Healthpeak downgraded to Underperform at BofA after Physicians Realty deal

BofA downgraded Healthpeak (PEAK) to Underperform from Neutral with a price target of $17.50, down from $25, pending changes in its asset mix after the company announced it would merge with Physicians Realty Trust (DOC) in a stock for stock deal. The firm believes the merger will have a negative impact on Healthpeak’s performance given its view that it dilutes Healthpeak’s exposure to life science. The firm also moved to No Rating on Physicians Realty as the firm no longer believes those shares trade on fundamentals.