UPDATE: Goldman Sachs Reiterates Sell Rating, Lowers PT on Realty Income Corp. on Continued Share Declines

In a report published Wednesday, Goldman Sachs analyst Andrew Rosivach reiterated a Sell rating on

, but lowered the price target from $51.00 to $44.00. In the report, Goldman Sachs noted, “Since May 21 (the day of Fed Chairman Ben Bernanke's policy speech), shares of Realty Income have declined 24%, underperforming the REIT Index by 12% and underperforming the S&P by 21%. Due to the underperformance of REITs in general, the average multiple for our current coverage has declined to 13.8X. Our price target methodology for Realty Income remains a 2018E AFFO multiple that is 10% above our coverage average...We shift our Realty Income price target to $44 to $51, which represents a 10% total return, and is one of the lowest in our coverage universe. O trades at 18.6X 2013E AFFO, which is a 9% discount to the sector average. However, compared to traditional REITs with quasi-net lease characteristics (such as strip and healthcare REITs), O trades at a premium. In addition, on 2018E AFFO, O trades at a 5% premium to the sector.” Realty Income Corp. closed on Tuesday at $43.23.