UPDATE: Stifel Raises PT On STORE Capital On Strong Balance Sheet

In a report published Wednesday, Stifel analyst Simon Yarmak reiterated a Buy rating on STORE Capital Corporation STOR, and raised the price target from $22.50 to $23.50. In the report, Stifel noted, “We are raising our target price to $23.50 from $22.50. Our new target price reflects a 6.0% cap rate and 16.0x our 2016 AFFO estimate of $1.47. STOR trades at an 85 bps discount to Realty Income (O, $48.91, Hold) and a 50 bps discount to National Retail Properties (NNN, $40.06, Buy). There should be some discount but not that great of a discount.” STORE Capital closed on Tuesday at $22.04.