Banco Sabadell has provided a final update to its outlook for Neinor Homes, which highlights an improvement in the company’s expected pricing performance in the coming months. The banking entity increased the price target given to a share of the property company by 19%, to 17.48 euros, which represents a potential of 18% ahead of the 14.48 euros currently quotedThese in turn are levels that the company has not reached since December 2018.
This year is particularly good for real estate: it has accumulated an annual increase of 37% in the stock market. One of the latest motivations for its listing comes from the “latest agreements on co-investment”, as the financial institution explains, after the repurchase of Habitat at the end of September. Sabadell explains that after these agreements they were tasked with “revising upwards our margin estimates for the coming years given the good outlook for the sector”, despite the fact that “the stock is no longer cheap after have recorded a 100% return since then. announced changes to the strategic plan in March 2023“.
For these reasons, The analysis house clearly noted that “it still has progress to make and is very supported by the payment of dividends”.since Neinor Homes hopes to “distribute 250 million euros (3.34 euros per share) in the next 18 months”, which represents a dividend yield of 23%. The company’s next dividend will be 0.5 euros per share, with a yield of 4%, expected this Tuesday October 15.
This news was particularly positive, allowing the company to achieve its objective set for 2027 in advance: invest 1,000 million euros in new purchasesaccording to the update of its 2023-2027 Strategic Plan. The market is now awaiting a revision of its forecasts for the next three years, particularly in the field of co-investment.
Analysts are convinced by this company, since Neinor does not have sell recommendations according to Bloomberg, only buy and hold, but stands out Oddo BHF, which is the company that has the best valuation of its shares. The analytics company began monitoring the real estate company at the end of July and earlier this month upgraded the price target it gives to the company’s shares from 15.9 to 17.9 euros, or 12.6 %. This represents a potential of 24% for the coming months.
