Why DDR (DDR) Stock Is Down Today

NEW YORK (TheStreet) -- DDR Corp. (DDR) was falling 2.7% to $17.33 Friday after announcing that CEO Daniel Hurwitz will not renew his employment agreement with the REIT.

Hurwitz's current employment agreement with DDR expires on Dec. 31, 2015. The CEO is expected to stay through the end of his agreement to help transition to new leadership.

Following the announcement to not renew Hurwitz's contract UBS (UBS) downgraded the stock to "neutral" from "buy." The analyst firm also lowered its price target for the company to $18 from $19.

Must Read: Warren Buffett's 25 Favorite Stocks

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

"We think it's tough to see the shares making material advances until the market gets clarity on the future leadership and direction at DDR (a la EQY following Jeff Olson's departure)," UBS analyst Jeremy Metz wrote. "Therefore, we think investors will take a wait and see approach, leaving the shares range bound in the interim."


Separately, TheStreet Ratings team rates DDR CORP as a Hold with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:

"We rate DDR CORP (DDR) 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, compelling growth in net income and increase in stock price during the past year. However, as a counter to these strengths, we also find weaknesses including weak operating cash flow, poor profit margins and feeble growth in the company's earnings per share."

If you liked this article you might like

These Stocks Are Ready to Reverse Course

A Perpetual Option With a Huge Yield

The (Easier) Way to 100% Gains

Analysts' Actions -- Citizens Financial, Expedia, First Solar, Jack in the Box and More

Go With Those in the Know