Store Capital (STOR) was downgraded to "neutral" from "outperform" with a new price target of $24 from $23 at Mizuho Tuesday.
The downgrade came one day after Warren Buffett's Berkshire Hathaway (BRK.A) (BRK.B) invested $377 million for a 9.8% stake in the Arizona-based real estate investment trust. The company's stock surged when the investment was announced.
Analyst Haendel St. Juste said the spike in stock price that pared earlier Buffett-driven gains put it at a fairer valuation. Buffett's investment validated the company's business for St. Juste and alleviated concerns about near-term funding.
Store shares traded down almost 2% at Tuesday's close.
What's Hot On TheStreet
Another bank is bullish on Alibaba: JP Morgan initiated Chinese e-commerce giant Alibaba (BABA) with an overweight rating and $190 price target in a new note Tuesday, representing more than 30% growth over Monday's closing price of $142.73. In JP Morgan's eyes, Alibaba is entering a transformation from a pure play e-commerce company to a data-driven beast that stands to power its bottom line more than most expect.
"We believe Alibaba's core commerce is expanding from traffic monetization to data monetization and such trend will quickly expand to its media/cloud businesses," writes JP Morgan analyst Alex Yao. "Such expansion not only allows Alibaba to tap into non-transaction-based corporate budget (e.g. market research, brand awareness, and customer service), but also supports our investment thesis based on sustainable revenue/earnings growth."
A key Walmart business springs back to life: Walmart (WMT) is starting to see long-awaited sales growth at its U.K. Asda division as Britons shift their shopping habits towards food purchases with a slump in consumer confidence and surging inflation, TheStreet's Lisa Botter reports. Sales at Asda rose by 2.2% for the 12-weeks ended June 18, well ahead of the 0.9% pace notched in the 12 weeks to May 21, according to new data from research firm Kantar.
Different strategies emerge in driver-less cars: Alphabet Inc.'s (GOOGL) deal with rental car giant Avis Budget Group Inc. (CAR) to have Avis manage some self-driving test cars developed by Alphabet's Waymo unit and Fiat Chrysler (FCAU) feels a little overblown, writes TheStreet's Eric Jhonsa. The deal only covers test cars deployed in one metro area (Phoenix, Ariz.), and isn't exclusive, Jhonsa points out.
Meanwhile, Apple Inc.'s (AAPL) deal with Avis rival Hertz Global Holdings Inc. (HTZ) feels even smaller. Apple, which has reportedly been testing a half-dozen self-driving cars around the San Francisco Bay Area, is just leasing a small number of Lexus RX450h SUVs from Hertz, with the idea of retrofitting them with self-driving test systems.
Either way, Jhonsa says both deals represent quite the contrast with what Tesla Inc. (TSLA) is trying to pull off. Elon Musk seems to want to go it all alone.
Visit here for the latest business headlines.