[July 01, 2010] Citigroup Upgraded Entertainment Properties Trust To Buy And Reduced 2010, 2011 EPS Estimates (EPR) Tweet Jul 01, 2010 (SmarTrend News Watch via COMTEX) -- 7/1/2010- Citigroup analysts upgraded Entertainment Properties Trust (NYSE:EPR) to buy from hold, with a $46 price target, and reduced their 2010 and 2011 EPS estimates. The bank now sees fiscal 2010 EPS of $3.24, down from $3.32, vs. consensus estimates of $2.26 per share, fiscal 2011 EPS of $3.65, down from $3.67, vs. consensus estimates of $2.50 per share. Analyst Michael Bilerman said, "EPR shares have underperformed relative to peers this quarter despite a reduced risk profile and now trade at an 8.1% implied cap rate, creating an attractive entry point. EPR's AFFO multiple also low at 12x vs. the Reits at 18x. We upgrade to Buy, and change our risk rating to High, maintaining our $46 TP. The current 7% dividend yield is well covered by cashflow (88% payout) along with a strong likelihood that EPR will continue to execute on accretive growth opportunities (we assume 12% AFFO growth in '11 and 3% in '12). The company has cleaned up the story and proven their renewed focus on 'bread and butter' theater and school transactions over the last few quarters. Additionally, EPR's risk profile has decreased following the recent legal settlement with Capelli, lease renewals, and small winery disposition." Write to Chip Brian at [email protected] --------------------------------------------------------------------------------------------- SmarTrend analyzes over 5,000 securities simultaneously throughout the trading day and provides its subscribers with trend change alerts in real time. To get a free trial of our trading calls and maximize your trading results, please visit http://www.TradeTheTrend.com Get exclusive, actionable insight into how the market is expected to trend prior to market open with our free morning newsletter. Sign up at: http://www.TradeTheTrend.com/signup [ Back To TMCnet.com's Homepage ]