UPDATE: Stifel Nicolaus Upgrades Omega Healthcare Investors to Buy

Stifel Nicolaus is out with its report today on Omega Healthcare Investors (NYSE: OHI), upgrading OHI from Hold to Buy.

In its report, Stifel Nicolaus writes, "With well covered 11% dividend yield and valuation below NAV, we believe OHI shares offer a compelling value that more than prices in known and risk of future Medicare and Medicaid rate cuts for skilled nursing operators. We are upgrading to Buy with $18 target price."

At the time of posting, shares of OHI were trading at $14.65, up 0.34% from Monday's close.