Lamar Advertising (NASDAQ:LAMR) Issues Earnings Results

Lamar Advertising (NASDAQ:LAMR) issued its quarterly earnings results on Friday. The real estate investment trust reported $2.24 earnings per share for the quarter, beating the consensus estimate of $2.18 by $0.06, Zacks reports. The business had revenue of $595.93 million for the quarter, compared to the consensus estimate of $592.70 million. Lamar Advertising had a net margin of 19.27% and a return on equity of 43.02%. Lamar Advertising updated its FY 2026 guidance to 5.720-5.830 EPS.

Here are the key takeaways from Lamar Advertising’s conference call:

• Full-year AFFO guidance of $8.50–$8.70 per share (midpoint ~4.1% AFFO/share growth) implying ~3.5% acquisition‑adjusted revenue growth and consolidated operating margins of over 47%, the highest in company history.
• Q4 momentum continued into 2026 with acquisition‑adjusted revenue up >4% (ex‑political), programmatic up ~19%, and digital now representing 31.6% of revenues after adding 111 digital units in Q4 (5,553 total), with similar internal digital deployment plans for 2026.
• Active M&A posture — 50 acquisitions in 2025 for $191M (including the Verde UPREIT), 7 deals YTD (~$40M), and management expects to deploy roughly the same ~$200M of cash acquisitions in 2026 with effective post‑synergy economics (~10–11x for Lamar).
• Expense pressures persist as operating expenses are expected to grow ~3% in 2026 driven partly by healthcare inflation and ERP-related costs, with maintenance CapEx budgeted at about $64M (total 2025 CapEx was $180.8M).
• Strong balance sheet and shareholder return optionality with ~$800M liquidity, total debt of ~$3.4B, net leverage ~2.92x, investment capacity >$1B, and a proposed Q1 dividend of $1.60 (annualized $6.40, ~4.8% yield).

Lamar Advertising Stock Up 0.9%

Shares of NASDAQ:LAMR opened at $133.98 on Friday. The company has a market cap of $13.57 billion, a price-to-earnings ratio of 31.45 and a beta of 1.23. Lamar Advertising has a 12 month low of $99.84 and a 12 month high of $136.69. The company has a current ratio of 0.59, a quick ratio of 0.59 and a debt-to-equity ratio of 3.04. The company has a 50-day moving average price of $129.31 and a 200 day moving average price of $126.22.

Lamar Advertising Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, December 31st. Investors of record on Monday, December 22nd were issued a $1.55 dividend. The ex-dividend date of this dividend was Monday, December 22nd. This represents a $6.20 dividend on an annualized basis and a dividend yield of 4.6%. Lamar Advertising’s dividend payout ratio (DPR) is presently 145.54%.

Key Lamar Advertising News

Here are the key news stories impacting Lamar Advertising this week:

• Positive Sentiment: Operational momentum: Q4 net revenues rose 2.8% to $595.9M, adjusted EBITDA increased 3.7% and management said local and national sales showed momentum into 2026 — supports organic revenue/EBITDA stability. GlobeNewswire Release
• Positive Sentiment: FFO/AFFO resilience: Q4 diluted AFFO per share rose to $2.24 (FFO/AFFO roughly in line or beating some estimates), indicating REIT cash metrics held up despite tougher comps. Zacks FFO Note
• Neutral Sentiment: Readouts and transcripts: Management held the scheduled call and transcripts/summaries are available for detail on pacing, digital deployment and capital spending plans — useful for drilling into guidance assumptions. Yahoo Earnings Call Summary
• Negative Sentiment: GAAP EPS miss: Reported EPS for Q4 was $1.50, below analyst consensus (~$2.18), a headline that can pressure near‑term sentiment despite solid revenue/EBITDA. MSN Earnings Note
• Negative Sentiment: Lower FY‑2026 earnings guide vs. Street: Management set net income per diluted share guidance of $5.72–$5.83 (and AFFO guidance $8.50–$8.70) — below many analyst models — which can weigh on valuation and future estimates. GlobeNewswire Release
• Negative Sentiment: Quality of earnings & cash flow softness: Full‑year net income was helped by a one‑time gain (sale of Vistar) and prior-year accounting adjustments; operating cash flow and free cash flow declined modestly year‑over‑year — raises questions about sustainability. Insiders have sold shares recently per filings. QuiverQuant Summary

Analysts Set New Price Targets

A number of brokerages have issued reports on LAMR. Weiss Ratings reiterated a “hold (c+)” rating on shares of Lamar Advertising in a research note on Monday, December 29th. Morgan Stanley set a $140.00 target price on Lamar Advertising in a research report on Tuesday, December 16th. Citigroup lifted their target price on Lamar Advertising from $135.00 to $145.00 and gave the company a “buy” rating in a research note on Thursday, November 13th. Finally, JPMorgan Chase & Co. boosted their price target on Lamar Advertising from $122.00 to $128.00 and gave the stock a “neutral” rating in a report on Wednesday, November 12th. One research analyst has rated the stock with a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat, the company has an average rating of “Hold” and an average target price of $133.00.

Institutional Investors Weigh In On Lamar Advertising

Several institutional investors have recently modified their holdings of LAMR. Sivia Capital Partners LLC purchased a new position in Lamar Advertising during the second quarter worth $510,000. Arrowstreet Capital Limited Partnership boosted its stake in shares of Lamar Advertising by 250.0% during the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 47,604 shares of the real estate investment trust’s stock worth $5,777,000 after purchasing an additional 34,002 shares during the period. Amundi boosted its stake in shares of Lamar Advertising by 224.6% during the 2nd quarter. Amundi now owns 2,048 shares of the real estate investment trust’s stock worth $255,000 after purchasing an additional 1,417 shares during the period. Gamco Investors INC. ET AL bought a new position in Lamar Advertising during the 2nd quarter valued at about $873,000. Finally, Cerity Partners LLC raised its position in Lamar Advertising by 39.0% in the 2nd quarter. Cerity Partners LLC now owns 37,166 shares of the real estate investment trust’s stock worth $4,510,000 after purchasing an additional 10,423 shares during the period. 93.78% of the stock is owned by institutional investors.

About Lamar Advertising

Lamar Advertising Company (NASDAQ: LAMR) is one of North America’s largest outdoor advertising firms, specializing in out-of-home media solutions. Since its founding in 1902, the company has grown through a combination of organic expansion and strategic acquisitions to offer a broad portfolio of advertising products. Its core business centers on billboard advertising, encompassing traditional static billboards and a rapidly expanding network of digital displays. These assets enable advertisers to reach consumers with high-impact messaging along highways, in urban centers, and at high-traffic intersections.

In addition to highway billboards, Lamar offers a variety of supplemental out-of-home formats, including transit advertising on buses and shelters, and logo signage at travel plazas and gas stations.