Global Net Lease Stock Positioned for Gains Amid Key Developments

Shares of Global Net Lease (GNL) are approaching their annual peak, buoyed by a fresh analyst endorsement and a recent regulatory filing that provides clarity on shareholder distributions. The dual developments highlight both near-term price potential and a favorable shift in the tax treatment of its dividends.

Earlier this week, investment firm Cantor Fitzgerald initiated coverage on GNL with an "Overweight" rating. The firm's analysts assigned a price target of $11.00 per share. With the stock recently trading between $9.41 and $9.52, this target implies substantial upside potential. The equity continues to trade firmly above its 200-day moving average and is nearing the top of its 52-week range of $6.51 to $9.66.

Dividend Classification Offers Tax Advantage

In a separate development, the company filed a notice with the U.S. Securities and Exchange Commission (SEC) detailing the tax treatment of its 2025 distributions. The filing specifies that dividends for both common and preferred shares will be classified entirely as "Return of Capital."

This classification is generally advantageous for shareholders. Payments categorized this way are typically not taxed as ordinary income in the year they are received. Instead, they reduce the cost basis of the investment in the shareholder's portfolio. Taxes are deferred until the shares are eventually sold, providing an effective tax-deferral benefit.

Should investors sell immediately? Or is it worth buying Global Net Lease?

Robust Revenue Growth Contrasts with Quarterly Loss

The real estate investment trust's fundamental performance reveals a dynamic growth profile alongside current profitability challenges. For the third quarter of 2025, GNL reported revenue of $121.01 million, which was contrasted by a net loss of $62.31 million.

However, the year-over-year growth narrative remains compelling. The rolling twelve-month revenue surged to approximately $808.41 million, representing an increase of more than 55% compared to the prior year.

Market participants are now looking ahead to the release of the company's fourth-quarter and full-year 2025 financial results. These reports are anticipated to show whether GNL can make progress in reducing its operational loss and meeting analyst expectations on a sustained basis.