Healthcare Realty late last week acquired two office buildings and a parking garage in Dallas for $59.2 million, expanding its Lone Star portfolio by almost 300,000 square feet and 1,000 parking spaces.
Area giant Baylor Health Care System leases one of the 9-year-old buildings long term; the other is leased until July 2010. The deals take Healthcare Realty’s Dallas-area holdings to more than 2 million square feet. At the end of last year, the company (Ticker: HR) owned almost 11 million square feet.
After a strong July, Healthcare Realty shares ended trading yesterday down 1.4 percent. Year to date, they’re up about 12 percent.
Morgan takes away Gaylord’s punch bowl
After driving shares of Gaylord Entertainment higher by more than 40 percent in the past two weeks, investors yesterday gave the stock (Ticker: GET) a serious haircut.
The cause: A downgrade to ‘neutral’ from JPMorgan analyst Kevin Milota, who told investors Gaylord now “represents an even risk-reward profile.” That was enough to push the shares down almost 14 percent.
At yesterday’s close, they stood at $28.97, almost $5 off Tuesday’s final trade. Year to date, they’re almost 30 percent.
Analyst: America Service being ‘conservative’
It’s not often a company raises its earnings guidance 20 percent and is called ‘conservative.’
But that was the case yesterday with America Service Group, which beat the snot out of second-quarter earnings and raised its full-year guidance from 40 cents per share to 48 cents.
But, in a morning note to investors, Avondale Partners analyst Kevin Campbell wrote that the company may be playing it safe for the rest of the year. The guidance hike, he noted, kept margins level from the first half — and actually down from last quarter — even though America Service has in the past posted stronger numbers in the second half of the year after contracts have been repriced.
In a follow-up note, Campbell said his enthusiasm is tempered by the chance America Service will not have its Philadelphia contract renewed and the prospect that the company will early next year become a cash taxpayer. Campbell rates the stock a ‘market perform.’
Investors didn’t seem to mind much. America Service’s stock (Ticker: ASGR) ended the day up 3.6 percent, adding to its handsome gains so far this year.