Bank of America reiterated its "buy" rating on the stock but trimmed its price target to $15.25 from $15.50; however, the firm outlined its positive outlook on ARCP:
"[W]e're gaining confidence in David Kay's (expected to be CEO by YE14) ability to continue to address concerns & build investor confidence, including adding personnel to financial reporting," Bank of America wrote in a research note. "ARCP has 1) deleveraged its balance sheet & is looking to continue to extend debt duration; 2) sold its shopping center portfolio; & 3) internalized management."
The stock was down 1.65% to $11.90 at 11:37 a.m.
Separately, TheStreet Ratings team rates AMERICAN RLTY CAP PPTY INC as a "hold" with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation:
"We rate AMERICAN RLTY CAP PPTY INC (ARCP) a HOLD. The primary factors that have impacted our 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, growth in earnings per share and notable return on equity. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, weak operating cash flow and a generally disappointing performance in the stock itself."