Jonathan Kownator, an analyst from Goldman Sachs, maintained the Hold rating on Aroundtown SA. The associated price target remains the same with €3.20.
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Jonathan Kownator has given his Hold rating due to a combination of factors impacting Aroundtown SA’s financial performance. The company’s recent financial results showed a slight underperformance, with FFO1 per share coming in 2% below Goldman Sachs estimates, primarily due to higher-than-expected property operating expenses. Additionally, the company’s EPRA LTV increased, indicating a higher level of leverage, which could pose risks if not managed carefully.
Despite these challenges, Aroundtown SA has made strategic moves to improve its financial standing, such as refinancing its hybrid stack, which is expected to positively impact earnings. The company’s revenue was largely in line with expectations, and management’s guidance for FFO1 per share aligns with consensus estimates. These mixed signals suggest a cautious approach, leading to the Hold rating, as the potential for substantial gains appears limited in the near term.
AT1’s price has also changed slightly for the past six months – from EUR2.664 to EUR2.914, which is a 9.38% increase.