The Globe and Mail reports in its Wednesday, Aug. 20, edition that BMO Capital Markets analyst Michael Markidis has commenced coverage on GO Residential REIT with an "outperform" recommendation and a $15 unit target (all figures U.S.). The Globe's David Leeder writes in the Eye On Equities column that Mr. Markidis says in a note: "Our positive thesis is based on the high quality of GO's trophy asset base, strong prospects for near-term organic growth, significant insider ownership and deep discount to NAV. Political uncertainty and capital structure (above-average leverage and below-market debt) are two potential risks to our view. We believe the latter is partly mitigated by GO's conservative payout and relatively limited capex profile."
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