Safehold price target raised to $38 from $25 at Goldman Sachs

Goldman Sachs analyst Caitlin Burrows raised the firm’s price target on Safehold to $38 from $25 and keeps a Buy rating on the shares. The firm is adjusting its model to forecast the company’s EPS growing by an average of 13.6% over each of 2024-2026, driven by increasing volumes of funded ground leases and lower G&A expense, the analyst tells investors in a research note. Goldman Sachs is also adjusting for a lower discount rate, driven by the compression in the 30-year U.S. Treasury Yield, which has a strong correlation to the MIT 100 year bond yield, the firm added.