Plymouth Industrial: Truist Securities keeps Hold rating, raises PT to $21.

Plymouth Industrial: Truist Securities keeps Hold rating, raises PT to $21.

Truist Securities has recently revised its price target for Plymouth Industrial REIT (PLYM) to $21, up from $18, while maintaining its Hold rating. This decision comes amidst significant market developments, including a proposed acquisition by Sixth Street Partners and recent earnings reports.

The proposed acquisition by Sixth Street Partners, valued at approximately $970 million, represents a 63% premium to the unaffected share price. Sixth Street Partners aims to acquire all outstanding shares of Plymouth Industrial REIT at $24.10 per share, as announced in a fully financed proposal [1]. This acquisition comes nearly one year after the initial announcement of a strategic partnership between the two companies, which had initially led to a decline in Plymouth Industrial REIT's stock price.

Despite the proposed acquisition, Plymouth Industrial REIT's shares have surged over 42% in the past week, according to InvestingPro data. The stock is currently trading at a P/E ratio of 7.38x and offers a dividend yield of 4.46%. While Citizens JMP believes the transaction fairly values the shares, they see limited risk of execution issues given Sixth Street's substantial assets under management and financing for the deal [1].

In other recent news, Plymouth Industrial REIT reported its second-quarter earnings for 2025, which fell short of expectations. The company posted an earnings per share (EPS) of -$0.14, missing the anticipated $0.02, resulting in an EPS surprise of -800%. However, revenue slightly exceeded projections, coming in at $47.2 million compared to the forecasted $46.46 million [1].

Truist Securities' revised price target reflects the potential impact of the acquisition and the company's recent performance. The firm acknowledges the challenges Plymouth Industrial REIT has faced, including operational challenges and policy measures such as tariffs, but remains optimistic about the company's future prospects.

References:
[1] https://www.investing.com/news/analyst-ratings/citizens-jmp-downgrades-plymouth-industrial-reit-stock-rating-as-sixth-street-proposes-acquisition-93CH-4201262
[2] https://www.marketscreener.com/news/truist-raises-price-target-on-plymouth-industrial-reit-to-21-from-18-keeps-hold-rating-ce7c51d2dd80f125