Balanced Outlook for Stag Industrial Amid Mixed Signals: Hold Rating Justified

Citi analyst Craig Mailman maintained a Hold rating on Stag Industrial (STAG – Research Report) yesterday and set a price target of $35.00.

Craig Mailman has given his Hold rating due to a combination of factors influencing Stag Industrial’s stock. One of the key considerations is the potential for upside in the company’s funds from operations (FFO) and same-store net operating income (SSNOI) guidance, driven by an increase in new leasing activities. The company has seen a significant rise in lease commencements compared to previous quarters, which could positively impact its financial performance.
However, Mailman also notes potential headwinds, such as slower acquisition activity, which could slightly dampen earnings. While the stock has shown some outperformance relative to its industrial peers, these mixed signals suggest a balanced outlook, justifying a Hold rating as investors weigh the potential benefits against the risks.

In another report released on May 28, RBC Capital also maintained a Hold rating on the stock with a $38.00 price target.