realestate

Two High-Risk Real Estate Stocks to Watch in Q4

Two Real Estate Stocks Flash Warning Signs for Momentum Investors as of Oct 16, 2024.

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wo real estate stocks that may be flashing warning signs to investors are Kilroy Realty Corp (NYSE:KRC) and Douglas Emmett Inc (NYSE:DEI). As of October 16, both stocks have shown significant gains in recent days, with KRC up around 11% over the past five days and DEI gaining 11% over the past month. However, their Relative Strength Index (RSI) values are above 70, indicating they may be overbought.

    Kilroy Realty will release its third quarter 2024 financial results on October 28, with shares currently trading at $41.40 after a 3.2% gain on Wednesday. Douglas Emmett's earnings report is scheduled for November 4, with the company's stock up 2.3% to trade at $18.78 on Wednesday.

    Investors seeking high yields may want to consider alternative options outside of publicly-traded REITs. Arrived Homes' Private Credit Fund offers a target 7-9% net annual yield paid monthly, and has a minimum investment of just $100. This fund is backed by short-term loans secured by residential real estate, providing a potentially more stable source of income than traditional REITs.

Two high-risk real estate stocks on watch for Q4 market performance.