UPDATE: MLV & Co Initiates Coverage on Government Properties Income Trust with Hold Rating, $24 PT on Good Investment Opportunity

In a report published Tuesday, MLV & Co analyst Jonathan Petersen initiated coverage on Government Properties Income Trust GOV with a Hold rating and $24.00 price target. In the report, MLV & Co noted, “We view GOV as a good fit for dividend-seeking investors, as the 6.9% dividend yield is the highest among Office REITs; however, GOV pays out nearly all of its AFFO in dividends, and we don't expect significant AFFO growth over the next few years, which would justify a dividend increase; leverage is low, at debt-to-total market cap of 31% and debt-to-EBITDA of 4.6x; and GOV currently trades at a 7% premium to NAV, and we believe a premium is not warranted.” Government Properties Income Trust closed on Monday at $24.77.
Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: Analyst ColorInitiationAnalyst RatingsJonathan PetersenMLV & Co
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!