In a report released today, Barry Oxford from Colliers Securities maintained a Hold rating on Global Net Lease (GNL – Research Report), with a price target of $12.00.
Barry Oxford has given his Hold rating due to a combination of factors influencing Global Net Lease’s current and future performance. The company has recently announced a significant transaction involving the sale of a 100-unit portfolio for approximately $1.8 billion, which is part of its strategy to reduce debt and streamline operations. This move is expected to improve key metrics such as occupancy rates and lease terms, while also allowing the company to focus on single-tenant retail and industrial acquisitions.
Despite these positive developments, the company’s financial metrics present a mixed picture. While the company reported higher-than-expected AFFO numbers and has a strong liquidity position, its net debt-to-EBITDA ratio remains above the industry average, although it is expected to improve following the asset sale. The balance sheet improvements and operational focus are promising, but the current financial leverage and the execution risk associated with the ongoing transition justify a Hold rating at this time.
According to TipRanks, Oxford is a 4-star analyst with an average return of 3.6% and a 62.07% success rate. Oxford covers the Real Estate sector, focusing on stocks such as Postal Realty, Mid-America Apartment, and Strawberry Fields REIT Inc.