This sustainability-focused real estate stock can rally more than 80%, Baird says

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This sustainability-focused real estate stock can rally more than 80%, Baird says
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Despite a challenging macroeconomic outlook, this REIT's portfolio diversity and strong financial positioning make it poised for success, according to Baird.

A proven track record of success gives Hannon Armstrong a leg up over its peers, according to Baird. The firm reiterated its outperform rating of Hannon Armstrong on Tuesday, naming it a bullish fresh pick. Baird did lower its price target on the stock to $28 from $44. However, the new forecast implies roughly 81% upside. Organized as a REIT, Hannon Armstrong specializes in providing financing for sustainable infrastructure projects in the form of debt and equity capital.

mountain chart "This frustration and bearish sentiment for broader renewables sector growth outlook in the near term have compounded weakness and led to shares being oversold in our view," he wrote. "Despite the uncertain outlook from others in the space, we believe HASI is set up for a strong Q3 and see a clean quarter as a potential catalyst.

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