(CDP) COPT Defense Properties - Overview
Sector: Real Estate | Industry: REIT - Office | Exchange: NYSE (USA) | Market Cap: 3.753m USD | Total Return: 19.1% in 12m
Avg Turnover: 23.3M
EPS Trend: -27.6%
Qual. Beats: 0
Rev. Trend: 92.3%
Qual. Beats: 0
Warnings
Altman Z'' -0.83 < 1.0 - financial distress zone
Fakeout Below Avwap Earnings
Tailwinds
No distinct edge detected
COPT Defense Properties (CDP) is a self-managed REIT specializing in the ownership and development of mission-critical real estate located near or within major U.S. Government defense installations. The company’s portfolio primarily serves the U.S. Government and defense contractors involved in high-priority national security activities. These tenants typically require specialized property enhancements, such as SCIFs (Sensitive Compartmented Information Facilities), to meet rigorous security standards.
The business model relies on the stability of federal defense spending and the high switching costs associated with specialized secure infrastructure. Unlike traditional office REITs, CDP benefits from sticky tenancies due to the geographic necessity of being close to intelligence hubs and military bases. As of March 2026, the company maintained a high occupancy rate of 96.4% across 23.2 million square feet of space.
Investors can evaluate the long-term sustainability of these government-anchored leases by reviewing the fundamental data available on ValueRay. Founded in 1988 and headquartered in Maryland, CDP is a constituent of the S&P MidCap 400 index.
- U.S. defense budget growth accelerates demand for mission-critical secure office space
- High tenant retention rates from specialized security requirements stabilize long-term cash flows
- Concentration in Maryland and Northern Virginia markets increases sensitivity to regional BRAC decisions
- Rising interest rates impact cost of capital for new development and redevelopment projects
- Strategic proximity to intelligence agencies drives occupancy levels and premium rental pricing
| Net Income: 156.1m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.06 > 0.02 and ΔFCF/TA -0.14 > 1.0 |
| NWC/Revenue: -10.94% < 20% (prev 9.22%; Δ -20.16% < -1%) |
| CFO/TA 0.08 > 3% & CFO 359.3m > Net Income 156.1m |
| Net Debt (2.61b) to EBITDA (412.8m): 6.31 < 3 |
| Current Ratio: 0.80 > 1.5 & < 3 |
| Outstanding Shares: last quarter (113.6m) vs 12m ago 0.49% < -2% |
| Gross Margin: 31.91% > 18% (prev 0.35%; Δ 3.16k% > 0.5%) |
| Asset Turnover: 17.84% > 50% (prev 17.60%; Δ 0.24% > 0%) |
| Interest Coverage Ratio: 2.75 > 6 (EBITDA TTM 412.8m / Interest Expense TTM 90.2m) |
| A: -0.02 (Total Current Assets 333.1m - Total Current Liabilities 418.0m) / Total Assets 4.46b |
| B: -0.22 (Retained Earnings -986.7m / Total Assets 4.46b) |
| C: 0.06 (EBIT TTM 247.7m / Avg Total Assets 4.35b) |
| D: -0.34 (Book Value of Equity -985.5m / Total Liabilities 2.87b) |
| Altman-Z'' = -0.83 = CCC |
| DSRI: 1.01 (Receivables 304.5m/290.3m, Revenue 776.7m/747.9m) |
| GMI: 1.11 (GM 31.91% / 35.43%) |
| AQI: 1.02 (AQ_t 0.91 / AQ_t-1 0.90) |
| SGI: 1.04 (Revenue 776.7m / 747.9m) |
| TATA: -0.05 (NI 156.1m - CFO 359.3m) / TA 4.46b) |
| Beneish M = -2.93 (Cap -4..+1) = A |
As of June 02, 2026, the stock is trading at USD 31.64 with a total of 711,659 shares traded.
Over the past week, the price has changed by -1.53%,
over one month by +2.03%,
over three months by -0.40% and
over the past year by +19.05%.
COPT Defense Properties has received a consensus analysts rating of 4.25. Therefore, it is recommended to buy CDP.
- StrongBuy: 5
- Buy: 0
- Hold: 3
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 35.6 | 12.6% |
P/E Trailing = 23.7226
P/E Forward = 38.1679
P/S = 4.8088
P/B = 2.419
P/EG = 1.0246
Revenue TTM = 776.7m USD
EBIT TTM = 247.7m USD
EBITDA TTM = 412.8m USD
Long Term Debt = 2.22b USD (from longTermDebt, last quarter)
Short Term Debt = 52.3m USD (from shortTermDebt, last quarter)
Debt = 2.63b USD (from shortLongTermDebtTotal, last quarter) + Leases 43.8m
Net Debt = 2.61b USD (calculated: Debt 2.63b - CCE 28.6m)
Enterprise Value = 6.36b USD (3.75b + Debt 2.63b - CCE 28.6m)
Interest Coverage Ratio = 2.75 (Ebit TTM 247.7m / Interest Expense TTM 90.2m)
EV/FCF = 24.82x (Enterprise Value 6.36b / FCF TTM 256.2m)
FCF Yield = 4.03% (FCF TTM 256.2m / Enterprise Value 6.36b)
FCF Margin = 32.99% (FCF TTM 256.2m / Revenue TTM 776.7m)
Net Margin = 20.10% (Net Income TTM 156.1m / Revenue TTM 776.7m)
Gross Margin = 31.91% ((Revenue TTM 776.7m - Cost of Revenue TTM 528.9m) / Revenue TTM)
Gross Margin QoQ = 59.41% (prev 14.12%)
Tobins Q-Ratio = 1.43 (Enterprise Value 6.36b / Total Assets 4.46b)
Interest Expense / Debt = 3.42% (Interest Expense 90.2m / Debt 2.63b)
Taxrate = 0.31% (124k / 40.3m)
NOPAT = 246.9m (EBIT 247.7m * (1 - 0.31%))
Current Ratio = 0.62 (Total Current Assets 333.1m / Total Current Liabilities 535.0m)
Debt / Equity = 1.74 (Debt 2.63b / totalStockholderEquity, last quarter 1.51b)
Debt / EBITDA = 6.31 (Net Debt 2.61b / EBITDA 412.8m)
Debt / FCF = 10.17 (Net Debt 2.61b / FCF TTM 256.2m)
Total Stockholder Equity = 1.51b (last 4 quarters mean from totalStockholderEquity)
RoA = 3.59% (Net Income 156.1m / Total Assets 4.46b)
RoE = 6.26% (Net Income TTM 156.1m / Total Stockholder Equity 2.50b)
RoCE = 5.25% (EBIT 247.7m / Capital Employed (Equity 2.50b + L.T.Debt 2.22b))
RoIC = 5.57% (NOPAT 246.9m / Invested Capital 4.43b)
WACC = 5.23% (E(3.75b)/V(6.39b) * Re(6.51%) + D(2.63b)/V(6.39b) * Rd(3.42%) * (1-Tc(0.00)))
Discount Rate = 6.51% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 76.41 | Cagr: 0.37%
[DCF] Terminal Value 75.75% ; FCFF base≈253.9m ; Y1≈259.9m ; Y5≈286.3m
[DCF] Fair Price = 16.13 (EV 4.43b - Net Debt 2.61b = Equity 1.83b / Shares 113.4m; r=8.35% [WACC [floored]]; 5y FCF grow 2.37% → 2.50% )
EPS Correlation: -27.60 | EPS CAGR: -5.62% | SUE: 0.08 | # QB: 0
Revenue Correlation: 92.32 | Revenue CAGR: 4.66% | SUE: 0.20 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.32 | Chg30d=+0.00% | Revisions=N/A | Analysts=1
EPS next Quarter (2026-09-30): EPS=0.33 | Chg30d=-2.94% | Revisions=-20% | Analysts=1
EPS current Year (2026-12-31): EPS=1.33 | Chg30d=-2.84% | Revisions=-20% | GrowthEPS=-0.4% | GrowthRev=+2.9%
EPS next Year (2027-12-31): EPS=1.40 | Chg30d=-1.41% | Revisions=-20% | GrowthEPS=+6.8% | GrowthRev=+3.6%
[Analyst] Revisions Ratio: -20%