Gramercy Capital up on higher Q3 profit
Gramercy Capital Corp. (NYSE: GKK) shares are rising after the commercial real estate finance company announced after Wednesday’s closing that third-quarter net income jumped to $94.8 million, or $3.43 per share, above analyst estimates of $2.75 per share and from $14.5 million, or $0.54 per share, a year earlier.
The New York City-based firm’s earnings include a $92.2 million gain on the sale of Gramercy’s 45% interest in a Manhattan property. The company said it expects to declare a special dividend to shareholders during the fourth quarter as a result of the sale.
This morning, the investment bank UBS AG (NYSE: UBS) initiated coverage on Gramercy with a “buy” rating and a $29 price target.
In morning trading, GKK shares are up 6.92%, or $1.75, at $27.05. Over the last 52 weeks, shares have ranged from $20.03 to $38.30.
