Market Overview

UPDATE: BMO Capital Markets Initiates Hersha Hospitality Trust at Market Perform on Earnings Weakness

Related HT
3 Reasons To Tap Into Home Equity To Buy Stocks
Hersha Hospitality Trust to Sell Portfolio of 16 Non-Core Hotels for $217 Million

BMO Capital Markets initiated coverage on Hersha Hospitality Trust (NYSE: HT) with a Market Perform rating and a $6.00 price target.

BMO Capital Markets commented, "We like the long-term growth prospects of its mostly urban portfolio and its associated higher EBITDA margins. However, weaker-than-expected 3Q12 earnings related to softness in New York City revealed how tied company performance is to that market, which generates 44% of its EBITDA. High supply growth in New York City is expected in 2013/2014 and may add further headwinds to performance. Washington, D.C. (12% EBITDA) also continues to be affected by federal travel spending reductions and it too has high expected supply growth."

Hersha Hospitality Trust closed at $5.17 on Monday.

Posted-In: BMO Capital MarketsAnalyst Color Initiation Pre-Market Outlook Analyst Ratings

 

Most Popular

Related Articles (HT)

Around the Web, We're Loving...

Partner Network

Get Benzinga's News Delivered Free