Citi says Lendlease's build-to-rent deal will benefit co's earnings

Lendlease

09/10/2024 23:05

** Analysts at Citi say Australia's Lendlease Group  LLC.AX 
will benefit from the build-to-rent deal with Japanese company
Nippon Steel Kowa Real Estate 
    ** Lendlease enters into partnership with Nippon Steel Kowa
Real Estate for a build-to-rent apartment development in
Melbourne
    ** "We estimate the deal to contribute to about A$25
million$ (16.78 million)-A$30 million of pre-tax earnings to
LLC," Citi says
    ** Brokerage adds the deal may contribute to co's FY26
earnings
        ** Citi maintains LLC's "buy" rating, hikes PT to A$8
  
    ** Two of six analysts rate LLC stock "buy" or higher, two
"hold" and two "sell" or lower; their median PT is A$7.20 – LSEG
data
    ** As of last close, stock down nearly 7% YTD

    
($1 = 1.4899 Australian dollars)

 (Reporting by Rajasik Mukherjee in Bengaluru)
 ((Rajasik.Mukherjee@thomsonreuters.com;))