Berenberg initiates Xior with 'buy', sees growing demand

Xior Student Housing NV

02/02/2022 07:31

** Berenberg starts coverage of Belgium-based company Xior 
 XIOR.BR  with rating "buy" and TP of EUR 59.00, sees growing
demand
    ** The company, which operates in the residential real
estate sector with offers mainly for students, is the only
listed student housing pure play in continental Europe,
according to Berenberg 
    ** With an exposure in the Netherlands, Belgium, Spain and
Portugal, it points out a grown portfolio to about 18,000 units
valued at 2.2 billion euros ($2.48 billion)
    ** The brokerage sees the student housing demand to increase
further, on the back of a shortage in affordable housing in
European metropolitan regions as well as a student number set to
grow at a steady pace
    ** "We expect Xior to maintain its growth momentum thanks to
 a combination of external growth and the realisation of the
development pipeline", it adds
    ** Berenberg sees for Xior an annual growth rate of 19.5%,
20% and 19.5% pa respectively in 2021-25 and expects adjusted
net asset value per share (EPRA NTA) to improve by 14% to EUR 42
over the same period, with the payout ratio of 80% maintained
    ** Out of 6 analysts that cover Xior, five rate the stock
"strong buy" or "buy"​ and one analyst rates "hold"
    
 

($1 = 0.8876 euros)

 (Reporting by Clement Martinot)
 ((clement.martinot@tr.com))