Analyst John Kim of BMO Capital maintained a Buy rating on Sun Communities, retaining the price target of $140.00.
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John Kim’s rating is based on a combination of factors that highlight Sun Communities’ strong performance and strategic focus. The company has refocused on its core manufactured housing and recreational vehicle business, leading to a positive second quarter in 2025. This is evidenced by a beat in Core Funds From Operations (FFOps) and an upward revision in guidance that surpassed market expectations.
Additionally, the manufactured housing sector showed robust growth, and there was a notable improvement in the transient RV segment compared to the previous quarter. Despite some challenges, such as a reduction in the 1031 designation and a decline in home sales NOI, the overall financial health of the company is strong, with a decreased net debt-to-EBITDA ratio. These factors collectively contribute to John Kim’s Buy rating for Sun Communities.
Kim covers the Real Estate sector, focusing on stocks such as Sun Communities, Essex Property, and Camden Property. According to TipRanks, Kim has an average return of -0.2% and a 45.11% success rate on recommended stocks.
In another report released yesterday, Truist Financial also maintained a Buy rating on the stock with a $137.00 price target.