Financial Performance - Lamar Advertising reported quarterly funds from operations (FFO) of $2.22 per share, exceeding the Zacks Consensus Estimate of $2.15 per share, and up from $2.08 per share a year ago, representing an FFO surprise of +3.26% [1] - The company posted revenues of $579.31 million for the quarter ended June 2025, which missed the Zacks Consensus Estimate by 0.45%, compared to year-ago revenues of $565.25 million [2] - Over the last four quarters, Lamar has surpassed consensus FFO estimates two times but has not beaten consensus revenue estimates [2] Stock Performance and Outlook - Lamar shares have increased approximately 2.5% since the beginning of the year, while the S&P 500 has gained 7.8% [3] - The future stock price movement will largely depend on management's commentary during the earnings call and the company's FFO outlook [3][4] - The current consensus FFO estimate for the coming quarter is $2.18 on revenues of $589.51 million, and for the current fiscal year, it is $8.19 on revenues of $2.28 billion [7] Industry Context - The REIT and Equity Trust - Other industry, to which Lamar belongs, is currently ranked in the top 39% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in estimate revisions, which can be tracked by investors [5]

5321 Corporate Boulevard Baton Rouge, LA 70808 Lamar Advertising Company Announces Second Quarter Ended June 30, 2025 Operating Results "Revenue growth accelerated slightly in the second quarter, with increases on both the national and local levels. Meanwhile, in early July we completed a milestone acquisition, with the first-ever UPREIT transaction in the billboard industry," Lamar chief executive Sean Reilly said. "Our pacings indicate further year-over-year improvement in revenues is likely in the second ...

Group 1 - Lamar Advertising Company will release its second quarter earnings report for the period ended June 30, 2025, before the market opens on August 8, 2025 [1] - A conference call will be hosted by Lamar on August 8, 2025, at 8:00 a.m. Central time to discuss the company's results and answer operational questions [1] - Instructions for dialing into the conference call include two phone numbers and a passcode, with a live webcast available on the company's investor relations website [1]

Core Insights - Lamar Advertising (LAMR) has acquired Verde Outdoor assets, adding over 1,500 billboard faces, including 80 digital displays, across 10 states in key markets [1][9] - The acquisition was executed as an Umbrella Partnership Real Estate Investment Trust (UPREIT) transaction, marking a first in the billboard industry [2] - Verde Outdoor owners will receive dividends equivalent to Lamar's common stock and can convert their units into cash or shares of Class A common stock [3] Company Overview - Lamar holds a significant national presence in outdoor advertising and is a leading provider of logo signs in the U.S. [4] - The acquisition emphasizes Lamar's strategy to enhance its digital platform through acquisitions and technological advancements in the out-of-home (OOH) advertising sector [4] - The company has expanded its digital network to approximately 5,100 displays, positioning itself to leverage growing programmatic advertising channels [5] Market Performance - Over the past three months, Lamar's shares have increased by 7.4%, slightly trailing the industry's growth of 7.8% [6]

Core Insights - Lamar Advertising Company has completed its first-ever UPREIT transaction in the billboard industry by acquiring Verde Outdoor's assets [1][5] - The acquisition adds over 1,500 billboard faces, including 80 digital displays, across 10 states, enhancing Lamar's market presence in the Midwest, Southeast, and Mid-Atlantic regions [2] Company Overview - Verde Outdoor was established in 2021 and has rapidly expanded through strategic acquisitions and organic development, particularly in Sioux City, Charleston, Savannah, Hudson Valley, and the Mid-Atlantic [3] - The transaction involved Verde contributing its assets to Lamar Advertising Limited Partnership, with Verde's owners receiving common units of Lamar LP that track the value of Lamar's Class A common stock [4] Transaction Structure - The UPREIT structure allows Lamar to issue partnership units to billboard owners on a tax-deferred basis, facilitating acquisitions [5] - The CEO of Lamar highlighted the significance of this deal and expressed optimism about using the UPREIT structure for future acquisitions [6]

Core Insights - Lamar Advertising (LAMR) shares have increased by 18.4% over the past three months, outperforming the industry growth of 10.1% [1][8] - The company has a strong presence in outdoor advertising across the U.S. and Canada, supported by a diversified tenant base, which contributes to stable revenues [1][3] - The focus on expanding digital capabilities and acquisitions positions the company for long-term growth [2][4][5] Company Performance - Lamar completed 10 acquisitions worth $22.1 million in the first quarter of 2025, enhancing its market position [4] - The company operates approximately 5,100 digital billboards, making it the largest network of digital displays in the U.S. [5] - Lamar has raised its dividend eight times in the last five years, with a five-year annualized dividend growth rate of 24.17% [6][8] Shareholder Value - The company has repurchased common stock worth $150 million year to date, with an additional $150 million approved for repurchase, totaling $250 million remaining under the program [9] - These share repurchase efforts are aimed at enhancing shareholder value and boosting investor confidence [9] Industry Trends - Out-of-home (OOH) advertising is experiencing rapid growth and increasing market share compared to other media forms [4] - Higher technology investments are expected to further support the growth of OOH advertising in the coming years [4]

Company Overview - Lamar Advertising (NASDAQ:LAMR) issued guidance for 2025, projecting approximately 4% growth in Adjusted Funds From Operations (AFFO) per share over 2024 [1][2] - The company reported 1Q25 earnings on May 8, 2025, and reaffirmed its guidance during the earnings call, indicating that it is on track to meet its previously provided AFFO per share guidance [5][6] Market Concerns - There are macroeconomic concerns affecting advertising spend, with key advertisers potentially pulling back due to uncertainties in supply chains and consumer spending [2] - MAGNA revised its forecast for media advertising revenues, projecting a growth of 4.3% in 2025, down from a previous forecast of 4.9% [2] Performance Insights - As of May 2025, 75% of ad space is already contracted, which provides a solid revenue base for the company [6] - The growth is expected to be back-end loaded, with sequential strength anticipated as the year progresses [6] Industry Dynamics - The out-of-home (OOH) advertising industry has shown resilience, with billboards gaining market share from traditional media like linear TV and radio [9][10] - The industry benefits from limited new supply due to regulatory constraints, creating a strong competitive moat for existing players [9][11] Financial Strategies - The company has engaged in share buybacks, repurchasing 1.223 million shares for a total of $131.6 million in April 2025, which is expected to be accretive to AFFO per share [12][13] - Lamar is also pursuing accretive acquisitions that should contribute positively to AFFO [13] Growth Outlook - Despite a projected slowdown to 4% AFFO per share growth, the underlying growth rate is believed to be closer to 6%+ due to challenging comparisons with 2024 [8][16] - The company is trading at 13.7X AFFO, which is considered opportunistic given its growth outlook of 4% to 8% over the next five years [16]

Core Points - Lamar Advertising (LAMR) has declared a quarterly cash dividend of $1.55 per share, payable on June 30, 2025, to shareholders of record as of June 19, 2025 [1] - The company anticipates total quarterly distributions to stockholders in 2025 to reach at least $6.20 per common share [1] Dividend Growth - Lamar has increased its dividend nine times over the past five years, showcasing a commitment to solid dividend payouts [2] - The five-year annualized dividend growth rate stands at 24.17%, indicating strong growth potential [2] Stock Repurchase Program - The company has completed $150 million in stock repurchases and has $100 million remaining under the current program [3] - An increase of $150 million to the stock repurchase program has been approved, raising the total available for repurchase to $250 million [3] Stock Performance - Over the past three months, shares of Lamar Advertising have decreased by 7.2%, while the industry has remained flat with a 0.0% change [4] Comparison with Other REITs - Other REITs with better rankings include CareTrust REIT (CTRE) and W.P. Carey (WPC), both currently rated as Zacks Rank 2 (Buy) [5] - The Zacks Consensus Estimate for CTRE's 2025 FFO per share is $1.78, reflecting an 18.7% year-over-year growth [6] - WPC's full-year FFO per share estimate is $4.88, indicating a 3.8% increase from the previous year [6]

Group 1 - Lamar Advertising Company declared a quarterly cash dividend of $1.55 per share, payable on June 30, 2025, to stockholders of record on June 16, 2025, with expected total distributions of at least $6.20 per common share in 2025 [1][2] - The company completed $150 million in stock repurchases under its existing program and has increased the stock repurchase program by an additional $150 million, bringing the total available for repurchase to $250 million [2] Group 2 - Lamar Advertising Company, founded in 1902, is one of the largest outdoor advertising companies in North America, operating over 363,000 displays across the United States and Canada [4] - The company offers a variety of advertising formats, including billboards, interstate logos, transit, and airport advertising, and has the largest network of digital billboards in the U.S. with approximately 5,100 displays [4]

Core Insights - Lamar Advertising's shares have shown mediocre performance over the past year, essentially remaining stagnant [1] - The company's core business has performed well, but it faces challenges from national advertising pressures and prolonged high interest rates impacting its valuation [1] Company Performance - The core business of Lamar Advertising has been successful, indicating strong operational fundamentals despite external pressures [1] - The valuation of the company is under pressure due to external factors, particularly in the advertising sector and interest rate environment [1]