AlphaMadera

BXP BXP, Inc.

$62.26

Real Estate Investment Trust 85%

P/FFO × Office REIT Multiple

Moderate · Conviction

Undervalued

Trading 25.4% below fair value

You pay $62.26

Bear $65.43

Fair $83.42

Bull $101.40

Bear $65.43 +5.1% $7.45 FFO × 10x

Fair $83.42 +34.0% $7.45 FFO × 13x

Bull $101.40 +62.9% $7.45 FFO × 16x

Adjust Assumptions

P/FFO Multiple

13.0x

FFO per Share

7.45$

Key Value Driver

FFO/share ($7.45) × office P/FFO multiple

Terminal Value % of EV

Implied Market Multiple 8.4x

Market is pricing in (growth)

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above.

Average Target (43 analysts) $70.18

Divergence from AlphaVal 19%

Summary

At $7.45 FFO/share with a 13x office REIT multiple, the base-case value is $83.42 per share. Dividend yield: 4.5%. DDM cross-check: $52.18.

Warnings

⚠ Standard profit figures are misleading for real estate companies — large non-cash accounting charges make profits look artificially low. Dividend yield and funds from operations are better measures.

ℹ Dividend-based valuation: $52.18 (37% below our primary estimate). Large gaps suggest the dividend may not fully reflect the company's value.

Key Risks

P/E and EV/EBITDA are structurally wrong for REITs — use P/FFO and NAV
Interest rate sensitivity: REIT multiples compress when rates rise
FFO approximation (NI + D&A) may include gains on property sales — verify