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Land Securities Group plc REIT (GB:LAND)
LSE:LAND
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Land Securities Group plc REIT (LAND) AI Stock Analysis

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GB:LAND

Land Securities Group plc REIT

(LSE:LAND)

Rating:69Neutral
Price Target:
648.00p
▲(9.92%Upside)
Land Securities Group plc scores well due to strong financial performance, attractive valuation, and positive corporate events. While technical indicators suggest some short-term weaknesses, the overall positive sentiment from the earnings call and strategic initiatives support long-term growth potential.
Positive Factors
Earnings Growth
Management is increasing EPS guidance, indicating that the company is well placed to deliver growth and attractive returns.
Share Re-rating
The 8-10% total accounting returns Landsec has been guiding to suggest that a further share re-rating is likely, as the NAV trough now seems behind.
Negative Factors
Share Valuation
LandSec's shares are trading at a 33% discount to the end-September NTA announced today, aligned with peer British Land.

Land Securities Group plc REIT (LAND) vs. iShares MSCI United Kingdom ETF (EWC)

Land Securities Group plc REIT Business Overview & Revenue Model

Company DescriptionLand Securities Group plc, operating as a Real Estate Investment Trust (REIT), is one of the largest commercial property development and investment companies in the United Kingdom. The company specializes in owning, managing, and developing a diverse portfolio of properties, including office spaces, retail outlets, and mixed-use developments across prime locations in the UK, primarily in London and other major urban centers. With a focus on sustainability and innovation, Land Securities aims to create value through strategic property management and development projects.
How the Company Makes MoneyLand Securities Group plc primarily generates revenue through rental income from its extensive portfolio of commercial properties, which includes offices, retail spaces, and mixed-use developments. The company leases these properties to a variety of tenants, ranging from multinational corporations to retail chains, ensuring a steady stream of income. Additionally, Land Securities earns money through property development activities, where it undertakes projects to construct new buildings or renovate existing ones, subsequently leasing or selling these properties for profit. The company also benefits from property value appreciation, which can enhance its asset base and provide capital gains. Strategic partnerships, such as joint ventures with other real estate developers or financial institutions, can also contribute to its revenue by sharing risks and leveraging combined expertise. Land Securities' focus on prime locations and sustainable building practices further enhances its ability to attract high-quality tenants and investors, bolstering its income potential.

Land Securities Group plc REIT Earnings Call Summary

Earnings Call Date:May 16, 2025
(Q4-2025)
|
% Change Since: -0.38%|
Next Earnings Date:Nov 18, 2025
Earnings Call Sentiment Positive
The earnings call reflects a positive overall sentiment, with strong operational performance and strategic investments driving growth. However, there are challenges related to rising debt levels, finance lease expiries, and interest costs that need to be addressed.
Q4-2025 Updates
Positive Updates
Strong Operational Performance
Landsec reported high like-for-like income growth across both London and retail sectors, which constitute 83% of the business. Like-for-like income growth was up 5%, with uplifts on relettings and renewals in retail and London rising to 8%.
Positive EPS Growth Outlook
The outlook for EPS growth in the near term is positive, with an expected 20% growth in EPS over the next five years. This is despite a projected 10% EPS headwind from rising interest costs and a finance lease expiry.
Record Occupancy Levels
Occupancy increased by 100 basis points to 97.2%, reflecting strong demand for high-quality spaces in both London and major retail portfolios.
Strategic Investments in Retail
Invested over GBP600 million into top retail destinations Liverpool ONE and Bluewater, while selling around GBP655 million of assets, mostly in subscale sectors.
Dividend Increase
Dividend increased by 2%, in line with guidance, and NTA per share increased by 1.7%, resulting in a 6.4% return on equity.
Negative Updates
Rising Net Debt and Leverage
Net debt increased due to acquisitions, and the loan-to-value ratio is now just over 38%. Net debt to EBITDA is at 7.7 times, slightly below the target of 8 times.
Challenges in Predevelopment Assets
Significant capital is tied up in predevelopment assets, yielding only around 1%, prompting a strategic decision to release around half of this capital over the next one to three years.
Impact of Finance Lease Expiry
The expiry of finance lease at Queen Anne's Mansions is expected to reduce earnings by around GBP20 million.
Headwinds from Rising Interest Costs
Rising interest costs pose a 10% headwind to EPS growth over the next five years.
Company Guidance
During the call, Landsec outlined several metrics pointing to a positive outlook for the company. They reported a 5% overall like-for-like income growth, with London and retail contributing significantly, covering 83% of the business. Occupancy rose by 100 basis points to 97.2%, and the portfolio value increased by 1.1%, driven by a 4.2% growth in estimated rental value (ERV). Despite facing a 10% EPS headwind from rising interest costs, the company expects a 20% EPS growth over the next five years. Current EPS grew by 0.4%, exceeding initial guidance, and dividends increased by 2%. Landsec aims for a net debt to EBITDA of less than 8 times and maintains a loan-to-value ratio of around the mid-30s, with the current LTV at just over 38%. The strategic focus includes a capital rotation into high-yielding retail and residential sectors, targeting a 30% EPS growth by 2030. Operational efficiencies are projected to reduce overheads by 23% over four years, contributing further to EPS growth.

Land Securities Group plc REIT Financial Statement Overview

Summary
Land Securities Group plc demonstrates consistent revenue growth and improved profitability margins. The balance sheet is stable with a healthy equity base, but increased debt levels warrant caution. Cash flows remain robust, providing a solid foundation for operational liquidity, despite some fluctuations in profitability and operational efficiency.
Income Statement
68
Positive
Land Securities Group plc has demonstrated consistent revenue growth, with a notable increase in Total Revenue from 2022 to 2025. The Gross Profit Margin and Net Profit Margin have improved significantly, indicating enhanced profitability. However, the fluctuations in EBIT and EBITDA margins suggest some instability in operational efficiency, with negative figures in 2024 impacting overall performance.
Balance Sheet
70
Positive
The company's Debt-to-Equity ratio shows a manageable level of leverage, supported by strong equity levels. The Return on Equity has improved, reflecting better profitability. The Equity Ratio remains healthy, indicating financial stability. However, the increase in total debt from 2024 to 2025 could pose potential risks if not managed effectively.
Cash Flow
60
Neutral
Operating Cash Flow has been positive and relatively stable, with a consistent ability to generate Free Cash Flow despite fluctuations in capital expenditures. The Free Cash Flow to Net Income ratio indicates efficiency in converting income to cash flow, although the overall growth rate of Free Cash Flow has been mixed, showing a decline in 2025 compared to 2024.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue832.00M824.00M791.00M687.00M635.00M
Gross Profit510.00M500.00M587.00M541.00M474.00M
EBITDA511.00M-231.00M464.00M414.00M308.00M
Net Income396.00M-319.00M-619.00M869.00M-1.39B
Balance Sheet
Total Assets11.62B10.66B10.97B12.89B10.99B
Cash, Cash Equivalents and Short-Term Investments39.00M78.00M46.00M150.00M15.00M
Total Debt4.55B3.78B3.54B4.55B3.52B
Total Liabilities5.09B4.22B3.89B4.90B3.78B
Stockholders Equity6.51B6.40B7.00B7.92B7.21B
Cash Flow
Free Cash Flow93.00M212.00M254.00M361.00M31.00M
Operating Cash Flow256.00M338.00M356.00M403.00M249.00M
Investing Cash Flow-383.00M-272.00M820.00M-625.00M318.00M
Financing Cash Flow88.00M-29.00M-1.28B362.00M-1.91B

Land Securities Group plc REIT Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price589.50
Price Trends
50DMA
605.59
Negative
100DMA
578.92
Positive
200DMA
572.11
Positive
Market Momentum
MACD
-6.96
Negative
RSI
46.65
Neutral
STOCH
78.92
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:LAND, the sentiment is Neutral. The current price of 589.5 is below the 20-day moving average (MA) of 593.68, below the 50-day MA of 605.59, and above the 200-day MA of 572.11, indicating a neutral trend. The MACD of -6.96 indicates Negative momentum. The RSI at 46.65 is Neutral, neither overbought nor oversold. The STOCH value of 78.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:LAND.

Land Securities Group plc REIT Peers Comparison

Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
82
Outperform
£4.51B11.308.66%621.12%122.74%60.58%
73
Outperform
£3.89B8.269.95%351.57%7.75%276.67%
73
Outperform
£377.27M9.399.14%737.10%7.81%
69
Neutral
£4.38B10.986.13%563.11%0.97%
68
Neutral
$415.03M11.597.04%4.71%-1.23%
65
Neutral
£3.60B10.246.14%632.98%-20.83%
64
Neutral
$6.87B17.44-1.93%6.95%4.65%-24.33%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:LAND
Land Securities Group plc REIT
589.50
3.46
0.59%
GB:UTG
Unite Group plc
786.00
-96.26
-10.91%
GB:CREI
Custodian REIT
81.40
9.42
13.09%
GB:LMP
LondonMetric Property
193.20
10.42
5.70%
GB:BLND
British Land Company plc
360.20
-10.00
-2.70%
GB:PCTN
Picton Property Income
79.70
12.11
17.92%

Land Securities Group plc REIT Corporate Events

Shareholder MeetingsStock Buyback
Land Securities Group PLC Reports Successful AGM with Strong Shareholder Support
Positive
Jul 10, 2025

Land Securities Group PLC announced the successful passage of all resolutions at its Annual General Meeting, held on July 10, 2025. The resolutions included the approval of the 2025 Annual Report, the election and re-election of directors, and the authorization for the company to make market purchases of its own shares. The high approval rates for resolutions indicate strong shareholder support, which could positively impact the company’s governance and strategic initiatives. The meeting saw a 79.31% turnout, reflecting active shareholder engagement.

The most recent analyst rating on (GB:LAND) stock is a Buy with a £750.00 price target. To see the full list of analyst forecasts on Land Securities Group plc REIT stock, see the GB:LAND Stock Forecast page.

Executive/Board ChangesBusiness Operations and Strategy
Land Securities Executives Increase Shareholdings in Strategic Move
Positive
Jul 7, 2025

Land Securities Group PLC announced transactions involving its Chief Executive Officer, Mark Allan, and Chief Financial Officer, Vanessa Simms, as part of the company’s Share Incentive Plan. Both executives acquired shares through monthly purchases and awards, reflecting their ongoing commitment to the company’s growth and alignment with shareholder interests. These transactions, conducted on the London Stock Exchange, underscore the leadership’s confidence in the company’s strategic direction and potential for long-term value creation.

The most recent analyst rating on (GB:LAND) stock is a Buy with a £750.00 price target. To see the full list of analyst forecasts on Land Securities Group plc REIT stock, see the GB:LAND Stock Forecast page.

Regulatory Filings and Compliance
Land Securities Updates Voting Rights and Capital Structure
Neutral
Jul 1, 2025

Land Securities Group PLC has announced its updated voting rights and capital structure as of June 30, 2025. The company reports an issued ordinary share capital of 751,732,462 shares, with 6,789,236 shares held in Treasury, which do not carry voting rights or dividend entitlements. Consequently, the total number of voting rights stands at 744,943,226. This information is crucial for shareholders to determine their notification obligations under the Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:LAND) stock is a Buy with a £750.00 price target. To see the full list of analyst forecasts on Land Securities Group plc REIT stock, see the GB:LAND Stock Forecast page.

Executive/Board ChangesBusiness Operations and Strategy
Land Securities Grants Share Options to Executive Directors
Positive
Jun 26, 2025

Land Securities Group PLC announced that its Executive Directors, Mark Allan and Vanessa Simms, have been granted options over the company’s shares under the Omnibus Share Plan Rules 2024. These options are part of the Deferred Share Bonus Award and Performance Share Award schemes, which are contingent upon continued employment and the company’s performance in areas such as shareholder return and ESG targets. This move aligns with the company’s strategic focus on incentivizing leadership to drive long-term value and sustainability, potentially impacting its market positioning and stakeholder interests.

The most recent analyst rating on (GB:LAND) stock is a Buy with a £750.00 price target. To see the full list of analyst forecasts on Land Securities Group plc REIT stock, see the GB:LAND Stock Forecast page.

Executive/Board ChangesBusiness Operations and Strategy
Land Securities Executives Engage in Share Incentive Transactions
Positive
Jun 5, 2025

Land Securities Group PLC announced transactions involving its Chief Executive Officer, Mark Allan, and Chief Financial Officer, Vanessa Simms, under the company’s Share Incentive Plan. Both executives participated in the monthly purchase of partnership shares and were awarded matching shares, reflecting their ongoing commitment to the company’s growth and alignment with shareholder interests. These transactions, conducted on the London Stock Exchange, underscore the company’s strategic initiatives to enhance stakeholder value.

The most recent analyst rating on (GB:LAND) stock is a Buy with a £750.00 price target. To see the full list of analyst forecasts on Land Securities Group plc REIT stock, see the GB:LAND Stock Forecast page.

Shareholder MeetingsFinancial DisclosuresRegulatory Filings and Compliance
Land Securities Publishes 2025 Annual Report and AGM Notice
Neutral
Jun 3, 2025

Land Securities Group PLC has published its 2025 Annual Report and Notice of Annual General Meeting (AGM), which are now available to shareholders and have been submitted to the National Storage Mechanism for inspection. The AGM is scheduled for 10 July 2025, and shareholders are encouraged to attend in person or submit questions in advance. This announcement underscores the company’s commitment to transparency and shareholder engagement, aligning with regulatory requirements and reinforcing its position in the real estate sector.

The most recent analyst rating on (GB:LAND) stock is a Buy with a £750.00 price target. To see the full list of analyst forecasts on Land Securities Group plc REIT stock, see the GB:LAND Stock Forecast page.

Regulatory Filings and Compliance
Land Securities Group PLC Updates on Voting Rights and Share Capital
Neutral
Jun 2, 2025

Land Securities Group PLC announced that as of May 30, 2025, its issued ordinary share capital consisted of 751,732,064 shares, with 6,789,236 shares held in Treasury, which do not carry voting rights or dividend entitlements. Consequently, the total number of voting rights available to shareholders is 744,942,828, a figure that stakeholders can use to assess their shareholding interests under the Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:LAND) stock is a Buy with a £750.00 price target. To see the full list of analyst forecasts on Land Securities Group plc REIT stock, see the GB:LAND Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
BlackRock Adjusts Stake in Land Securities Group PLC
Neutral
May 19, 2025

Land Securities Group PLC, a UK-based real estate investment trust, has announced a change in major holdings. BlackRock, Inc., a US-based investment management corporation, has adjusted its voting rights in Land Securities Group PLC, now holding 10.32% of the total voting rights. This change reflects BlackRock’s continued strategic interest in the company, potentially impacting the company’s governance and shareholder dynamics.

The most recent analyst rating on (GB:LAND) stock is a Buy with a £750.00 price target. To see the full list of analyst forecasts on Land Securities Group plc REIT stock, see the GB:LAND Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Landsec Reports Strong Growth and Strategic Investment Plans for 2025
Positive
May 16, 2025

Landsec reported strong operational results for the year ending March 31, 2025, with a 5.0% increase in like-for-like net rental income, boosting earnings and portfolio valuation. The company plans to invest £1bn in major retail and establish a £2bn residential platform by 2030, funded by rotating £3bn of capital from offices and non-core assets. This strategy aims to ensure sustainable income and EPS growth, with a projected 20% EPRA EPS growth potential by FY30. Financial highlights include a profit before tax of £393m and a 6.4% return on equity, alongside operational achievements such as increased occupancy and reduced overhead costs.

The most recent analyst rating on (GB:LAND) stock is a Buy with a £750.00 price target. To see the full list of analyst forecasts on Land Securities Group plc REIT stock, see the GB:LAND Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
Land Securities Group PLC Reports Change in BlackRock’s Voting Rights
Neutral
May 14, 2025

Land Securities Group PLC has announced a change in the voting rights held by BlackRock, Inc., a major shareholder. BlackRock’s voting rights have increased slightly to 10.32% from a previous 10.22%, indicating a minor shift in shareholder influence. This change reflects BlackRock’s ongoing strategic adjustments in its investment portfolio, potentially impacting the company’s governance and decision-making processes.

The most recent analyst rating on (GB:LAND) stock is a Buy with a £750.00 price target. To see the full list of analyst forecasts on Land Securities Group plc REIT stock, see the GB:LAND Stock Forecast page.

Business Operations and Strategy
Land Securities Executives Increase Shareholdings in Incentive Plan
Positive
May 8, 2025

Land Securities Group PLC has announced transactions involving its Chief Executive Officer, Mark Allan, and Chief Financial Officer, Vanessa Simms, as part of the company’s Share Incentive Plan. Both executives have acquired shares, with Allan holding 538,000 shares valued at £3,281,800 and Simms holding 222,645 shares valued at £1,358,134.50. These transactions, conducted on the London Stock Exchange, reflect the company’s ongoing commitment to aligning management interests with shareholder value, potentially impacting stakeholder confidence and market perception positively.

Regulatory Filings and Compliance
Land Securities Group PLC Updates Share Capital and Voting Rights
Neutral
May 1, 2025

Land Securities Group PLC has announced its updated share capital and voting rights as of April 30, 2025. The company has issued 751,732,064 ordinary shares, with 6,789,236 held in Treasury, which do not carry voting rights or dividend entitlements. Consequently, the total number of voting rights stands at 744,942,828. This information is crucial for shareholders to determine their notification requirements under the Disclosure Guidance and Transparency Rules.

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.Date of analysis: Jul 23, 2025