In a report released yesterday, Michael Gorman from BTIG maintained a Buy rating on Independence Realty, with a price target of $21.00.
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Michael Gorman has given his Buy rating due to a combination of factors influencing Independence Realty’s performance and outlook. The company’s portfolio has shown signs of improvement, particularly in the Sun Belt and Midwest regions, which are expected to counterbalance supply challenges in other areas. This positive trend is supported by management’s increased investment guidance for 2025, indicating confidence in future growth and a more favorable transaction environment.
Additionally, the company’s strategic reallocation of assets towards newer properties with lower capital expenditure requirements is seen as a long-term benefit. Despite some ongoing challenges in lease trade-outs, the fundamentals such as occupancy, retention, and renewals remain strong, with expectations for improvement in the latter half of 2025. Furthermore, IRT’s shares are trading at a discount compared to peers, suggesting potential value for investors. These factors collectively underpin Gorman’s Buy rating and the $21 price target.
In another report released on August 27, Wells Fargo also maintained a Buy rating on the stock with a $20.00 price target.
IRT’s price has also changed moderately for the past six months – from $21.800 to $17.870, which is a -18.03% drop .