Eos Energy stock falls after Fuzzy Panda issues short report
Investing.com - Scotiabank lowered its price target on SL Green Realty (NYSE:SLG) to $66.00 from $71.00 on Friday, while maintaining a Sector Outperform rating on the real estate investment trust. The stock, which has declined nearly 29% over the past year, currently trades at an EBITDA multiple of 52.3x.
The price target reduction follows SL Green’s third-quarter earnings report, with Scotiabank citing higher interest expense assumptions and lower investment income from a smaller debt and preferred equity portfolio as the primary reasons for the adjustment.
Despite the lower price target, Scotiabank remains positive on SL Green, projecting Normalized Adjusted Funds From Operations Per Share (AFFOPS) to grow 11% year-over-year in 2026 and 6% in 2027, driven by improving occupancy, cash NOI commencement, and lower leasing capital expenditures.
The bank noted that debt extinguishment gains are creating "too much noise" in the financial reporting, which it believes obscures the core growth potential of SL Green’s New York City office portfolio.
Scotiabank considers SL Green’s current valuation attractive, pointing to a 7.2% implied capitalization rate and a 24.6% discount to Net Asset Value Per Share (NAVPS).
In other recent news, SL Green Realty Corp. reported its third-quarter 2025 earnings, significantly surpassing Wall Street expectations. The company achieved an earnings per share (EPS) of $0.34, which was well above the anticipated -$0.34. Revenue also exceeded forecasts, reaching $244.82 million compared to the expected $156.92 million, marking a surprise of 56.02%. In terms of analyst ratings, Piper Sandler maintained an Overweight rating on SL Green Realty with a price target of $72.00, highlighting the company’s strong positioning for 2026 amid New York City’s office market rebound. Conversely, Truist Securities lowered its price target for the company to $54.00 from $58.00, maintaining a Hold rating due to concerns over declining funds from operations (FFO). Truist noted that SL Green’s funds available for distribution per share have "significantly declined every year since 2020." These developments provide a mixed outlook for investors, with strong recent earnings but ongoing concerns about future cash flow.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.