Education
About Us
Working with TipRanks
Follow Us
Swiss Prime Site AG (CH:SPSN)
:SPSN
Top Page
Swiss Prime Site AG
(SPSN)
Select Model
Select Model
Rating:68Neutral
Price Target:
CHF147.00
▲(0.20% Upside)
Action:ReiteratedDate:02/07/26
The score is driven mainly by solid financial fundamentals (strong profitability and cash conversion but weaker revenue momentum and meaningful leverage) and a constructive earnings outlook (FFO guidance, low vacancy, and asset-management growth). Technicals are supportive on trend but tempered by overbought signals, while valuation looks relatively expensive given the ~27.9 P/E despite a moderate ~2.56% yield.
Positive Factors
Cash generation ability
FCF/net income >1 and operating cash flow conversion near 1.12 indicate durable cash conversion from property operations. This supports sustainable dividend capacity, re-investment in developments and debt servicing over the medium term, reducing financing risk for capital projects.
Balance sheet stability
A balanced leverage profile (D/E ~0.83) and ~48% equity ratio provide capacity to absorb real estate cycle volatility. This financial headroom supports access to capital, investment in developments and resilience to interest rate shocks, underpinning long-term operational flexibility.
High profitability margins
Very strong gross and net margins reflect high operating efficiency and pricing power in rental and development activities. Sustained margin strength bolsters free cash flow generation and returns on invested capital, supporting value-enhancing development and asset management strategies.
Negative Factors
Declining revenue trend
A negative recent revenue growth rate implies top-line pressure that could persist across leasing and development revenues. Prolonged revenue contraction would constrain organic cash flow growth, limit reinvestment, and raise reliance on asset sales or external financing to sustain distributions.
Concentration on rental and development income
Heavy dependence on rental income and cyclical property development concentrates earnings on tenant demand and property cycle timing. This capital-intensive model remains sensitive to vacancy, leasing rates and construction risks, potentially amplifying earnings volatility across cycles.
Exposure to office and retail assets
Material exposure to office and retail segments creates structural risk as secular demand shifts and e-commerce/remote work trends can pressure occupancy and rents. Long-term weakness in these subsegments could reduce asset values and rental cash flows across the portfolio.
Swiss Prime Site AG (SPSN) vs. iShares MSCI Switzerland ETF (EWL)
Market Cap
CHF11.77B
Dividend Yield2.83%
Average Volume (3M)108.77K
Price to Earnings (P/E)30.6
Beta (1Y)0.14
Revenue Growth-6.88%
EPS Growth90.76%
CountryCH
Employees512
SectorReal Estate
Sector Strength53
IndustryReal Estate - Services
Share Statistics
EPS (TTM)2.72
Shares Outstanding80,234,375
10 Day Avg. Volume87,626
30 Day Avg. Volume108,774
Financial Highlights & Ratios
PEG Ratio12.05
Price to Book (P/B)1.39
Price to Sales (P/S)17.76
P/FCF Ratio32.69
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
CHF117.86Price Target Upside-19.66% Downside
Rating ConsensusModerate Sell
Number of Analyst Covering2
EPS Forecast (FY)4.32
Revenue Forecast (FY)CHF492.52M
Swiss Prime Site AG Business Overview & Revenue Model
Company DescriptionSwiss Prime Site AG, a real estate company, engages in buying and selling, managing, and developing investment properties in Switzerland. The company operates in two segments, Real Estate and Services. The Real Estate segment purchases, sells, leases, and develops properties. The Services segment engages in the real estate related service and retail and asset management business. Swiss Prime Site AG was founded in 1999 and is headquartered in Olten, Switzerland.
How the Company Makes MoneySwiss Prime Site AG generates revenue primarily through rental income from its extensive portfolio of commercial and residential properties. The company leases out office spaces, retail units, and residential apartments, which provides a steady stream of income. Additionally, SPSN engages in property development projects, which can lead to significant capital gains upon completion and sale. The company also benefits from strategic partnerships with various stakeholders in the real estate industry, including construction firms and property management companies, which enhance its operational efficiency and market reach. The focus on sustainable development and energy-efficient properties may also attract premium tenants, further boosting rental yields.
Swiss Prime Site AG Earnings Call Summary
Earnings Call Date:Feb 05, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Aug 20, 2026
Earnings Call Sentiment Positive
The call emphasized multiple positive operational and financial trends: record asset-gathering and AUM (CHF 14.3bn), strong asset-management revenue (+18%), like-for-like rental growth (~2%), record low vacancy (3.7%), comparable EBITDA growth (~3–3.4%), improved financing costs and a strong liquidity position. Lowlights were largely one-off or transitional (Jelmoli and department store closures reducing rental and other income, absolute EBITDA flat/slightly down, and a notable increase in Jelmoli capex to CHF 210m). Management presented these negatives as managed, with comparable metrics excluding one-offs showing clear improvement and an accretive M&A and financing track record. Overall the positives (organic growth, record fund inflows, improved finance metrics, sustainability progress and active deployment pipeline) outweigh the negatives tied to specific redevelopment and retail transitions.Q4-2025 Updates
Positive Updates
Record Assets Under Management and Fund Flows
Assets under management reached a record CHF 14.3 billion; Swiss Prime Site Solutions attracted ~CHF 1.0 billion in new money for asset management and total platform fund flows were CHF 1.3 billion (including CHF 300 million capital increase).
Strong Asset Management Revenue Growth
Asset management top line reached ~CHF 84–85 million, an 18% year-on-year increase, driven primarily by organic growth and higher transaction activity (CHF 1.7 billion transaction volume).
Like-for-Like Growth in Own Portfolio
Like-for-like rental growth of approximately 2% (company cited 2% and 2.6% on comparable basis) demonstrating resilient rent development across core properties.
Record Low Vacancy
Group vacancy reduced to a record low of 3.7% (operational underlying vacancy 3.2%), with management expecting further reductions (potentially below 3%).
Improved Comparable EBITDA and Profitability
Comparable EBITDA increased ~3.4% year-on-year; comparable consolidated EBITDA up ~3% to CHF ~408–410 million. Swiss Prime Site Solutions profit grew by more than 30%.
Per-Share and Net Asset Value Metrics
FFO I per share remained stable at CHF 4.22 (FFO I absolute +3.2% but offset by higher share count); FFO II per share increased ~6% to CHF 4.17; EPRA NTA rose ~2% to CHF 101.40.
Active and Accretive Transaction Activity
Acquisitions: ~CHF 550 million for the group's own portfolio and CHF 1.7 billion in asset management transactions; disposals achieved roughly 5% profit on sales, indicating disciplined trading and capital recycling.
Stronger Balance Sheet and Attractive Financing
Real estate portfolio valuation increased to CHF 13.9 billion (~+1.7–1.8% revaluation ~CHF 220 million); placed almost CHF 800 million in new financings, including first EUR 500 million Eurobond (8x oversubscribed demand of EUR 4.3 billion); average interest cost reduced from ~1.10% to ~0.94%; net LTV for Real Estate at 38.1% (down ~0.2 pp); liquidity reserve ~CHF 1.1 billion.
Sustainability and Green Financing Progress
Progress toward CO2 reduction targets with a further ~10% year-on-year weather-adjusted CO2 reduction; 40% of top-tier buildings eligible for Green Finance Framework; ~CHF 800 million refinanced under Green Finance Framework; Bern 131 delivered low embodied emissions (7.3 kg vs charter ambition ~12 kg) and net-positive energy via PV.
Development Pipeline and Pre-Letting
Major development projects underway: Jelmoli (investment ~CHF 210 million, staggered completion from summer 2028, ~50% pre-let), YOND Campus (investment CHF 150 million, expected +CHF 8 million rental income), Fraumunsterpost refurbishment (CHF 30 million, completion ~summer next year, advanced discussions covering ~2/3 floor space).
Negative Updates
Temporary Rental Income Decline Due to Jelmoli and Retail Closures
Reported rental income decreased ~1.4% (loss of ~CHF 14 million top line) driven by Jelmoli and Fraumunsterpost going temporarily offline and the discontinuation of department store operations; total operating income down ~17% year-on-year due largely to retail effects, though on a comparable basis the platform grew ~2.6% to CHF 540 million.
Absolute EBITDA Slight Decline; Dependence on Comparable Adjustments
EBITDA in absolute terms was roughly unchanged or slightly down (reported -1.2% in absolute numbers), meaning improvement is reliant on comparable adjustments that exclude one-off retail/department store effects.
Jelmoli Renovation Cost Increase
Jelmoli redevelopment cost rose to ~CHF 210 million (including rooftop), materially higher than earlier guidance (~CHF 100–130 million); management cites scope additions and structural work, creating higher capex and raising scrutiny on yield-on-cost (management estimates ~4% yield-on-cost; higher when accounting for prior losses).
Reduction in Retail Income and Other Income
Retail rental income fell to CHF 10 million (reflecting Jelmoli closure) and other non-rental income declined significantly, pressuring total operating income and showing exposure to retail transitions.
Share Count Impact on Per-Share Metrics
Despite absolute FFO growth (~+3.2%), FFO I per share remained unchanged at CHF 4.22 due to higher number of shares from the CHF 300 million capital increase, indicating near-term dilution of per-share metrics from equity issuance.
Short-Term Lease Expiries and WAULT Considerations
Approximately 9% of leases are short-term (near expiry) which investors questioned; management is confident but this represents potential renewal/reversion risk if market conditions shift, though WAULT is 5.3 years on average.
Company Guidance
Management guided FY2026 FFO I per share of CHF 4.25–4.30, a disciplined financing policy with LTV for the real‑estate segment to remain below 39%, and a further reduction in vacancy versus 2025’s record low of 3.7%; for the asset‑management arm they expect ≈CHF 1.0bn additional AUM in 2026 (pushing toward a CHF 60bn AUM target by 2027) while maintaining recurring fees at roughly two‑thirds (~65–66%) of revenues.Swiss Prime Site AG Financial Statement Overview
Summary
Strong profitability and generally high-quality earnings (solid margins and strong free-cash-flow conversion), but offset by weaker/volatile revenue trends (notably a 2025 decline), meaningful ongoing leverage, and softer cash-flow levels vs. 2023.Income Statement
Profitability is very strong, with consistently high gross and net margins and robust EBIT/EBITDA margins across the period. However, the growth profile is weaker: revenue has been volatile and declined in 2025 (annual revenue down ~11% after being roughly flat in 2024), which limits confidence in sustained top-line expansion despite strong earnings levels.74
Positive
Balance Sheet
The balance sheet looks reasonably stable for a real estate business, supported by a solid equity base (equity ~CHF 7.1B vs. debt ~CHF 6.1B in 2025). That said, leverage is meaningful and persistent (debt-to-equity roughly ~0.83–0.87 over time), and returns on equity are moderate (~4%–10%), indicating decent but not exceptional value creation relative to the capital employed.63
Positive
Cash Flow
Free cash flow conversion vs. net income is consistently strong (near 1.0 in most years), which is a positive signal on earnings quality. The main weakness is variability in cash generation year-to-year (operating cash flow and free cash flow decline in 2024 and 2025 vs. 2023), and operating cash flow relative to earnings appears less supportive in 2024–2025 versus earlier periods.67
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 553.39M | 659.81M | 653.98M | 646.58M | 749.50M |
| Gross Profit | 479.10M | 525.48M | 499.89M | 442.36M | 584.84M |
| EBITDA | 410.63M | 521.83M | 147.52M | 368.12M | 387.24M |
| Net Income | 382.47M | 360.25M | 236.02M | 404.43M | 498.89M |
Balance Sheet | |||||
| Total Assets | 14.74B | 13.84B | 13.78B | 13.77B | 13.50B |
| Cash, Cash Equivalents and Short-Term Investments | 32.55M | 24.33M | 22.52M | 22.33M | 116.01M |
| Total Debt | 6.09B | 5.54B | 5.68B | 5.51B | 5.43B |
| Total Liabilities | 7.68B | 7.16B | 7.24B | 7.20B | 7.09B |
| Stockholders Equity | 7.07B | 6.68B | 6.54B | 6.57B | 6.41B |
Cash Flow | |||||
| Free Cash Flow | 300.66M | 393.48M | 421.94M | 312.25M | 345.23M |
| Operating Cash Flow | 300.73M | 403.79M | 430.58M | 323.71M | 366.07M |
| Investing Cash Flow | -535.69M | 82.88M | -292.68M | -216.32M | -110.66M |
| Financing Cash Flow | 243.24M | -484.77M | -137.04M | -200.85M | -283.51M |
Swiss Prime Site AG Technical Analysis
Positive
146.70
Price Trends
129.34
Positive
122.22
Positive
118.28
Positive
Market Momentum
3.96
Negative
79.96
Negative
79.08
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:SPSN, the sentiment is Positive. The current price of 146.7 is above the 20-day moving average (MA) of 137.31, above the 50-day MA of 129.34, and above the 200-day MA of 118.28, indicating a bullish trend. The MACD of 3.96 indicates Negative momentum. The RSI at 79.96 is Negative, neither overbought nor oversold. The STOCH value of 79.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CH:SPSN.
Swiss Prime Site AG Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
72 Outperform | CHF3.88B | 17.77 | 9.87% | 3.45% | 6.79% | 196.21% | |
72 Outperform | CHF643.50M | 18.46 | 6.89% | 3.61% | 3.38% | 111.64% | |
70 Outperform | CHF906.66M | 16.33 | 7.56% | 2.16% | 27.85% | 89.97% | |
68 Neutral | CHF11.77B | 30.60 | 5.24% | 2.83% | -6.88% | 90.76% | |
65 Neutral | $2.17B | 12.19 | 3.79% | 4.94% | 3.15% | 1.96% | |
63 Neutral | CHF7.60B | 18.61 | ― | 2.74% | -1.14% | 46.84% |
* Real Estate Sector Average
CH:SPSN
Swiss Prime Site AG
146.70
45.78
45.37%
CH:PSPN
PSP Swiss Property AG
165.70
36.39
28.14%
CH:ALLN
Allreal Holding AG
236.00
68.55
40.94%
CH:PLAN
PLAZZA AG
438.00
90.85
26.17%
CH:WARN
Warteck Invest AG
2,080.00
214.95
11.53%
CH:FREN
Fundamenta Real Estate AG
19.00
2.59
15.78%
Swiss Prime Site AG Corporate Events
Swiss Prime Site Delivers Stable 2025 FFO and Record Asset Management Growth After Strategic Realignment
Feb 5, 2026
Swiss Prime Site reported a stable cash-effective result for 2025, with Funds from Operations I holding at CHF 4.22 per share despite a decline in reported operating income caused by the planned closure of the Jelmoli retail business and temporary rent losses from major refurbishments. The group offset these headwinds through cost reductions, efficiency gains and resilient rental income, growing FFO I by 3.2% in absolute terms and slightly increasing underlying EBITDA on a comparable basis. Its own real estate portfolio rose 6.6% to CHF 13.9 billion, supported by more than CHF 300 million from a February 2025 capital increase that was fully deployed into prime properties in Zurich and the Lake Geneva region, driving higher expected rental income from 2026 and improving portfolio quality, vacancy and lease duration metrics. Assets under management in the group’s Asset Management arm increased to CHF 14.3 billion, fuelled by CHF 1.0 billion of record new money and culminating in record segment income of CHF 83.6 million, reinforcing Swiss Prime Site’s position as a leading independent real estate asset manager and underpinning a proposed dividend increase to CHF 3.50 per share.
The most recent analyst rating on (CH:SPSN) stock is a Buy with a CHF148.00 price target. To see the full list of analyst forecasts on Swiss Prime Site AG stock, see the CH:SPSN Stock Forecast page.
Swiss Prime Site Strengthens Zurich Portfolio with New Acquisition
Dec 3, 2025
Swiss Prime Site AG has acquired a modern office property in Zurich-West, fully rented by SIX Group Services AG, marking the last significant investment from its recent capital increase. This acquisition, along with previous purchases in Geneva and Lausanne, is expected to significantly boost the company’s rental income and strengthen its market position in Zurich, underscoring its strategy of enhancing portfolio value through strategic acquisitions.
The most recent analyst rating on (CH:SPSN) stock is a Hold with a CHF118.00 price target. To see the full list of analyst forecasts on Swiss Prime Site AG stock, see the CH:SPSN Stock Forecast page.
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.