0119 GMT - Lifestyle Communities loses its bull at Citi amid concerns that negative publicity surrounding the housing provider could hit near-term sales. Analyst Suraj Nebhani lowers his recommendation on the stock to neutral/high risk from buy, pointing to the fallout of an Australian tribunal ruling that Lifestyle Communities has been breaching tenancy laws in the way it charges residents exit fees. He removes all income from the fees from his estimates and tells clients in a note that the case could present some sales risk. Nebhani doesn't think the company will breach covenants, but acknowledges some risk around its interest-cover ratio covenant. Citi lowers its target price by 42% to A$5.00. Shares are up 5.4% at A$4.66. (stuart.condie@wsj.com)
(END) Dow Jones Newswires
July 09, 2025 21:19 ET (01:19 GMT)
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