UPDATE: Goldman Sachs Downgrades Realty Income Corp. to Sell, Raises PT on Valuation, Earnings Growth Profile

In a report published Thursday, Goldman Sachs analyst Andrew Rosivach downgraded the rating on Realty Income Corp. O from Neutral to Sell, but raised the price target from $46 to $51.

In the report, Goldman Sachs noted, “With this report, we downgrade shares of Realty Income (O) to Sell from Neutral. Our view is based upon a combination of (1) valuation and (2) long-term earnings growth profile. Although our view is agnostic to interest rates, O's historical stock performance (it has underperformed each of the last five years that the US ten-year Treasuries have risen) implies greater downside risk to O if interest rates were to rise. We raise our 12-month multiples-based price target to $51 from $46 and modestly adjust our 2013-2015 estimates.”

Realty Income Corp. closed on Wednesday at $52.41.