NEW YORK (TheStreet) -- Medical Properties Trust (MPW) - Get Report price target was raised to $13 from $12.50 at JMP Securities on Wednesday morning. The firm also reiterated its "market outperform" rating on the stock.
The Birmingham, AL-based real estate investment trust invests in and owns net-leased healthcare facilities.
The higher price target follows the REIT's asset sale announcement.
"MPW disclosed the sale of its equity interest in Capella Healthcare, resulting in net cash proceeds of $550 million. The transaction did not result in any material gain or loss, but it does clear the LOC and improves MPW's current leverage," JPM Securities said in an analyst note.
The REIT's shares could continue to increase in value with consistent execution and additional deleveraging, as the market appreciates its stronger asset position and operating fundamentals from three years ago, the firm added.
Shares of Medical Properties Trust closed higher by 2.77% to $12.60 on Tuesday.
Separately, TheStreet Ratings Team has a "Hold" rating with a score of C+ on the stock.
The primary factors that have impacted the rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks.
The company's strengths can be seen in multiple areas, such as its robust revenue growth, impressive record of earnings per share growth and compelling growth in net income.
However, as a counter to these strengths, it finds that the stock has had a generally disappointing performance in the past year.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: MPW