No recommendation
No news or research item is a personal recommendation to deal. Hargreaves Lansdown may not share ShareCast's (powered by Digital Look) views.
(Sharecast News) - Jefferies cut its price target on real estate investment trust Life Sciences REIT from 45.0p to 36.0p following a visit to the group's Cambourne Science & Technology Park.
Jefferies said it had chosen to lower its earnings estimates on delayed option to purchase leasing due to political and economic uncertainty from FY24 into FY25, which was a timing issue.
However, Jefferies expects an under-supplied market of high-quality lab space to put upward pressure on rents, with the UK increasingly the "centre of excellence" for European Life Science businesses.
"We capitalise the FY25e covered dividend per share (1.80p) at 5% which gives a 36.0p price target (45.0p) with the divi subsidised out of net asset value and anticipating full cover in FY26," added Jefferies, which reiterated its 'hold' rating on the stock.
Reporting by Iain Gilbert at Sharecast.com
The value of investments can go down in value as well as up, so you could get back less than you invest. It is therefore important that you understand the risks and commitments. This website is not personal advice based on your circumstances. So you can make informed decisions for yourself we aim to provide you with the best information, best service and best prices. If you are unsure about the suitability of an investment please contact us for advice.