Event in Progress:
Discover the latest content that has just been published on Research Tree
Given the large share of creditworthy tenants on long leases and limited exposure to the industries most affected by COVID-19, a liquidity reserve covering the ST debt by 2.4x and continued solid access to funding as well as an overall strong financial position, the downside risk is in our view limited. While the market outlook is still uncertain, Entra continues to show strength by paying out dividends and we find the current trading discount unwarranted. Buy reiterated.
Companies: Entra ASA
Rental income and NOI more or less in line
DPS of NOK 2.40 for H1/20 (H1/19: NOK 2.30)
Still limited COVID-19 impact and the balance sheet continues to be solid
We believe the share will trade up slightly today
With a solid tenant base on long leases (58% of the rental income coming from public tenants, less than 10% stemming from industries most affected by the coronavirus and below 2% related to oil & gas), a solid balance sheet with a liquidity reserve covering the ST debt by >3x and continued access to both the bank- and bond market, Entra is still on steady ground. We find the 3.6% divi yield attractive and reiterate our Buy recommendation, but lower our TP to NOK 158 (167).
Rental income and NOI in line…
…but EPS below as Entra opted not to record any property value changes
Limited impact by COVID-19 and strong financial position
Valuation is attractive
Is sticking to proposed dividend
Limited COVID-19 impact, but previous outlook statement will be revised
Strong financial position
Positive, although in line with our expectations
With flexible properties in attractive locations, a strong tenant base with long leases and a solid financial position with a NOK 6.6bn liquidity reserve, we believe Entra is well positioned to handle the current turbulence now prevalent in the property sector and financial markets. Despite the recent share price uptick, Entra is still trading at a 22% EPRA/NAV discount which is unwarranted in our view. TP down to NOK 167 (170), recommendation up to Buy (Hold).
Research Tree provides access to ongoing research coverage, media content and regulatory news on Entra ASA.
We currently have 1 research reports from 1
We take a positive view of Legal & General’s FY 22 results. Despite the tough environment, the Group managed to outperform expectations – something which was hardly a given for such a large asset manager. With L&G being widely exposed to the UK economy, it might be a call one does not want to make but the firm’s business remains one of spreads – as long as a default does not occur. We remain positive but concede that L&G embeds more risk than we had assumed.
Companies: Legal & General Group Plc
M&G’s FY 22 results were strong. It was also the opportunity for new CEO Andrea Rossi to depict clearly his strategy for the upcoming months. While the impetus is clear and the objectives are ambitious, we rather believe in a structural improvement of the business (driven by the higher rates environment) than a commercial one.
Companies: M&G Plc
6 March 2023
Status of this Note and Disclaimer
This document has been issued to you by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. This document has no regard for the specific investment objective
Companies: SEE IMM SAR POS CRW ASTO GROC
Companies: Alpha Group International PLC
Critical Metals is a British company that has acquired a 70% interest in a producing Molulu copper mine in the Katanga region of the DRC.
The focus of the company is in the natural resources sector in Africa focused on the strategic or critical metals as defined by the United States Government Survey list in Open-File Report 2018-1021 and the Critical Raw Minerals as defined by the European Commission.
The main catalysts for 2023 will be the announcement of the first sales of copper ore. This i
Companies: Critical Metals Plc
14 March 2023
Status of this Note and Disclaimer
This document has been issued to you by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. This document has no regard for the specific investment objectiv
Companies: ONEM SYM PCIP ITM AAU EYE TUNE YU/ EQT ONEM
Companies: XPS Pensions Group Plc
Founded in 1897, H&T is the UK’s leading pawnbroker, with 269 stores, and it has gained a strong pawnbroking market share in recent years. While it is growing ancillary gold buying and forex products, its core is pawnbroking and related retail services. As other small-sum, short-term lenders have withdrawn, H&T’s well-capitalised, low-risk proposition has unique growth opportunities, with the pledge book up over 50% in 2022. The lessening of legitimate competition at a time of heightened demand
Companies: H&T Group plc
Hardman & Co
The January trading statement announced NAV (662p per share), total NAV return (24%), NAV growth driven by EBITDA growth (65%), modest multiple expansion (35%), investments (£271m), realisations (£244m), available finance, including cash (£210m), and commitments (£929m). The detailed results announcement highlighted i) 2022 exits, on average, 70% above carrying value, ii) 22% investee company average earnings growth, iii) weighted average EV/EBITDA of 15.9x, below listed market levels, iii) a PE
Companies: Oakley Capital Investments Ltd Registered
Income quality stands out here: lfl rental growth continues, occupancy is full and rental collection is strong. The asset class is demonstrating the ability to perform in challenging conditions, reflecting the structural undersupply of high quality PRS homes in the UK. Pre-announced, EPRA NAV was largely unchanged at 117p in H1 with no yield compression and all rental earnings distributed. We make no changes to forecasts at this stage. We see an attractive total return with the shares trading at
Companies: PRS REIT Plc
Singer Capital Markets
NAHL generated growth in both its Personal Injury (PI) and Critical Care divisions, the former despite a continuation of subdued market conditions – hence market share gains. Results were in line with our forecasts but with a significant reduction in net debt which is especially welcome in the current high interest rate environment. Group strategy remains intact and in PI that means building the embedded value of future cash flows in NAL while flexing enquiry placements to maximise cash generati
Companies: NAHL Group Plc
HgCapital Trust (HGT) posted a 5.4% NAV total return (TR) in FY22, mostly assisted by continued good earnings momentum (revenue and EBITDA across the top 20 holdings increased in 2022 by 30% and 25%, respectively) and the average 28% uplift to end-2021 carrying value achieved on exits. This was only partly offset by lower multiples and higher net debt across HGT’s portfolio (with net debt to last 12-month EBITDA for the top 20 holdings at 8.0x at end-2022). HGT’s recent balance sheet measures st
Companies: HGCapital Trust PLC
The quarterly underlying operating performance proved better than expected. However, the group’s updated guidance is, at best, in line with consensus forecasts as management expects net interest margin pressure as soon as this year.
Companies: Lloyds Banking Group plc
LXi REIT’s (LXi’s) well-executed merger with Secure Income REIT (SIR) brought together two complementary businesses, adding scale at low cost and retaining LXi’s successful diversified, inflation-protected, long-income strategy. We expect this approach to deliver visible income and DPS growth, including merger cost savings, and mitigate market-wide pressure on capital values. Meanwhile, good progress is being made with the near-term priorities of debt refinancing, capital recycling, and lease re
Companies: LXI REIT PLC
India Capital Growth’s (IGC’s) adviser, Gaurav Narain, says that at a time when many economies and equity markets are struggling, there are many reasons to be optimistic about the outlook for the Indian economy. Although down in sterling absolute terms during the last 12 months, the Indian market made progress in local currency terms and has performed well relative to its emerging market peers, benefitting from a good run in the second half of 2022 from which IGC also benefitted. Despite the rec
Companies: India Capital Growth Fund Limited