Kite Realty downgraded to Hold from Buy at Jefferies

Jefferies downgraded Kite Realty (KRG) to Hold from Buy with a price target of $27, down from $31. The firm adjusted retail real estate investment trust ratings as a part of a 2025 outlook. Big Lots, Container Store and Party City closures raise 2025 bad debt, but retail supply is tight, and strips’ earnings “remain healthy” in 2025 versus 2024, the analyst tells investors in a research note. Jefferies says Kite’s recent underperformance, from credit exposure, has hurt the stock’s valuation. This, combined with management’s tendency towards conservatism, suggests the risk/reward setup is likely to be clearer after company provides fiscal 2025 guidance, it contends.