Global Medical REIT initiated with a Buy at Berenberg

Berenberg analyst Kai Klose initiated coverage of Global Medical REIT (GMRE) with a Buy rating and $11.75 price target Healthcare real estate investment trusts in the U.S. were heavily affected by COVID-19, as capital markets took a more cautious view on the sector due to concerns about the solvency of operators, the analyst tells investors in a research note. However, with interest rates likely to take a downward trajectory, the share prices of healthcare REITs have already started to stabilize, contends the Berenberg. As a results, it expects the capital markets will view the supportive market fundamentals for Omega Healthcare Investors and Global Medical REIT more positively given the demographic development of the companies.