EPR Properties (EPR) Stock Forecast & Price Target

EPR Properties demonstrates a positive outlook largely due to the anticipated recovery in the North American box office, with projections indicating an increase to $9.3-9.7 billion in 2025, driven by a higher number of film releases from major studios. The company also expects a 4.4% earnings growth in 2025, supported by strong consumer preference shifts toward experiential investments, benefiting its primary revenue segment. Additionally, improvements in tenant liquidity—especially with AMC Theatres—are likely to enhance EPR's financial health, contributing to an overall positive earnings trajectory.

EPR Properties faces a challenging outlook primarily due to the volatility in its operating portfolio, which is exacerbated by rising expense pressures negatively impacting performance. The company's reliance on its experiential segment, particularly the theater sector, is concerning given the declining box office revenues and the potential for limited earnings growth if studios produce fewer films. Additionally, the cost of capital may hinder future investment opportunities, further complicating EPR's financial trajectory amidst macroeconomic uncertainties and rising development costs.