UPDATE: Oppenheimer Initiates Coverage on Gladstone Land Corp. with Outperform Rating, $12 PT on Positive Growth Outlook

In a report published Thursday, Oppenheimer analyst Steve Manaker initiated coverage on

with an Outperform rating and $12.00 price target. In the report, Oppenheimer noted, “We are initiating coverage of LAND with an Outperform rating and a $12 PT, implying a 16% total return assuming a 12-month holding period. The REIT owns 29 farms mostly dedicated to growing fresh produce that is spread across five states. The company is following an expansion strategy as it buys additional sites to increase the asset base and lessen the geographic concentration. But we expect the majority of the portfolio to remain focused on fresh produce, a product that management believes offers an attractive risk/return profile. We believe the portfolio growth should increase operating efficiency and portfolio diversity and lead to strong FFO and NAV growth.” Gladstone Land Corp. closed on Wednesday at $10.40.