Jefferies Lowers PT From $26.00 to $22.00 On Omega Healthcare Investors And Downgrades OHI From Buy To Hold Rating (OHI)

In a recent report, Jefferies has raised the price target on Omega Healthcare Investors (NYSE: OHI) from $26.00 to $22.00 and downgraded OHI from buy rating to hold rating until outlook on the company becomes more clear.

In the report, Jefferies said, "While our revised estimates do not reflect any cuts to current rental income (final outcome of Medicare & Medicaid remains unknown), we are applying a higher discount rate in our DDM (11.69% vs.10.41%) due to increasing uncertainty around our estimates. As such, we are lowering our PT to $22, from $26, and downgrading our rating on OHI shares to Hold, from Buy. We shall revisit our thesis as the reimbursement outlook becomes clearer."

Omega Healthcare Investors closed yesterday at $22.21.