Gaming and Leisure Properties price target lowered to $55 from $56 at Wedbush

Wedbush lowered the firm’s price target on Gaming and Leisure Properties (GLPI) to $55 from $56 and keeps an Outperform rating on the shares. While the cash flow engine remains strong, the company did report some near-term headwinds, the firm notes. The Bally’s Chicago casino development faced some initial delays and the company now expects $375M of total funding in 2025. The majority of the project’s $940M of funding commitments is now penciled for 2026. Additionally, the top end of guidance was lowered a penny as the company does not expect to achieve the rent escalator on its Pinnacle casino lease, Wedbush adds. Overall, the firm views these headwinds as short-term in nature and continues to believe the gaming REIT sector screens defensively behind strong rent coverage, long-term corporate guaranteed leases, and predominately public tenants able to tap the capital markets.