At a glance
Highwoods Properties Inc is worth $3.22B, about 20 times its fiscal 2025 earnings. Revenue fell 2.4% to $806.1M in fiscal 2025, with 19.5% kept as profit; over 5 years it has grown 1.8% a year. It pays a 6.85% dividend yield, and returned $1.05B to shareholders in dividends and buybacks over FY2021–FY2025. The stock returned +6.6% over the past year with dividends reinvested and −1.7% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 45.7% in the 2020 crash (S&P 500: 33.7%) and 45.7% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 15 months and 46 months after the lows.
The business in plain English
Highwoods Properties is a real estate investment trust (REIT). A REIT is a company that owns income-producing property and must pay out most of its taxable income as dividends. Highwoods is based in Raleigh, North Carolina. It owns, develops, acquires, leases and manages office buildings in eight cities: Atlanta, Charlotte, Dallas, Nashville, Orlando, Raleigh, Richmond and Tampa. It focuses on what it calls BBDs. These are urban and suburban business districts full of amenities that help employers attract and keep workers.
Its customers are businesses and other organizations that rent office space. Its revenue comes from rent and from cost recovery income, which is money tenants pay back for building costs such as taxes and utilities. Many REITs hire outside firms to run their buildings. Highwoods handles leasing, maintenance and customer service with its own staff. It had 315 full-time employees as of December 31, 2025. Occupancy was 85.3% on that date, down from 87.1% a year earlier.
Revenue totaled $806 million in 2025, down 2.4% from 2024. Raleigh was the largest market at 22.4% of revenue. Next came Nashville (19.4%), Atlanta (18.0%), Charlotte (11.6%), Tampa (10.9%), Orlando (7.1%) and Richmond (4.5%). An 'other' segment made up 6.1%. Highwoods also recycles capital: it disposes of buildings that no longer fit its criteria and develops or acquires high-quality ones in its target districts.
Price history
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HIW +6.6% over the year to Oct 28, 2026, total return with dividends reinvested.
How it makes money
By business segment
| Raleigh, NC | $180.7M | 22.4% |
| Nashville, TN | $156.6M | 19.4% |
| Atlanta, GA | $145.0M | 18% |
| Charlotte, NC | $93.4M | 11.6% |
| Tampa, FL | $88.0M | 10.9% |
| Orlando, FL | $57.1M | 7.1% |
| Other Segment | $49.1M | 6.1% |
| Richmond, VA | $36.2M | 4.5% |
Latest results
- In Q3 FY2026 (ended Sep 30, 2026), revenue was $218.2M, up 8.1% from a year earlier, and net income was $31.8M (+146.6%).
- For fiscal 2025, revenue was $806.1M (-2.4% year over year; +1.8% a year from FY2020 to FY2025) with a 19.5% net margin.
Financial health check
| Revenue growth a year (FY2020–FY2025) | +1.8% watch |
|---|---|
| Operating margin | 67.6% good |
| Return on equity (FY2025) | 6.6% weak |
| Return on assets (FY2025) | 2.5% weak |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2020 | $736.9M | $344.9M | — |
| FY2021 | $768.0M | $310.8M | — |
| FY2022 | $828.9M | $156.6M | — |
| FY2023 | $834.0M | $146.2M | — |
| FY2024 | $825.9M | $99.8M | — |
| FY2025 | $806.1M | $157.3M | — |
Valuation snapshot
| Market value | $3.22B |
|---|---|
| P/E ratio | 20.1 |
| Dividend yield | 6.85% |
Rank among 1514 US companies
Market value at each year end
Highwoods Properties’s market value went from $5.11B at the end of 2016 to $3.22B on Oct 28, 2026, down 37%; since the end of 2025 it is up 14%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Oct 28, 2026 | $3.22B | +13.6% |
| 2025 | $2.84B | -12.5% |
| 2024 | $3.24B | +33.6% |
| 2023 | $2.43B | -17.6% |
| 2022 | $2.94B | -36.8% |
| 2021 | $4.65B | +13.0% |
| 2020 | $4.12B | -18.8% |
| 2019 | $5.07B | +26.7% |
| 2018 | $4.00B | -23.8% |
| 2017 | $5.26B | +2.8% |
| 2016 | $5.11B |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| HIW price data to Oct 28, 2026 | +19.8% | +6.6% | +27.1% | -1.7% | +0.8% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | +19.8% |
| 2025 | -9.6% |
| 2024 | +43.0% |
| 2023 | -10.2% |
| 2022 | -33.6% |
| 2021 | +17.6% |
| 2020 | -14.8% |
| 2019 | +31.9% |
| 2018 | -20.9% |
| 2017 | +4.2% |
| 2016 | +23.3% |
| 2015 | +2.5% |
| 2014 | +27.7% |
| 2013 | +14.6% |
| 2012 | +18.8% |
| 2011 | -1.7% |
| 2010 | +1.1% |
| 2009 | +30.5% |
| 2008 | -1.4% |
| 2007 | -24.6% |
| 2006 | +50.5% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 51.9% over that stretch · deepest drop along the way 58.2%, back to its old high 13.2 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 44.5% over that stretch · deepest drop along the way 45.7%, back to its old high 14.9 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 42.2% over that stretch · deepest drop along the way 45.7%, back to its old high 45.7 months after the low |
Insider activity
Form 4 filings from 2025-10-29 to 2026-10-29 (11 read): 0 open-market purchases and 0 sales ($0.00).
Who owns it
Large shareholders (13G filings)
| BlackRock, Inc. | 17.7% | Jun 30, 2026 |
| Cohen & Steers, Inc. | 15.29% | Jun 30, 2026 |
| COHEN & STEERS, INC. | 13.9% | Mar 31, 2025 |
| Vanguard Portfolio Management | 10.48% | Jan 30, 2026 |
| STATE STREET CORPORATION | 6% | Mar 31, 2025 |
| Massachusetts Financial Services Company | 5.7% | Mar 31, 2025 |
| Vanguard Capital Management | 5.24% | Mar 31, 2026 |
ETFs with the most weight in HIW
| DESK VanEck Office and Commercial REIT ETF | 4.67% |
| KBWY Invesco KBW Premium Yield Equity REIT ETF | 3.34% |
| XSHD Invesco S&P SmallCap High Dividend Low Volatility ETF | 2.42% |
| PPTY US Diversified Real Estate ETF | 1.99% |
| PSCF Invesco S&P SmallCap Financials ETF | 0.89% |
| JPSV JPMorgan Active Small Cap Value ETF | 0.81% |
| NIXT Research Affiliates Deletions ETF | 0.81% |
| SEIS SEI Select Small Cap ETF | 0.79% |
What could go wrong
- Work from home may shrink office demand. Highwoods is almost entirely an office landlord. If employers keep letting staff work from home some or all of the time, long-term demand for its space, and the rents it charges, could weaken.
- Falling occupancy in its core cities. Occupancy fell from 87.1% at the end of 2024 to 85.3% at the end of 2025. Weak job growth in its cities could push it lower and force non-cash write-downs of property values.
- Costly renewals and big-tenant departures. Rival landlords may force Highwoods to offer rent concessions and pay for costly build-outs to keep or replace tenants. Losing a large customer, or one with an early-exit right, could leave revenue gaps.
- Heavy upkeep and rising operating costs. To compete, Highwoods must keep spending to maintain, repair and renovate its buildings. If real estate taxes, insurance, utilities and other operating costs rise faster than rents, property results suffer.
- Debt load and rising interest rates. Highwoods relies on debt and signed agreements creating new debt obligations in November 2025 and June 2026. Higher interest rates would raise its interest expense and could hurt results.
- The dividend is not guaranteed. The company says it cannot promise dividends will continue at historical rates. Dividends paid were more than 2025 net income. Every dollar paid out is a dollar not used to cut debt or reinvest.
Recent events
- Major agreement signed; New debt or financial obligation
- Shareholder vote results
- Other company announcement
- Major agreement signed; New debt or financial obligation
- Other company announcement
For income and retirement investors
Highwoods pays a large dividend but has barely grown it. Dividends per share rose from $1.87 in 2020 to $1.96 in 2025, about 1% a year. There is no streak of yearly increases, because the 2025 dividend was slightly below 2024's. The dividend yield was 6.85% as of October 28, 2026. In 2025, dividends paid equaled about 138% of net income. Depreciation is a non-cash accounting charge that lowers REIT earnings, so this is common for REITs. Still, the 10-K warns that dividends may not continue at historical rates. The company bought back no shares from 2021 to 2025, and its share count rose 5.2% from January 2022 to October 2026.
The shares fell hard in past downturns: 58% in the 2008 financial crisis and 46% in both the 2020 COVID crash and the 2022 bear market. The first two recoveries took about 13 and 15 months. After the 2022 drop, the stock did not regain its peak until July 29, 2026. Single stocks carry more risk than diversified funds.
Questions investors ask
How does Highwoods Properties make money?
Highwoods makes money by renting out office space. It is a real estate investment trust (REIT) that owns, develops, leases and manages office buildings in Atlanta, Charlotte, Dallas, Nashville, Orlando, Raleigh, Richmond and Tampa. Its revenue comes from rent and from cost recovery income, which is money tenants pay back for costs such as taxes and utilities. Revenue was $806 million in 2025. Raleigh (22.4%), Nashville (19.4%) and Atlanta (18.0%) were its largest markets.
Does Highwoods Properties raise its dividend every year?
No. Highwoods pays a steady dividend but does not raise it every year. Dividends per share rose from $1.87 in 2020 to $1.96 in 2025, about 1% a year. The 2025 total ($1.9601) was slightly below the 2024 total ($1.9604). The company says it cannot promise dividends will continue at historical rates, so the past record does not guarantee future payments.
What is the dividend yield on HIW stock?
The dividend yield was 6.85% as of October 28, 2026, when Highwoods had a market value of about $3.2 billion. In 2025, dividends paid equaled about 138% of net income. Paying out more than earnings is common for REITs, because depreciation, a non-cash accounting charge, lowers reported earnings. Still, occupancy fell from 87.1% to 85.3% during 2025, and the company warns that dividends may not continue at historical rates.
Is Highwoods Properties hurt by work from home?
It could be. Highwoods lists work from home as the first of its risk factors. It warns that if working from home stays widely accepted, long-term demand for office space could fall. Occupancy in its office portfolio fell from 87.1% at December 31, 2024 to 85.3% at December 31, 2025. The company's answer is to own 'commute-worthy' buildings in amenity-rich business districts, aiming to attract tenants who still want offices.
How did HIW stock hold up in past market crashes?
Poorly in the short run. The shares fell 58% in the 2008 financial crisis and took about 13 months to recover. They dropped 46% in the 2020 COVID crash and recovered in about 15 months. In the 2022 bear market they fell 46% again and did not regain their earlier peak until July 29, 2026, almost four years later. As of October 28, 2026, the share price was about 8% lower than five years earlier.