BMO Capital Downgrades Global Medical REIT (GMRE) to Market Perform

BMO Capital analyst Juan Sanabria downgraded Global Medical REIT (NYSE: GMRE) from Outperform to Market Perform with a price target of $9.00 (from $13.00).

The analyst commented, "We downgrade GMRE from Outperform to Market Perform on elevated leverage & floating-rate debt exposure, and a challenged cost of capital. As part of a REITs update on rates, we've reduced our '23 AFFO -7.9% (15.0% below Street). Given higher leverage and lower debt availability, we expect less acquisitions. A low multiple (9.2x '23 AFFO) provides some support, but plenty of REITs screen cheap. We prefer high quality/demo MOB peers (HR & PEAK) with lower leverage. We cut our target price to $9 (from $13) based on our NAV/DCF."

For an analyst ratings summary and ratings history on Global Medical REIT click here. For more ratings news on Global Medical REIT click here.

Shares of Global Medical REIT closed at $8.57 yesterday.

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