Hilliard Lyon's John Roberts downgraded Ventas from Neutral to Underperform after further analysis of the company's earnings conference call and price movement.
Conference Call
Although Roberts appreciated management's life science investment and increased emphasis on development going forward, the Lyon's analyst thought shares reacted too highly to the news.
"When we upgraded the stock, we saw a fair value of $65 2–3 years out, a price level it met much more quickly than we anticipated," stated Roberts.
Migration To Bonds?
In addition to company share prices reaching far above Lyon's $65.00 price target, Roberts feared income-oriented investments such as Ventas may fall out of favor as interest rates rise. "We believe investors may wish to reduce their risk profiles on these types of investments," said the analyst.
At time of writing, Ventas traded at $76.39, up 0.30 percent on the day.
Do you have ideas for articles/interviews you'd like to see more of on Benzinga? Please email feedback@benzinga.com with your best article ideas. One person will be randomly selected to win a $20 Amazon gift card!© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Date | ticker | name | Actual EPS | EPS Surprise | Actual Rev | Rev Surprise |
|---|
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
