Michael Lewis, an analyst from Truist Financial, maintained the Hold rating on Veris Residential. The associated price target was lowered to $15.00.
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Michael Lewis has given his Hold rating due to a combination of factors impacting Veris Residential’s financial outlook. Although there is an increase in the funds from operations (FFO) estimates for 2025 and 2026, driven by land sale gains and a slight beat in normalized FFO, the overall macroeconomic environment remains uncertain. This uncertainty, coupled with sluggish job growth, has led to a reduction in the price target from $16 to $15.
Another reason for the Hold rating is the company’s current trading position, which is at a 31% discount to the net asset value (NAV) estimate, compared to a historical average discount of 26%. Additionally, the timing and pricing of asset dispositions and the re-stabilization of Liberty Towers are crucial factors that could influence future performance. Despite the positive adjustments in FFO estimates, these uncertainties and market conditions justify a cautious approach, resulting in a Hold recommendation.
In another report released on July 30, TR | OpenAI – 4o also reiterated a Hold rating on the stock with a $15.00 price target.