UPDATE - UBS Upgraded SL Green Realty (SLG) to Buy; Manhattan Office On Sale
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Price: $48.52 -2.32%
Rating Summary:
10 Buy, 14 Hold, 6 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 5 | Down: 3 | New: 5
Rating Summary:
10 Buy, 14 Hold, 6 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 5 | Down: 3 | New: 5
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UPDATE - UBS upgraded SL Green Realty (NYSE: SLG) from Neutral to Buy. PT unchanged at $78.
UBS analyst says, "The stock has fallen 33% from its May highs and now trades a 27% discount to our $82 forward NAV estimate. The stock implies a 6.1% cap rate and $500 per sq ft for its Manhattan assets - well below private market comps and replacement value."
"The decline in SLG’s shares the past few months has been attributable to (a) concerns regarding a leasing slowdown in Manhattan and (b) elevated leverage relative to peers. While leasing volumes have slowed in recent months, sub 10% vacancy and a lack of new supply are likely to keep Midtown rents stable near-term. Since the stock appears to have priced in a more bearish outlook, stable trends over the next few quarters should act as a positive catalyst. Leverage is elevated at 8.3x Net Debt/EBITDA, but near term maturities are limited."
To see more ratings changes on SLG, Click Here
UBS analyst says, "The stock has fallen 33% from its May highs and now trades a 27% discount to our $82 forward NAV estimate. The stock implies a 6.1% cap rate and $500 per sq ft for its Manhattan assets - well below private market comps and replacement value."
"The decline in SLG’s shares the past few months has been attributable to (a) concerns regarding a leasing slowdown in Manhattan and (b) elevated leverage relative to peers. While leasing volumes have slowed in recent months, sub 10% vacancy and a lack of new supply are likely to keep Midtown rents stable near-term. Since the stock appears to have priced in a more bearish outlook, stable trends over the next few quarters should act as a positive catalyst. Leverage is elevated at 8.3x Net Debt/EBITDA, but near term maturities are limited."
To see more ratings changes on SLG, Click Here
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