Stag Industrial initiated with an Equal Weight at Barclays

Barclays initiated coverage of Stag Industrial with an Equal Weight rating and $40 price target. CBRE Tier 1 markets account for about 75% of the company’s revenue, the analyst tells investors in a research note, adding that the REIT’s geographic diversification is combined with tenant exposure, which is likewise diversified. Barclays adds however that while Stag’s operations are lean, there are greater expenses associated with its diversification and comparatively lower local scale.