Gladstone Land price target lowered to $11 from $12 at Alliance Global Partners

Alliance Global Partners lowered the firm’s price target on Gladstone Land (LAND) to $11 from $12 and keeps a Neutral rating on the shares following Q1 results. The firm notes core FFO/share was lower than its estimate. There were additional lease amendments that moved farm from base rent to participation rent structure. Permanent crop farms, including nuts and grapes on the west coast, remain soft due to lower prices of crops, higher costs of inputs and higher costs to borrow, says Alliance Global. Annual row crops such as strawberries remain stable/strong. Management remains cautious in the acquisition market and does not expect acquisitions for the next few quarters due to high cost of capital and lower cap rates, the firm adds.