** Handelsbanken upgrades six Swedish real estate companies to "buy" from "hold" as it sees "plenty" of upside from the sector's share price underperformance
** It says the sector decline of 16% since October 2024 has been unwarranted and mostly affected by volatile US-rates
** "Lower rates [in Sweden], an improving macro economy and more jobs all fit late-cyclical real estate", it says
** It adds that residential property companies should offer an improved risk/reward ratio due to expected rent indexation in 2025 and 2026
** It lists Dios
** High office vacancies in Stockholm bring uncertainty to Fabege
** It flags however that Hufvudstaden has shown relative operational strength
COMPANY | NEW RATING | OLD RATING | NEW TP | OLD TP |
---|---|---|---|---|
Atrium Ljungberg | BUY | HOLD | no change | SEK 319 |
Platzer | BUY | HOLD | no change | SEK 136 |
Sagax | BUY | HOLD | no change | SEK 355 |
NP3 | BUY | HOLD | SEK 355 | SEK 325 |
Heba | BUY | HOLD | SEK 47 | SEK 46 |
John Mattson | BUY | HOLD | no change | SEK 86 |
(Reporting by Anna Chaberska)
((Anna.chaberska@thomsonreuters.com))
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