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Medical Properties Trust downgraded to Neutral from Buy at Mizuho

Mizuho analyst Vikram Malhotra downgraded Medical Properties Trust to Neutral from Buy with a price target of $9, down from $18. The analyst cites near-term earnings dilution and an “elongated recovery path” for the downgrade. Management’s attempt to reduce leverage via asset sales will likely be earnings dilutive, the analyst tells investors in a research note. The firm says Medical Properties’ key hospital tenants remain challenged and additional clarity will take time.

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