Community Healthcare upgraded to Buy at Colliers following underperformance

As previously reported, Colliers upgraded Community Healthcare to Buy from Neutral with a price target of $43, up from $42. Shares have underperformed the MSCI U.S. REIT index on a one, three, six, 12 and 36 month basis, but the firm’s projected total return of 33.7% for Community Healthcare is above the current MSCI U.S. REIT index return forecast of 21%-26%, the analyst tells investors. In addition to what the firm sees as a “deep NAV discount,” the firm cites an indication that the stock “may have passed a performance inflection,” stating that it views the company’s locked-in acquisition pipeline as a “material growth asset.”