JMP Securities analyst Aaron Hecht has reiterated their neutral stance on GMRE stock, giving a Hold rating on February 28.
Aaron Hecht’s rating is based on a combination of factors, including Global Medical REIT’s recent financial performance and strategic initiatives. The company reported fourth-quarter core FFO that aligned with market expectations and slightly exceeded some estimates, reflecting higher net operating income and reduced interest expenses. Additionally, the initial guidance for fiscal year 2025 suggests a slightly higher AFFO than consensus, indicating stable financial prospects.
Despite these positive aspects, Hecht maintains a Hold rating due to challenges in the capital markets and the valuation of GMRE’s shares. While the shares are trading below the historical average and at a discount compared to peers, Hecht considers the current valuation appropriate given the company’s size, leverage, and asset profile. Furthermore, the company’s strategic moves, such as forming a joint venture and acquiring new properties, support long-term growth but do not significantly alter the current market performance outlook.
In another report released on February 28, BMO Capital also maintained a Hold rating on the stock with a $9.50 price target.