Innovative Industrial Properties (NYSE:IIPR) Stock Price Expected to Rise, Piper Sandler Analyst Says

Key Points

• Piper Sandler raised its price target on Innovative Industrial Properties to $51 from $45, but kept an underweight rating. The new target still implies about 19% downside from the previous close.
• Analyst sentiment remains cautious overall, with the stock holding an average “Reduce” rating and a consensus price target of $48. Other recent moves included a Weiss Ratings upgrade to hold and a Zacks downgrade to hold.
• The stock was trading at $63.20, near its 52-week high of $65.38, after the company reported mixed quarterly results. Revenue topped estimates, but EPS missed consensus and revenue fell 3.1% year over year.

Innovative Industrial Properties (NYSE:IIPR - Get Free Report) had its price target lifted by equities research analysts at Piper Sandler from $45.00 to $51.00 in a report released on Tuesday,Benzinga reports. The firm currently has an "underweight" rating on the stock. Piper Sandler's target price indicates a potential downside of 19.31% from the stock's previous close.

Several other equities analysts have also recently weighed in on the company. Weiss Ratings upgraded Innovative Industrial Properties from a "sell (d+)" rating to a "hold (c-)" rating in a report on Tuesday, May 26th. Zacks Research lowered Innovative Industrial Properties from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, May 5th. Three investment analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of "Reduce" and a consensus price target of $48.00.

Innovative Industrial Properties Price Performance

NYSE IIPR traded down $1.15 during trading hours on Tuesday, reaching $63.20. The company's stock had a trading volume of 380,883 shares, compared to its average volume of 344,653. Innovative Industrial Properties has a 1 year low of $44.58 and a 1 year high of $65.38. The company has a quick ratio of 6.06, a current ratio of 6.06 and a debt-to-equity ratio of 0.20. The company has a market capitalization of $1.82 billion, a price-to-earnings ratio of 16.15 and a beta of 1.39. The firm's 50-day moving average price is $59.87 and its 200-day moving average price is $54.22.

Innovative Industrial Properties (NYSE:IIPR - Get Free Report) last released its earnings results on Monday, May 4th. The company reported $1.02 EPS for the quarter, missing the consensus estimate of $1.07 by ($0.05). The company had revenue of $69.00 million during the quarter, compared to analysts' expectations of $65.65 million. Innovative Industrial Properties had a return on equity of 6.62% and a net margin of 45.58%.Innovative Industrial Properties's quarterly revenue was down 3.1% compared to the same quarter last year. During the same period last year, the firm posted $1.94 EPS. On average, equities research analysts predict that Innovative Industrial Properties will post 7.1 EPS for the current fiscal year.

Hedge Funds Weigh In On Innovative Industrial Properties

A number of large investors have recently bought and sold shares of the business. TrueMark Investments LLC purchased a new stake in shares of Innovative Industrial Properties in the fourth quarter valued at approximately $982,000. SG Americas Securities LLC increased its stake in shares of Innovative Industrial Properties by 110.4% during the fourth quarter. SG Americas Securities LLC now owns 24,928 shares of the company's stock worth $1,181,000 after purchasing an additional 13,079 shares in the last quarter. Legal & General Group Plc increased its stake in shares of Innovative Industrial Properties by 13.4% during the fourth quarter. Legal & General Group Plc now owns 193,926 shares of the company's stock worth $9,184,000 after purchasing an additional 22,926 shares in the last quarter. Brookwood Investment Group LLC acquired a new position in shares of Innovative Industrial Properties during the 4th quarter worth about $776,000. Finally, Hsbc Holdings PLC lifted its stake in Innovative Industrial Properties by 22.2% in the 4th quarter. Hsbc Holdings PLC now owns 45,089 shares of the company's stock valued at $2,135,000 after buying an additional 8,189 shares in the last quarter. Hedge funds and other institutional investors own 70.58% of the company's stock.

Innovative Industrial Properties Company Profile

Innovative Industrial Properties, Inc is a real estate investment trust (REIT) focused on the acquisition, ownership and management of specialized industrial properties leased to state-licensed operators in the regulated U.S. cannabis industry. The company’s portfolio includes greenhouse facilities, indoor cultivation sites, processing and distribution centers, and other purpose-built properties designed to meet stringent regulatory and operational requirements. By structuring long-term net leases, Innovative Industrial Properties provides its tenants with capital to expand and modernize their operations while maintaining stable, predictable rental income streams.

Founded in 2016 and headquartered in San Diego, California, Innovative Industrial Properties was the first publicly traded REIT in the medical-cannabis sector.

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