Hudson Pacific Properties (HPP – Research Report), the Real Estate sector company, was revisited by a Wall Street analyst today. Analyst John Kim from BMO Capital upgraded the rating on the stock to a Buy and gave it a $5.00 price target.
John Kim has given his Buy rating due to a combination of factors that indicate potential recovery and growth for Hudson Pacific Properties. Despite the company’s recent underperformance and market concerns about insolvency, HPP has taken strategic steps to improve its financial position. These steps include securing a $475 million CMBS transaction, which provides necessary liquidity and supports the valuation of its assets.
Furthermore, HPP has been proactive in managing its debt by executing asset sales and planning additional transactions to address upcoming maturities. The company has already completed asset sales worth $94 million and intends to sell more in the coming year, which could further alleviate financial pressures. These efforts, along with the planned CMBS transaction for a highly leased property, suggest a positive outlook for HPP, justifying the Buy rating.
According to TipRanks, Kim is a 3-star analyst with an average return of 0.6% and a 49.09% success rate. Kim covers the Real Estate sector, focusing on stocks such as Federal Realty, Eastgroup Properties, and Howard Hughes Holdings.
In another report released on March 17, BTIG also reiterated a Buy rating on the stock with a $10.00 price target.