Kilroy Realty Corporation research snapshot
KRC AI stock analysis as of the August 3, 2026 data cutoff reads Kilroy Realty Corporation as a coastal office and life science REIT in an improving but still early recovery. The stock traded at $39.18 on August 3, 2026 at 10:43 AM EDT, up 0.91% from the $38.82 close on July 31, carrying a market capitalization near $4.60 billion, reported by StockAnalysis.com and consistent with $39.18 times 117.44 million shares outstanding. The Q2 2026 report, released July 27, 2026, beat consensus with FFO of $0.92 per diluted share against a $0.90 estimate and revenue of $272.4 million against a $265.39 million estimate, and management affirmed 2026 NAREIT FFO guidance of $3.49 to $3.63 per diluted share. Leasing momentum was the standout: roughly 376,000 square feet of new and renewal leases executed in the quarter, year-to-date volume up more than 40% versus the first half of 2025, GAAP rental rates up 21% and cash rents up 6.1% on comparable leases, the first quarter in nearly two years with both GAAP and cash re-leasing spreads positive, and a signed but not commenced pipeline above 1 million square feet representing more than $78 million of annualized base rent. San Francisco posted a fourth consecutive quarter of positive net absorption with active tenant demand above 10 million square feet, a level not seen since 2019. The caution is that portfolio occupancy including Kilroy Oyster Point Phase 2 fell to 77%, down 60 basis points on roughly 140 basis points of headwind from two large move-outs, TTM net income is down 22.8% partly on a $61.8 million impairment charge, the dividend payout ratio sits near 150% of trailing GAAP earnings though FFO comfortably covers the dividend, short interest is elevated at 7.46% of shares outstanding, and office demand still faces structural questions. This KRC AI stock analysis is informational only and is not investment advice.
Current price
$39.18 at the August 3, 2026, 10:43 AM EDT reading, up 0.91% from the $38.82 July 31 close, after opening at $38.94
Market cap
$4.60 billion, reported by StockAnalysis.com and consistent with $39.18 times 117.44 million shares outstanding
AI score
61 / 100
Rating
Improving coastal office and life science REIT with returning leasing momentum, affirmed 2026 guidance, and a healthy 5.5% dividend yield, still carrying structural office demand risk and elevated short interest
Trend status
Trading at and around its 5-day and 20-day moving averages near $39.13 to $39.17, above its 50-day, 100-day, and 200-day moving averages, with neutral momentum
Data cutoff (updated monthly)
August 4, 2026
Informational use only. This page is not investment advice.
| Dimension | Conclusion | Confidence |
|---|---|---|
| Business quality | Kilroy owns a high-quality office and life science portfolio in supply-constrained coastal tech markets: San Francisco Bay Area, Los Angeles, Seattle, San Diego, and Austin. Q2 2026 delivered 376,000 square feet of leasing, GAAP re-leasing spreads of 21%, cash spreads of 6.1%, and a signed but not commenced pipeline above 1 million square feet at $78 million of annualized base rent. | Medium-high |
| Moat | The moat comes from irreplaceable locations in supply-constrained coastal markets, sustainability leadership that appeals to corporate tenants, long-standing tenant relationships, and differentiated life science assets. Switching costs for tenants are moderate and hybrid work has reduced the premium value of even trophy office space, so the moat is narrower than in a pre-2020 office cycle. | Low-to-medium |
| Management | CEO Angela Aman and the team are executing a disciplined capital allocation program: $348 million of dispositions year-to-date including the $202 million Los Angeles residential sale, a $200 million private placement note repaid three months early in July 2026, a $1.1 billion to $1.25 billion revolver increase with a July 2030 maturity, a $250 million term loan extended to July 2031, and a decision to stop capitalizing Flower Mart interest at year-end 2026. Liquidity is near $1.6 billion. | Medium-high |
| Financial trend | Revenue is stable near $1.09 billion TTM but down 3.8% year over year, and TTM net income of $168.79 million is down 22.8% partly on a $61.8 million impairment. Q2 2026 FFO of $0.92 beat consensus and cash same-property NOI rose 1.5%. Management affirmed 2026 NAREIT FFO guidance of $3.49 to $3.63 and same-property NOI growth of 25 to 125 basis points. | Medium |
| Valuation | At $39.18, KRC trades at about 27.06x trailing EPS, a distorted forward P/E near 122x because near-term GAAP earnings are depressed by impairments, 4.17x sales, 0.86x book value, 14.03x EV/EBITDA, and roughly 10x to 11x forward FFO with a 5.53% dividend yield. The stock prices in a gradual recovery rather than a fast one. | Medium |
| Technical trend | KRC traded at $39.18 on August 3, 2026, up 0.91%, at and around its 5-day and 20-day moving averages near $39.13 and $39.17, above its 50-day near $37.79, 100-day near $34.39, and 200-day near $36.07. RSI near 51 to 53 is neutral, and 14-day ADX near 18 signals a range-bound rather than strongly trending market. | Medium |
| Risk level | Key risks include continued hybrid and remote work adoption reducing office demand, occupancy pressure from large expirations such as the DirecTV and AT&T space at Kilroy Airport Center in late 2027, tenant defaults in a slower economy, interest rate sensitivity affecting property values and refinancing, concentration in coastal tech markets, and a dividend payout ratio near 150% of trailing GAAP earnings, though FFO covers the dividend. | Medium-high |
| AI confidence | High for descriptive facts and cross-checked math that matched across StockAnalysis.com, SEC EDGAR XBRL, the Q2 2026 Form 10-Q, and the Q2 2026 earnings call. Lower for forward return estimates because office and life science leasing, interest rates, and property valuations are hard to model with certainty. | Medium |
| Investment certainty | Low-to-medium certainty. The page gives a research framework and scenario ranges, not a buy or sell instruction. The recovery evidence is improving, but structural office demand questions keep investment certainty below that of a pure growth or defensive story. | Low-to-medium |
KRC AI stock forecast
The KRC AI stock forecast uses scenario math around the $39.18 August 3, 2026 reading and the 2026 NAREIT FFO consensus near $3.58 per share, the standard earnings measure for a REIT. The three-scenario framework produced a bullish area near $47, a base area near $38, and a bearish area near $26 over three years, using FFO growth of 6%, 2%, and negative 3% and exit P/FFO multiples of 11x, 10x, and 8x. These are scenarios, not price commitments.
$42 to $52
More likely if AI and life science lab demand accelerate occupancy growth in Kilroy coastal markets, San Francisco rent growth continues, the signed but not commenced pipeline converts on schedule, interest rates decline improving REIT valuations, and the stock re-rates toward 11x to 12x forward FFO with occupancy above 85%.
$34 to $44
More likely if occupancy stabilizes and gradually recovers toward 80% to 83% over three years, FFO grows at a low single-digit rate from the affirmed $3.49 to $3.63 guidance, the dividend stays covered, and the stock holds near a 9x to 10x forward P/FFO multiple.
$22 to $30
More likely if office demand deteriorates again, major tenants downsize on lease expirations including the large 2027 Kilroy Airport Center roll, interest rates stay elevated pressuring property values, life science demand proves cyclical rather than secular, or same-property NOI growth turns negative for a prolonged period.
KRC AI technical analysis
KRC AI technical analysis is neutral-to-positive as of the August 3, 2026 data cutoff. The stock traded at $39.18 at 10:43 AM EDT, up 0.91%, at and around its 5-day and 20-day moving averages near $39.13 and $39.17, and above its 50-day near $37.79, 100-day near $34.39, and 200-day near $36.07. RSI near 51 to 53 is neutral and 14-day ADX near 18 signals a range-bound market, so the stock is consolidating after a roughly 43% recovery off its 52-week low. Levels may shift with live data.
| Level | Value | Why it matters |
|---|---|---|
| Current price | $39.18 | StockAnalysis.com real-time quote at the August 3, 2026, 10:43 AM EDT reading; the reported $4.60 billion market cap matches $39.18 times 117.44 million shares outstanding. |
| 5-day moving average | $39.13 | Barchart reported the 5-day moving average near $39.13 on August 3, 2026, essentially at the current price, which signals short-term momentum is flat. |
| 20-day moving average | $39.17 | Barchart reported the 20-day moving average near $39.17, essentially at the current price, reinforcing that KRC is in a short-term consolidation. |
| Near support | $37.70 to $37.80 | The 50-day moving average sits near $37.79 on Barchart and $37.69 on StockAnalysis.com, a natural first pullback support zone. |
| Next support | $34 to $36 | The 100-day moving average near $34.39 and the 200-day near $36.07 to $36.08 form a support cluster below the current price. |
| Near resistance | $40 to $42 | Round-number resistance near $40, then the 52-week high zone below $45.03, with the $45.03 high as the main overhead trigger. |
| 52-week high | $45.03 | The 52-week high. A decisive break above it would signal a resumption of the recovery and could open a move toward the analyst high target of $51. |
| 52-week low | $27.36 | The 52-week low from the cycle trough. KRC has recovered roughly 43% off this level, so invalidation of the recovery would require a move back toward the mid-$30s first. |
| Momentum | RSI near 51 to 53, ADX near 18 | 14-day RSI was near 53.49 on Barchart and 50.95 on StockAnalysis.com, neutral, and 14-day ADX near 18.32 confirms a range-bound rather than strongly trending market. |
| Volume | About 1.3 million average shares | Barchart listed 20-day average volume near 1.27 million shares and StockAnalysis.com near 1.31 million on August 3, 2026, useful for judging whether any breakout carries conviction. |
| Volatility | Moderate, lower than 2024 levels | Barchart reported 14-day historical volatility near 23.59% and a 14-day average true range near $1.14, moderate for a REIT, so position sizing should still account for sector-wide swings on rate and occupancy news. |
| Invalidation | Close below $37.70 | A decisive close below the 50-day moving average near $37.79 would weaken the short-term uptrend; a close below the 200-day near $36 would signal a loss of the medium-term recovery. |
KRC AI trading strategy
The KRC AI trading strategy framework focuses on the office and life science REIT recovery and income characteristics. KRC has a beta of 1.14 and a 5.53% dividend yield. These frameworks are informational and do not constitute personalized advice.
Accumulate on pullbacks toward the 50-day moving average near $37.70 to $37.80 for the 5.5% dividend yield. The quarterly dividend of $0.54 per share provides income while the occupancy recovery thesis plays out. Monitor the FFO payout ratio and quarterly same-property NOI growth, since a 2026 FFO payout ratio near 60% is healthy but GAAP-based payout is elevated.
Exit if the dividend is cut or occupancy and same-property NOI trends deteriorate for several consecutive quarters. Set a maximum 5% portfolio allocation given office sector risk and track the 2026 expiration schedule and the large 2027 Kilroy Airport Center roll.
Enter on a decisive break above $42 to $45.03 with above-average volume confirmation, targeting a move toward the analyst high of $51. This works best when office sector sentiment improves, San Francisco absorption continues, and interest rate expectations are favorable. The 50-day and 200-day moving averages rising above $37 and $36 support the medium-term recovery structure.
Stop loss below $37.70, the 50-day moving average, and risk 7% to 8% per trade. Avoid if volume remains below average on the breakout or if 14-day RSI is already above 70.
Accumulate if the stock pulls back toward the 200-day moving average near $36 or the 0.86x price-to-book area, treating the discount to book as a contrarian re-rating opportunity if occupancy recovers toward 85% and same-property NOI growth turns sustainably positive.
Stop loss near $34, below the 100-day moving average and the round-number support. Time-bound: if occupancy does not stabilize within four to six quarters, reassess the thesis. This is a contrarian play requiring patience and conviction in coastal office and life science recovery.
Investment research summary
Kilroy Realty owns and operates a portfolio of office and life science properties in supply-constrained coastal tech markets: the San Francisco Bay Area, Los Angeles, Seattle, San Diego, and Austin. Tenants are primarily technology, media, life science, and professional services companies that pay rent for premium, sustainable workspace. The model is REIT economics: acquire or develop properties, lease them at stable margins, and distribute the majority of taxable income as dividends.
Kilroy moat comes from irreplaceable locations in coastal tech markets where developable land is scarce, industry-leading sustainability credentials that appeal to corporate tenants, and decades of tenant relationships. Life science properties command longer leases and higher retention than traditional office. However, tenant switching costs are moderate, and the post-COVID shift to hybrid work has weakened the pricing power of even premium office assets.
The thesis fails if remote and hybrid work becomes permanently embedded, reducing office demand across Kilroy markets; if technology and life science tenants downsize on lease expirations, including the large DirecTV and AT&T space at Kilroy Airport Center in late 2027; if interest rates stay elevated and compress property values and refinancing economics; if life science lab demand proves cyclical; or if the Flower Mart development site remains idle without economic development returns.
CEO Angela Aman has led a disciplined capital allocation program: $348 million of dispositions year-to-date including the $202 million Los Angeles residential sale, a $200 million private placement note repaid three months early, a revolver raised to $1.25 billion with a July 2030 maturity, a $250 million term loan extended to July 2031, and roughly $72.7 million of buybacks in the first half. The team is stopping Flower Mart interest capitalization at year-end 2026 to protect cash flow.
Office real estate faces a potential paradigm shift similar to how retail real estate was disrupted by e-commerce, and hybrid work has permanently reduced the addressable demand for traditional office space. However, San Francisco posted a fourth consecutive quarter of positive net absorption with active tenant demand above 10 million square feet, and the AI ecosystem now represents about a third of the active demand pipeline in that market. Life science demand is improving with the XBI up more than 70% year over year.
At $39.18, KRC trades at about 0.86x book value, 27x trailing EPS, 4.17x sales, and roughly 10x to 11x forward FFO with a 5.53% dividend yield. The three-scenario model values KRC between about $26 (bearish) and $47 (bullish) over three years, with a base case near $38. The current price is roughly at the base case, so margin of safety depends on whether leasing momentum and occupancy recovery can justify a re-rating.
The strongest evidence in the refresh is the leasing inflection: 376,000 square feet of new and renewal leases in Q2, year-to-date volume up more than 40%, GAAP re-leasing spreads of 21% and cash spreads of 6.1%, the first quarter in nearly two years with both positive, and a signed but not commenced pipeline above 1 million square feet at more than $78 million of annualized base rent with an average rent 30% above the portfolio average.
Kilroy closed Q2 2026 with $253.805 million cash, $34.99 million marketable securities, $4.537 billion total debt, and about $1.6 billion of liquidity after raising its revolver to $1.25 billion and extending its term loan to July 2031. It repaid $200 million of private placement notes early in July 2026. The interest coverage ratio is near 1.87x and debt-to-equity near 0.86, providing a buffer through the recovery.
Source-backed data
Every metric below includes a source and last verification date.
| Metric | Value | Source | Last verified |
|---|---|---|---|
| Current price | $39.18 at the August 3, 2026, 10:43 AM EDT reading, up 0.91% from the $38.82 July 31 close, after opening at $38.94 | StockAnalysis.com real-time quote | August 3, 2026 |
| Market capitalization | $4.60 billion, reported by StockAnalysis.com and consistent with $39.18 x 117.44 million shares outstanding | StockAnalysis.com quote and share statistics | August 3, 2026 |
| Q2 2026 FFO | $0.92 per diluted share, beating the $0.90 consensus, including a $5.9 million 23andMe bankruptcy settlement worth about $0.05 per share | Kilroy Realty Q2 2026 earnings call and TheFly summary | July 28, 2026 |
| Q2 2026 revenue | $272.4 million total revenues, beating the $265.39 million consensus, versus $289.9 million in Q2 2025 | Q2 2026 Form 10-Q and TheFly summary | August 3, 2026 |
| 2026 FFO guidance | NAREIT FFO of $3.49 to $3.63 per diluted share, affirmed, with consensus near $3.58 | Q2 2026 earnings call | July 28, 2026 |
| 2026 same-property NOI guidance | Same-property NOI growth of 25 to 125 basis points, affirmed, after cash same-property NOI rose 1.5% in Q2 | Q2 2026 earnings call | July 28, 2026 |
| Q2 2026 leasing | 376,000 square feet of new and renewal leases in Q2, 944,000 square feet year-to-date up more than 40% versus H1 2025, GAAP re-leasing spreads of 21%, cash spreads of 6.1%, and 27.3% GAAP and 15.6% cash on space vacant 12 months or less | Q2 2026 earnings call | July 28, 2026 |
| Signed but not commenced pipeline | More than 1 million square feet representing more than $78 million of annualized base rent, with an average rent above $75 per square foot, 30% above the portfolio average, and 86% structured as triple-net leases | Q2 2026 earnings call | July 28, 2026 |
| Forward leasing pipeline | Total pipeline square footage up 34% quarter over quarter, with LOI and late-stage pipeline up approximately 77% | Q2 2026 earnings call | July 28, 2026 |
| Portfolio occupancy | Portfolio occupancy including Kilroy Oyster Point Phase 2 at 77%, down 60 basis points, with roughly 140 basis points of headwind from two large move-outs; stabilized office and life science portfolio at 77.6% and same-property portfolio at 82.0% | Q2 2026 Form 10-Q and earnings call | August 3, 2026 |
| San Francisco market | Fourth consecutive quarter of positive net absorption, average effective rents up about 15% year over year, active tenant demand above 10 million square feet, a level not seen since 2019, with the AI ecosystem representing about a third of active demand | Q2 2026 earnings call | July 28, 2026 |
| Revenue (TTM) | $1.09 billion over the trailing twelve months ended June 30, 2026, down 3.8% | StockAnalysis.com statistics and financials | August 3, 2026 |
| Net income (TTM) | $168.79 million over the trailing twelve months, down 22.8%, partly on a $61.8 million impairment charge recorded in H1 2026 | StockAnalysis.com statistics and Q2 2026 Form 10-Q | August 3, 2026 |
| Diluted EPS (TTM) | $1.43 over the trailing twelve months, down 22.0% | StockAnalysis.com statistics | August 3, 2026 |
| Cash and cash equivalents | $253.805 million as of June 30, 2026, matching SEC EDGAR XBRL and the Q2 2026 Form 10-Q | Q2 2026 Form 10-Q and SEC EDGAR XBRL | August 3, 2026 |
| Marketable securities | $34.99 million as of June 30, 2026 | Q2 2026 Form 10-Q | August 3, 2026 |
| Total debt | $4.537 billion as of June 30, 2026, consisting of $590.095 million secured debt and $3.947 billion unsecured debt, matching the Q2 2026 Form 10-Q | Q2 2026 Form 10-Q | August 3, 2026 |
| Net cash position | Net cash of negative $4.38 billion, or about $37 per share, after subtracting total debt from cash and marketable securities | StockAnalysis.com balance sheet and statistics | August 3, 2026 |
| Total equity and assets | Total stockholders equity of $5.226 billion and total assets of $10.632 billion as of June 30, 2026, matching the Q2 2026 Form 10-Q | Q2 2026 Form 10-Q | August 3, 2026 |
| Shares outstanding | 117.44 million shares outstanding, down 0.21% year over year, per StockAnalysis.com statistics, with 116,308,988 common shares issued and outstanding as of June 30, 2026, per the Q2 2026 Form 10-Q cover | StockAnalysis.com statistics and Q2 2026 Form 10-Q | August 3, 2026 |
| Valuation check | 27.06x trailing PE, 4.17x sales, 0.86x book value, 14.03x EV/EBITDA, 8.86x price to operating cash flow, and 5.53% dividend yield | StockAnalysis.com statistics | August 3, 2026 |
| FFO-based valuation | Price/FFO near 9.99x on trailing data and about 11.01x on 2026 forecast FFO per share of $3.56, with 2026 forecast FFO of $422.87 million | StockAnalysis.com statistics and forecast | August 3, 2026 |
| Analyst consensus | Hold with an average price target of $39.43 across 17 analysts, low $31, median $39.50, high $51 | StockAnalysis.com forecast | August 3, 2026 |
| Analyst rating mix, July 2026 | 3 Strong Buy, 2 Buy, 10 Hold, 0 Sell, 2 Strong Sell out of 17 analysts | StockAnalysis.com forecast recommendation trends | August 3, 2026 |
| Recent analyst target updates | BofA raised its target to $46 from $44 with a Buy rating on August 3, Citi raised to $40 from $34 with Hold on July 30, Goldman Sachs raised to $31 from $28 with Sell on July 30, Scotiabank maintained $41 with Hold on July 28, and Barclays maintained $38 with Hold on July 28 | StockAnalysis.com forecast | August 3, 2026 |
| Short interest | 8.76 million shares short, 7.46% of shares outstanding, 6.48 days to cover | StockAnalysis.com statistics short selling | August 3, 2026 |
| Dividend | Annual dividend of $2.16 per share with a 5.53% yield, quarterly dividend of $0.54 per share, ex-dividend date June 30, 2026, with the dividend unchanged since 2023 | StockAnalysis.com dividend history | August 3, 2026 |
| 52-week range and performance | 52-week range $27.36 to $45.03, up 4.66% over the trailing 52 weeks, beta 1.14 | StockAnalysis.com quote and statistics | August 3, 2026 |
| Technical snapshot | 5-day SMA near $39.13, 20-day SMA near $39.17, 50-day SMA near $37.79, 100-day SMA near $34.39, 200-day SMA near $36.07, 14-day RSI near 53.49, 14-day ADX near 18.32, 14-day historical volatility near 23.59% | Barchart technical analysis and StockAnalysis.com statistics | August 3, 2026 |
| Three-scenario base price | $38.00 (3 years, base case), with a bullish area near $46.90 and a bearish area near $26.10 | financial_rigor.py three-scenario model on FFO | August 3, 2026 |
This KRC AI stock analysis page is an informational research tool generated using automated analysis of publicly available financial data. It is not investment advice, a recommendation to buy or sell any security, or a solicitation of any kind. All investment decisions should be made with the advice of a qualified financial professional. Forecast scenarios are based on assumptions about future conditions and may prove materially incorrect. Past performance is not indicative of future results. Data sources and verification dates are provided for each metric. This analysis may contain forward-looking statements subject to risks and uncertainties. Investing in individual stocks, particularly in cyclical sectors like office real estate, carries substantial risk of loss.
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