Broadstone Net Lease (BNL) PT Raised to $20 at BMO Capital; All Eyes on BTS

BMO Capital analyst John P. Kim raised the price target on Broadstone Net Lease (NYSE: BNL) to $20.00 (from $19.00) while maintaining a Outperform rating.

The analyst commented: "BTS the Center of Attention; We hosted investor meetings last week with John Moragne (CEO & Director) and Kevin Fennell (EVP, CFO, and Treasurer). Discussions centered around BNL's revised strategy, focused on build-to-suit developments and revenue generating capex - and not just spread-investment acquisitions - as it looks to create value and solve tenant problems (rather than sell). BNL's goal is to deliver mid-single-digit earnings growth in 2026 and thereafter.

BTS Focus. The center of investor discussion was Broadstone's BTS strategy, which BNL entered almost out of necessity given its cost of capital, but provides attractive returns vs. WACC, access to new product, and may be a potential funding source (selling at a premium to cost), although that is not BNL's preference. BNL is filling a void left by banks, providing end-to-end financing on 100% pre-leased projects including land acquisition, construction financing and a takeout for developers.

We update our BNL earnings estimates and increase our target price +$1 to $20, reiterating Outperform."

You May Also Be Interested In

• JD.com (JD) Reiterated at Buy by Benchmark Amid Earnings Recovery
• Fiserv (FISV) PT Lowered to $60 at Freedom Broker
• Zeo Energy Corp (ZEO) Misses Q2 EPS by 7c