There’s a lot to be optimistic about in the Financial sector as 2 analysts just weighed in on Senior Housing Properties Trust (SNH) and Physicians Realty Trust (DOC) with bullish sentiments.
Senior Housing Properties Trust (SNH)
B.Riley FBR analyst Bryan Maher reiterated a Buy rating on Senior Housing Properties Trust yesterday and set a price target of $13. The company’s shares closed yesterday at $8.82, close to its 52-week low of $7.49.
Maher wrote:
“Trust reported 2Q19 results that generally exceeded expectations, despite the distraction of marketing/selling ~$900.0M in assets and completing the requisite state licensing applications necessary to transition to a RIDEA format on January 1, 2020. The RIDEA transition relates to 2019 agreement with its largest senior living facility operator, Living (FVE), in which FVE will effectively transition 85% ownership of itself to SNH and SNH’s shareholders and effectively become the manager of the bulk of SNH’s senior living facilities rather than a lessee. Management noted on its earnings call that a key hurdle of the FVE transition was recently overcome when FVE shareholders approved the issuance of FVE stock in accordance with the agreement.”
According to TipRanks.com, Maher is a 4-star analyst with an average return of 7.3% and a 53.6% success rate. Maher covers the Financial sector, focusing on stocks such as Industrial Logistics Properties Trust, Office Properties Income Trust, and Braemar Hotels & Resorts Inc.
The word on The Street in general, suggests a Moderate Buy analyst consensus rating for Senior Housing Properties Trust with a $10.50 average price target.
See today’s analyst top recommended stocks >>
Physicians Realty Trust (DOC)
In a report released today, Craig Kucera from B.Riley FBR maintained a Buy rating on Physicians Realty Trust, with a price target of $20. The company’s shares closed yesterday at $17.48.
Kucera said:
“We are lowering our earnings estimates for Trust (DOC) post 2Q19 results in which DOC was $0.05 light of our NFFO estimate due to an accounting change resulting in a write-off of cash and noncash straight-line revenues affiliated with a bankruptcy filing and challenged asset. We expect both to be reversed in the future once these assets are sold and have assumed this occurs in 4Q19 in our estimates. However, given a slower pace of acquisitions YTD that is increasingly tilted toward lower yielding construction development loans, we are lowering our 2019 NFFO from $1.06 to $1.04, while we are also trimming our 2020 NFFO from $1.11 to $1.09. Our $20 price target is unchanged given a positive backdrop to healthcare REITs which are currently trading at 130% of NAV vs. DOC trading at 102%.”
According to TipRanks.com, Kucera is a 4-star analyst with an average return of 6.0% and a 67.5% success rate. Kucera covers the Financial sector, focusing on stocks such as Monmouth Real Estate Investment, NexPoint Residential Trust Inc, and Consolidated-Tomoka Land Co.
Physicians Realty Trust has an analyst consensus of Moderate Buy, with a price target consensus of $19.25.
TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.
