Land Securities upgraded to Hold from Underperform at Jefferies

Jefferies analyst Michael Prew upgraded Land Securities (LDSCY) to Hold from Underperform with a price target of 525 GBp, up from 515 GBp. The firm says real estate investment trust’s cost of capital has risen from 8.1% to 10% year-to-date, but real estate returns are 3% weighed down by offices, “so portfolios aren’t earning their keep.” As such, the analyst is focusing on EBITDA ratios in its stock selection with net asset values becoming “unreliable with the slump in investment trade.”