Jefferies stayed positive on Gaming and Leisure Properties (NASDAQ:GLPI) after taking in the company’s Q2 earnings report.
Analyst David Katz and team think the bullish thesis on GLPI for growth through strategic relationships and M&A activity is playing out, with more transactions expected to close through the year and more to come.
“Given the long-term stable cash flows, we believe the current trading levels of ~5.5% yield considerably underprice GLPI. That said, we believe the growth and performance in the Gaming real estate market should provide the catalysts for change.”
The conference call stood out for the analysts with key takeaways including GLPI expecting to get regulatory approval on both Rhode Island assets and having active discussions with tenants about future expansions, including a possible hotel opportunity. Crucially, GLPI is seen having a strong enough balance sheet to stay aggressive.
Jefferies kept a Buy rating on GLPI and price target of $60.
Dig into the Gaming and Leisure Properties earnings call transcript.
Image and article originally from seekingalpha.com. Read the original article here.