Citi sets 'buy' rating on Growthpoint Properties Australia

Growthpoint Properties Australia

22/02/2024 20:40

** Citi sets "buy" rating on Growthpoint Properties
Australia  GOZ.AX , sets PT at A$2.70
    ** GOZ shares ended 0.4% higher on Thursday
    ** Brokerage says share price discount to net tangible
assets of 40% and FY24E dividend yield of 8.5% creates a value
underpin, while gearing remains higher than peers at 38.5%
    ** Company's FY24 distribution guidance at 19.3 cps in line
with Citi and VA consensus expectations
    ** However, investors remain sceptical of office
fundamentals globally differentiating investments on quality and
location, which may result in higher discounts to NTA for
exposed shares until sentiment shifts more positively - Citi
    ** Three of five analysts rate the stock "buy" or higher,
two "hold"; their median PT is A$2.70 – LSEG data
    ** Stock down ~2% YTD

    
  

 (Reporting by Neha Soni in Bengaluru)
 ((Neha.Soni@thomsonreuters.com))