Market Overview

UPDATE: Goldman Sachs Initiates Omega Healthcare Investors at Buy on Attractive Valuation

Related OHI
Benzinga's Top Upgrades
Build A Basket Of 'Pure Play' Healthcare REITs...Or Just One Blue Chip?
Retirement Strategy: Monthly Update For The Team Alpha Retirement Portfolio Including Buys And Sells (Seeking Alpha)

Goldman Sachs analyst Andrew Rosivach published a report on that initiated coverage on Omega Healthcare Investors (NYSE: OHI) with a Buy rating and $41.00 price target.

Goldman Sachs reported that, “We are initiating coverage of Omega Healthcare (OHI) with a Buy rating, relative to our Attractive healthcare coverage view, and we add the shares to the Americas Conviction List. We have a 12-month price target of $41 (51% upside including dividends). We believe a wide spread between acquisition yields and corporate cost of capital and a smaller current earnings base will support robust earnings growth despite limited contractual rent growth. We estimate that OHI's projected six-year AFFO growth of 99% will be the 4th highest in all of our coverage. In addition, we think that OHI should be able to weather the current government reimbursement environment with minimal impact to its business given current in-place coverage levels and lease durations.”

Shares of Omega Healthcare Investors closed at $28.34 on Wednesday.

Latest Ratings for OHI

Nov 2015Hilliard LyonsUpgradesNeutralBuy
Jul 2015SunTrust Robinson HumphreyInitiates Coverage onBuy
Apr 2015Bank of AmericaDowngradesNeutralUnderperform

View More Analyst Ratings for OHI
View the Latest Analyst Ratings

Posted-In: Goldman SachsAnalyst Color Initiation Analyst Ratings


Related Articles (OHI)

Get Benzinga's Newsletters