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Buy Rating for Essential Properties Realty Trust: Strong Q4 2024 Performance, Strategic Portfolio Management, and Robust Balance Sheet Drive Confidence

Buy Rating for Essential Properties Realty Trust: Strong Q4 2024 Performance, Strategic Portfolio Management, and Robust Balance Sheet Drive Confidence

Mizuho Securities analyst Haendel St. Juste has reiterated their bullish stance on EPRT stock, giving a Buy rating today.

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Haendel St. Juste has given his Buy rating due to a combination of factors that highlight the strengths and potential of Essential Properties Realty Trust. One of the key reasons is the company’s strong investment performance in the fourth quarter of 2024, with investment volumes yielding better results compared to competitors. Additionally, Essential Properties Realty has increased its earnings guidance for FY25, showcasing confidence in its growth prospects.
Another factor influencing the Buy rating is the company’s strategic management of its portfolio, notably through reducing exposure to the car wash sector at favorable pricing. This move is aimed at mitigating concentration risk. Furthermore, Essential Properties Realty’s balance sheet is robust, with pre-funded acquisitions for 2025 and no short-term debt concerns, supporting a lower risk profile. These elements, combined with the company’s attractive growth-at-a-reasonable-price (GARP) valuation, position it favorably against its peers.

According to TipRanks, St. Juste is a 4-star analyst with an average return of 3.5% and a 52.91% success rate. St. Juste covers the Real Estate sector, focusing on stocks such as Essex Property, Equity Residential, and Simon Property.

In another report released today, Barclays also maintained a Buy rating on the stock with a $35.00 price target.

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