UPDATE: Bank of America Initiates Coverage on Ashford Hospitality Trust on Anticipated Value Increase

In a report published Wednesday, Bank of America analyst Andrew G. Didora initiated coverage on

with a Buy rating and $14.00 price target. In the report, Bank of America noted, “Ashford Hospitality (ticker AHT) is a self-administered REIT focused on investing in the hospitality industry that has a market cap of $1.1B and an EV of $4.5B. While the company maintains high leverage and is exposed to lower RevPAR markets than peers, we believe the announced spin transaction will create value over time as investors become more comfortable with the growth opportunities and external management structure. As a result, we initiate at Buy with a $14 price objective.” Ashford Hospitality Trust closed on Tuesday at $11.52.