting confidence in sustained demand tied to U.S. defense spending, management raised the midpoint of full-year FFO per share guidance by $0.02 to $2.78 and lifted the Same Property Cash NOI growth outlook by 100 basis points to 4.0%. The capital commitment target was also increased by $45 million to $335 million, and the vacancy leasing goal was boosted by nearly 20%, underscoring a robust deal pipeline. With the stock trading near its 52-week high, these results strengthen the case that COPT Defense is a direct beneficiary of rising defense budgets and mission-critical property requirements.
At the time of this filing, CDP was trading at $38.27 on NYSE in the Real Estate & Construction sector, with a market capitalization of approximately $8.7B. The 52-week trading range was $26.91 to $38.54. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.