Scotiabank analyst Nicholas Yulico downgraded MAA to Sector Perform from Outperform. The firm now expects incremental pressure on Sunbelt markets in 2023-2024 due to weakening demand environment paired with higher supply impact, the analyst tells investors in a research note. MAA’s lower price-point rents, diversified Sunbelt portfolio and low-leverage balance sheet is attractive in a weakening credit environment, but Scotiabank thinks investors are increasingly unwilling to pay a premium for the stock as growth slows within the Multifamily subsector.
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Published first on TheFly
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