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UPDATE - UBS Downgraded Healthcare Realty Trust (HR) to Sell; Too Far, Too Fast

February 1, 2012 11:33 AM EST
HR Hot Sheet
Rating Summary:
    1 Buy, 3 Hold, 0 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 16 | Down: 7 | New: 23
UPDATE - UBS downgraded Healthcare Realty Trust (NYSE: HR) from Neutral to Sell. PT unchanged at $16.

UBS analyst said, "We believe the rally over the past few months, fueled in part by the acquisition of Cogdell Spencer (NYSE: CSA) by Ventas (NYSE: VTR), is overdone, as HR now trades at a 32% NAV premium. HR may ultimately be an M&A candidate as the sole remaining MOB REIT, but we see no reason why a public or private buyer would pay anywhere near this premium. While we admittedly do not see a near-term catalyst, shares are more than priced for perfection, in our view, shifting the risk/reward to the downside." (UBS lowers FY12 EPS estimate to $1.27, citing more conservative development lease-up pace)

To see more ratings on HR, Click Here


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