Oppenheimer Maintains Outperform On General Growth Properties, $28 PT
In a research report issued yesterday, Oppenheimer analyst Steve Manaker maintained an Outperform rating on General Growth Properties (NYSE:GGP) with a price target of $28.00.
Manaker noted, “We are maintaining both our Outperform rating and FFO estimates on GGP, increasing our NAV estimates and raising our price target. Our thesis remains the same: GGP is an attractively priced earnings growth story in a sector that non- dedicated REIT investors love to hate. Despite the concern about long-term secular decline, the mall business remains good and mall REITs, including GGP, continue to benefit from increased tenant demand as seen by rising operating metrics. While sales-per-square-foot levels are mixed (currently positive in low-single digits), malls continue to be a strong source of revenue generation for retailers, and supply remains limited, as it is extremely difficult to create new higher-end malls in the U.S.”