Market Overview

UPDATE: Goldman Sachs Initiates Medical Properties Trust at Buy on Valuation

Related MPW
Your REIT Recession Playbook
Barron's Recap: 16 All-Star Women Financial Advisors
Ventas Is Overvalued. Instead, Buy The Faster-Growing, Higher-Yielding Medical Properties Trust. (Seeking Alpha)

In a report published by Goldman Sachs, analyst Andrew Rosivach initiated coverage on Medical Properties Trust (NYSE: MPW) with a Buy rating and a 12-month $17 price target.

Goldman Sachs reported that, “We are initiating coverage of Medical Properties Trust with a Buy rating, relative to our Attractive healthcare coverage view, and a 12-month price target of $17 (17% 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 MPW's six-year AFFO growth of 83% will be 10th highest in all of our coverage (31 names total). Please note that we anticipate MPW's non-cash FFO growth rate will be roughly equal to its cash AFFO growth rate as the company rapidly increases straight-line rents from acquisitions.”

Shares of Medical Properties Trust closed at $15.24 on Wednesday.

Latest Ratings for MPW

Feb 2016JefferiesMaintainsHold
Feb 2016SunTrust Robinson HumphreyMaintainsBuy
Jan 2016JefferiesDowngradesBuyHold

View More Analyst Ratings for MPW
View the Latest Analyst Ratings

Posted-In: Goldman SachsAnalyst Color Initiation Analyst Ratings


Related Articles (MPW)

View Comments and Join the Discussion!