BUZZ-Realty Income falls after brokerage Mizuho downgrades rating, cuts PT

Reuters
2024/11/15
BUZZ-Realty Income falls after brokerage Mizuho downgrades rating, cuts PT

** Shares of real estate investment trust Realty Income O.N fall 1% to $56.31

** Mizuho downgrades rating to "neutral" from "outperform"

** Cuts PT to $60 from $64, still representing a 5.5% upside to stock's last close

** Expectations of higher inflation and "higher-for-longer" rate environment should weigh on REITs investment spreads and growth potential, says brokerage

** Expects company's growth to decelerate in 2025 vs 2024, but inflecting towards the end of 2025 and into 2026 on accretion from data-center building joint venture with Digital Realty DLR.N

** Six brokerages rate the stock "buy" or higher and 15 "hold"; their median PT is $63.50 - LSEG data

** As of last close, stock down ~2% YTD

(Reporting by Aatreyee Dasgupta)

((Aatreyee.Dasgupta@thomsonreuters.com))

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