Acadia Realty Trust downgraded to Neutral at Compass Point in REIT shake-up

As previously reported, Compass Point analyst Floris van Dijkum downgraded Acadia Realty Trust (AKR) to Neutral from Buy with a price target of $16, down from $21. The firm is taking profits on Acadia shares, which have outperformed sector peers in 2023 by 7.3% and the REIT index by 5.9%, while buying into Regency Centers (REG) shares, which have largely matched peers and the REIT index. Their respective 2024 earnings growth paths will diverge, with Regency expected to post above average 5.1% growth while Acadia’s headline FFO will decline by 2.8%, based on the firm’s estimates, the analyst tells investors.