Hudson Pacific Properties (NYSE:HPP) Issues Earnings Results

Hudson Pacific Properties (NYSE:HPP) issued its earnings results on Wednesday. The real estate investment trust reported ($1.62) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.72) by ($0.90), FiscalAI reports. Hudson Pacific Properties had a negative net margin of 67.89% and a negative return on equity of 19.05%. The company had revenue of $188.30 million for the quarter, compared to analyst estimates of $181.80 million. Hudson Pacific Properties updated its FY 2026 guidance to 1.120-1.200 EPS.

Here are the key takeaways from Hudson Pacific Properties’ conference call:

• Record office leasing lifted occupancy and earnings: Hudson Pacific signed 1.3 million square feet of office leases, increased occupancy 470 basis points to 82.5%, and nearly tripled Core FFO to $23.1 million, or $0.35 per diluted share.
• Large San Francisco government lease improves visibility: The 891,000-square-foot, 24-year lease with the City and County of San Francisco provides significant long-term cash-flow visibility and contributed to stronger net effective rents.
• Management raised 2026 Core FFO guidance to $1.12–$1.20 per diluted share, citing second-quarter outperformance and slightly better expectations for the second half, while maintaining $876 million of liquidity.
• Quixote restructuring is materially reducing losses: Annualized cash NOI improved by approximately $14.3 million from 2024 levels, narrowing the fleet business’s loss to roughly $4 million and bringing it closer to break-even.
• Near-term results face pressure from lease expirations and financing uncertainty: Two large expirations are expected to reduce occupancy and earnings in the third quarter before a projected fourth-quarter rebound, while the Hollywood Media portfolio loan has transferred to special servicing pending finalization of a longer-term extension.

Hudson Pacific Properties Stock Performance

NYSE:HPP traded up $0.92 during midday trading on Wednesday, reaching $14.90. The stock had a trading volume of 1,420,686 shares, compared to its average volume of 675,447. The stock has a market capitalization of $808.12 million, a P/E ratio of -1.48, a PEG ratio of 1.04 and a beta of 1.90. Hudson Pacific Properties has a 1-year low of $5.26 and a 1-year high of $21.70. The company has a debt-to-equity ratio of 1.28, a current ratio of 1.65 and a quick ratio of 1.65. The firm’s fifty day simple moving average is $14.73 and its 200-day simple moving average is $10.35.

Institutional Investors Weigh In On Hudson Pacific Properties

Hedge funds have recently bought and sold shares of the company. XTX Topco Ltd boosted its position in shares of Hudson Pacific Properties by 1,414.4% in the fourth quarter. XTX Topco Ltd now owns 162,706 shares of the real estate investment trust’s stock valued at $1,762,000 after acquiring an additional 151,962 shares during the period. Sona Asset Management US LLC acquired a new position in Hudson Pacific Properties during the 4th quarter valued at $3,368,000. Man Group plc bought a new stake in Hudson Pacific Properties in the 4th quarter valued at $823,000. CastleKnight Management LP lifted its stake in shares of Hudson Pacific Properties by 113.2% in the fourth quarter. CastleKnight Management LP now owns 103,806 shares of the real estate investment trust’s stock valued at $1,124,000 after buying an additional 55,106 shares during the period. Finally, Almitas Capital LLC acquired a new stake in Hudson Pacific Properties during the fourth quarter worth about $1,059,000. 97.58% of the stock is currently owned by institutional investors.

Key Stories Impacting Hudson Pacific Properties

Here are the key news stories impacting Hudson Pacific Properties this week:

• Positive Sentiment: Hudson Pacific reported second-quarter Core FFO of $0.35 per diluted share, up from $0.27 a year earlier and above the $0.28 consensus estimate. Revenue of $188.3 million also exceeded analysts’ $181.8 million forecast. Hudson Pacific Properties Tops Q2 FFO and Revenue Estimates
• Positive Sentiment: Management raised its full-year 2026 outlook to $1.12–$1.20 per share, above the $1.05 analyst consensus, signaling greater confidence in recurring cash flow. Hudson Pacific Reports $188.3 Million Q2 Revenue and Raises 2026 Outlook
• Positive Sentiment: Operating performance improved: same-store cash net operating income rose 7.5% to $90.2 million, the company executed 1.3 million square feet of office leases, and in-service office occupancy increased to 82.5%. Liquidity stood at $876.1 million. Hudson Pacific Properties Posts Loss and Lands Hollywood Maturity Extension
• Positive Sentiment: The company secured an extension related to a roughly $1 billion Hollywood debt maturity, reducing immediate refinancing pressure and supporting financial flexibility. Hollywood Maturity Extension
• Neutral Sentiment: Management’s earnings call provided additional detail on leasing, office demand, capital allocation and the revised outlook. HPP Q2 2026 Earnings Call Transcript
• Negative Sentiment: Hudson Pacific posted a $104.7 million net loss, or $1.62 per share, compared with a $87.8 million loss a year earlier, substantially missing the $0.72-per-share consensus estimate. Revenue also declined modestly year over year. Hudson Pacific Properties Earnings Results

Wall Street Analysts Forecast Growth

A number of research analysts have commented on the company. Wall Street Zen upgraded Hudson Pacific Properties from a “sell” rating to a “hold” rating in a research note on Sunday, July 12th. Mizuho raised their price target on Hudson Pacific Properties from $15.00 to $17.00 and gave the stock a “neutral” rating in a research note on Tuesday, July 21st. Bank of America reiterated an “underperform” rating and set a $14.00 price target on shares of Hudson Pacific Properties in a report on Tuesday, June 16th. Weiss Ratings reissued a “sell (d)” rating on shares of Hudson Pacific Properties in a research note on Friday, May 29th. Finally, Zacks Research cut shares of Hudson Pacific Properties from a “strong-buy” rating to a “hold” rating in a report on Friday, July 10th. Three investment analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $14.32.

About Hudson Pacific Properties

Hudson Pacific Properties (NYSE: HPP) is a self-managed real estate investment trust focused on the acquisition, development and management of high-quality office and studio properties. The company’s portfolio spans strategic West Coast markets in the United States and key markets in Canada, providing space for technology, media and creative companies as well as major film and television producers. As an owner and operator of both traditional office buildings and specialized production facilities, Hudson Pacific seeks to deliver stable income through long-term leases and strategic property enhancements.

In its office segment, Hudson Pacific targets markets with strong job growth and limited supply, including Los Angeles, Silicon Valley, San Diego and Seattle, as well as Vancouver, British Columbia.