SL Green Realty: JP Morgan Maintains Neutral, PT Down to $69 from $70

SL Green Realty: JP Morgan Maintains Neutral, PT Down to $69 from $70

SL Green Realty (SLG) experienced a downward revision in its price target by JP Morgan analyst Anthony Paolone. The new target is $69, down from the previous $70, while maintaining a Neutral stance on the stock [1].

The average one-year price target for SL Green Realty, as forecasted by 16 analysts, stands at $63.63, with a high estimate of $87.00 and a low estimate of $50.00. This average target implies an upside of 3.10% from the current price of $61.71 [1]. Meanwhile, the consensus brokerage recommendation from 17 firms is currently 2.8, indicating a "Hold" status [1].

GuruFocus estimates that the fair value (GF Value) for SL Green Realty in one year is $33.00, suggesting a downside of 46.52% from the current price [1]. This estimate is based on historical multiples and past business growth.

In the latest earnings report, SL Green Realty exceeded both Street's expectations and its own internal projections for the first quarter. The company reported strong performance in its debt-related businesses, which benefited from a volatile credit market and substantial liquidity. Additionally, the acquisition of 500 Park achieved 100% occupancy post-acquisition [1].

Despite these positive developments, the company faces challenges such as uncertainty in the macroeconomic environment, potential impacts from tariffs, and challenges in the debt financing markets [1]. Furthermore, occupancy levels decreased slightly in the first quarter, raising concerns about meeting year-end targets.

Piper Sandler has reiterated its Overweight rating on SL Green Realty, with a $72 price target. The stock currently offers a 5.08% dividend yield and has delivered a 14.22% return over the past year [3]. However, the stock has declined 3.8% since June 20, underperforming compared to the broader REIT sector and the SNL Office Index [3].

Evercore ISI raised its price target for SL Green Realty to $74, maintaining an Outperform rating. This adjustment followed discussions with the company’s CFO about the Manhattan office leasing market and future projects, including a pending casino license [3]. The company also held its Annual Meeting of Stockholders, where eight directors were elected and several key proposals were approved, showing strong shareholder support [3].

In summary, SL Green Realty has seen a downward revision in its price target by JP Morgan, but the company continues to show strong performance and growth potential. The stock remains under pressure due to macroeconomic uncertainties and political developments in New York City.

References:
[1] https://www.gurufocus.com/news/2966120/slg-price-target-revised-by-jpmorgan-analyst-slg-stock-news
[2] https://www.marketscreener.com/quote/stock/PFIZER-INC-23365019/news/PFIZER-INC-JP-Morgan-reiterates-its-Neutral-rating-50454545/
[3] https://www.investing.com/news/analyst-ratings/sl-green-realty-stock-holds-overweight-rating-at-piper-sandler-ahead-of-q2-93CH-4126695