CP Invest: Berenberg starts with "buy", sees accelerating growth in senior care

Care Property Invest NV

04/05/2020 07:45

** Berenberg initiates the coverage of Belgian real estate
investor Care Property Invest  CPINV.BR  with a "buy" rating,
citing a distinctive, low-risk portfolio of assisted-living
apartments and senior homes and strong earnings visibility 
    ** "We expect growth acceleration, further improvements in
the cost of debt and operation margin, and optimised capital
efficiency to lead to a 12% EPS (EPRA/FFO) CAGR and an 11% DPS
CAGR by 2023E," the broker says
    ** The brokerage also notes the company's healthy balance
sheet and strong cash generation
    ** The healthcare sector fundamental are still robust, with
a structural undersupply of quality beds, it adds
    ** Berenberg sets its price target for the stock at 31.5
euros, what implies around 17% upside to current price level

 ((flora.gomez@thomsonreuters.com))