Wall Street analysts' sentiments towards Invitation Homes' stock?

Wall Street analysts' sentiments towards Invitation Homes' stock?

Invitation Homes Inc. (INVH), a leading real estate investment trust (REIT) based in Dallas, Texas, has seen a mixed performance over the past year. While the broader S&P 500 Index has gained 16.6%, INVH has declined 12.4%. However, analyst sentiment remains cautiously optimistic, with a consensus rating of "Moderate Buy" to "Buy" overall.

In the second quarter of 2022, INVH posted its earnings, resulting in a 1.9% dip in its shares. Despite this, the company reported a strong earnings surprise history, beating the consensus estimates in the last four quarters. Same-store NOI rose 2.5%, supported by balanced revenue and expense growth. Core FFO per share grew 1.7% to $0.48, and AFFO per share increased 3.4% to $0.41 in Q2.

Revenue for the quarter rose 4.3% year-over-year to $681 million, driven by a 3.4% rise in rental income and a 39% jump in third-party management fees.

The current analyst consensus rating for INVH is a "Moderate Buy," based on ten "Strong Buy" ratings, one "Moderate Buy," and 12 "Holds." Notably, the mean price target of INVH is $37.59, implying a premium of 22.6% from the current market prices.

Key price targets range from $34.00 at the low end to about $43.00 at the high end. For instance, TipRanks reports a Moderate Buy consensus with an average price target of $37.79 and price targets ranging from $34 to $43. StockAnalysis.com notes an average "Buy" rating from 17 analysts, with a 12-month price target of $38.15, representing a 26.37% increase from the latest price. GuruFocus indicates an "Outperform" consensus with a projected 22.35% upside.

On June 6, Citi analyst Eric Wolfe upgraded Invitation Homes to "Buy" from "Neutral." Two months ago, the number of "Strong Buy" ratings on the stock was nine. The Street-high target for Invitation Homes is $41, suggesting a 33.8% upside potential.

INVH manages approximately 85,138 homes for lease and also manages properties on behalf of others. As of the date of publication, Kritika Sarmah does not have positions in any of the securities mentioned in the article.

It is essential to note that all information and data in the article are solely for informational purposes. For more information, please view the website's Disclosure Policy here. Invitation Homes Inc. (INVH) has a market cap of $19.2 billion.

The stock faces a combination of positive institutional fund inflows but bearish technical indicators, making the consensus moderately bullish but not unanimously strong buy. Overall, analyst sentiment remains optimistic, with several firms raising price targets in recent months, although some views remain mixed due to technical and cash flow concerns.

Investors might consider investing in real-estate through Invitation Homes Inc. (INVH), given its strong earnings surprise history and the recent positive analyst sentiment. However, the stock's performance might be influenced by a combination of positive institutional fund inflows and bearish technical indicators, suggesting a moderately bullish but not unanimously strong buy consensus.

Despite the mixed performance of INVH over the past year, several analysts have raised their price targets for the company in recent months, demonstrating a cautiously optimistic outlook. The current mean price target for INVH stands at $37.59, implying a 22.6% premium from the current market prices.

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