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Sirius Real Estate (GB:SRE)
LSE:SRE
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Sirius Real Estate (SRE) AI Stock Analysis

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GB:SRE

Sirius Real Estate

(LSE:SRE)

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Outperform 72 (OpenAI - 4o)
Rating:72Outperform
Price Target:
107.00p
▲(9.97% Upside)
Sirius Real Estate's overall stock score reflects strong financial performance and a solid valuation, offset by bearish technical indicators and challenges highlighted in the earnings call. The company's robust revenue growth and profitability are significant strengths, but market concerns about leverage and external challenges in the U.K. market weigh on the outlook.
Positive Factors
Revenue Growth
Sustained revenue growth and increased EBITDA indicate strong demand for SRE's offerings and effective cost management, supporting long-term profitability.
Strong Acquisition Activity
Strategic acquisitions expand SRE's property portfolio, enhancing revenue potential and market presence, crucial for future growth.
Cash Flow Management
Strong cash flow management supports operational stability and growth initiatives, ensuring financial resilience and investment capacity.
Negative Factors
Increased Finance Costs
Rising finance costs can pressure margins and limit financial flexibility, potentially impacting future profitability and investment capacity.
Foreign Exchange Losses
Significant FX losses can erode earnings and create volatility in financial results, complicating financial planning and stability.
Challenges in the U.K. Market
Market challenges in the U.K. may hinder growth and profitability, requiring strategic adjustments to maintain competitive positioning.

Sirius Real Estate (SRE) vs. iShares MSCI United Kingdom ETF (EWC)

Sirius Real Estate Business Overview & Revenue Model

Company DescriptionSirius Real Estate Limited, a real estate company, engages in the investment, development, and operation of commercial properties in Germany. It owns and manages offices; warehouses, storerooms, and self-storage spaces; and production and workshop spaces. The company serves individuals and small to medium-sized enterprises under the Sirius brand name. It owns and manages business parks with approximately 4.3 million square feet of lettable space in the United Kingdom; and 1.8 million square meters of lettable space in Germany. The company was formerly known as Dawnay, Day Sirius Limited and changed its name to Sirius Real Estate Limited in October 2008. Sirius Real Estate Limited was incorporated in 2007 and is based in Saint Peter Port, Guernsey.
How the Company Makes MoneySirius Real Estate generates revenue primarily through rental income from its diversified portfolio of properties. The company leases space to a variety of tenants, earning consistent rental payments that form the bulk of its income. Additionally, SRE benefits from ancillary services such as property management and maintenance, which further enhance its revenue stream. The company also engages in value-added activities such as refurbishing and upgrading properties to increase their appeal and rental rates. Strategic partnerships with local businesses and service providers help SRE to attract and retain tenants, while its focus on operational efficiency and cost management supports profitability. The company's growth is bolstered by acquisitions of new properties, allowing it to expand its footprint and revenue-generating capabilities across the European market.

Sirius Real Estate Earnings Call Summary

Earnings Call Date:Nov 17, 2025
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Jun 08, 2026
Earnings Call Sentiment Neutral
The earnings call indicates a strong performance with significant growth in rent roll, income, and acquisitions. However, increased finance costs, foreign exchange losses, and challenges in the U.K. market present notable concerns.
Q2-2026 Updates
Positive Updates
Significant Growth in Rent Roll
The Sirius Group successfully grew the like-for-like rent roll by more than 5% and total rent roll by more than 15% during the period.
Increase in Dividend Payments
Announced a dividend of EUR 0.0318, marking a year-on-year increase of 4%.
Revenue and Income Growth
Achieved 7.7% growth in rental income and a 9.7% increase in EBITDA, with a 6.6% rise in FFO to EUR 64.7 million.
Record Profit After Tax
Profit after tax increased by 56.8% to EUR 87 million, due to valuation gains and reduction in deferred tax liabilities.
Strong Acquisition Activity
Acquired over EUR 200 million worth of property in the U.K. and significant acquisition activity in Germany, expected to contribute to future growth.
Positive Outlook for Germany
Germany is preparing for a substantial increase in output, with plans to capitalize on defense-related reorganizations.
Negative Updates
Increased Finance Costs
Finance costs increased from EUR 6.3 million to EUR 9.4 million, creating a headwind for the next 2 to 3 years.
Foreign Exchange Losses
Reported a EUR 14.3 million foreign exchange loss, primarily a realized FX loss related to sterling cash balances.
Challenges in the U.K. Market
The U.K. market is becoming more challenging, with occupancy gains harder to achieve and political uncertainty affecting investment decisions.
Higher Service Charge Leakage
Acquired assets tend to have higher service charge leakage, creating a small drag on service charge costs.
Company Guidance
In the recent call discussing Sirius Real Estate's interim results for the period ending September 2025, several key metrics and guidance were highlighted. The group reported a 5.2% increase in like-for-like rent roll, contributing to a 7.7% rise in rental income compared to the previous year. Total rent roll grew by over 15% due to acquisitions, and occupancy in the UK increased by just over 1%. Pricing in both Germany and the UK rose by more than 4%. The company announced a dividend of EUR 0.0318 per share, marking a 4% increase year-on-year. Sirius Real Estate's net operating income increased by 4.9%, with EBITDA up by 9.7% due to operating leverage. Despite a rise in net finance expenses from EUR 6.3 million to EUR 9.4 million, funds from operations (FFO) grew by 6.6% to EUR 64.7 million. The balance sheet reflected a 0.8% increase in reported NAV, while adjusted NAV was slightly down by 0.9%, attributed to foreign exchange effects. The company aims to achieve EUR 150 million in FFO by the end of fiscal year 2028 and has begun planning for a future target of EUR 175 million, with half of the required growth already executed.

Sirius Real Estate Financial Statement Overview

Summary
Sirius Real Estate exhibits strong financial health with consistent revenue growth, robust profitability, and efficient cash flow management. While the balance sheet shows increasing leverage, the overall financial position is solid with effective equity utilization. Continued focus on debt management and cash flow consistency will be crucial for maintaining financial stability and supporting future growth.
Income Statement
85
Very Positive
Sirius Real Estate demonstrates robust revenue growth with a strong trajectory from 2020 to 2025, showcasing a notable increase in Total Revenue from 150.01M to 317.5M. The Gross Profit Margin and Net Profit Margin are solid, indicating effective cost management and profitability. The EBIT and EBITDA margins are consistently high, reflecting strong operational efficiency. However, reliance on income from operations could pose risks if market conditions change.
Balance Sheet
78
Positive
The company's balance sheet shows a stable equity position with Stockholders' Equity consistently increasing, which improved the Debt-to-Equity Ratio over the years. The Return on Equity is impressive, indicating effective use of equity capital to generate profits. The Equity Ratio indicates a healthy proportion of equity financing. However, the Total Debt level has increased, which could pose leverage risks if not managed wisely.
Cash Flow
82
Very Positive
Cash flow analysis reveals a healthy Operating Cash Flow to Net Income Ratio, demonstrating effective cash generation from operations. The Free Cash Flow remains positive, supporting growth initiatives and financial stability. The Free Cash Flow Growth Rate shows variability, highlighting potential challenges in consistent cash flow generation. Despite fluctuations, overall cash flow management appears strong.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue306.60M317.50M288.80M270.10M210.18M165.36M
Gross Profit306.60M186.70M165.80M153.40M122.49M93.82M
EBITDA16.30M235.00M140.80M110.80M187.60M175.61M
Net Income131.60M178.10M107.80M79.60M147.90M147.45M
Balance Sheet
Total Assets2.84B3.27B2.60B2.39B2.39B1.52B
Cash, Cash Equivalents and Short-Term Investments329.30M571.30M214.50M99.20M127.28M49.30M
Total Debt965.90M1.35B982.90M1.00B1.02B483.04M
Total Liabilities1.24B1.58B1.19B1.19B1.20B593.17M
Stockholders Equity1.61B1.69B1.41B1.20B1.19B926.53M
Cash Flow
Free Cash Flow129.70M71.10M103.50M79.70M54.42M37.17M
Operating Cash Flow140.40M133.10M146.10M113.40M81.75M71.00M
Investing Cash Flow-198.80M-207.10M-66.30M-41.80M-429.51M-73.53M
Financing Cash Flow275.90M429.10M42.60M-98.60M431.75M-53.05M

Sirius Real Estate Technical Analysis

Technical Analysis Sentiment
Positive
Last Price97.30
Price Trends
50DMA
98.66
Positive
100DMA
99.26
Negative
200DMA
92.99
Positive
Market Momentum
MACD
-0.99
Positive
RSI
51.97
Neutral
STOCH
43.67
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:SRE, the sentiment is Positive. The current price of 97.3 is below the 20-day moving average (MA) of 98.77, below the 50-day MA of 98.66, and above the 200-day MA of 92.99, indicating a bullish trend. The MACD of -0.99 indicates Positive momentum. The RSI at 51.97 is Neutral, neither overbought nor oversold. The STOCH value of 43.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:SRE.

Sirius Real Estate Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
£348.96M16.175.35%5.75%-6.52%-20.26%
72
Outperform
£1.52B9.8112.51%4.92%4.80%37.75%
72
Outperform
£1.39B12.8510.30%3.47%-8.66%553.35%
69
Neutral
£1.34B24.597.57%2.22%7.81%22.76%
65
Neutral
$2.17B12.193.79%4.94%3.15%1.96%
58
Neutral
£250.38M8.966.07%2.33%-14.09%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:SRE
Sirius Real Estate
98.85
17.05
20.84%
GB:GRI
Grainger
186.00
-39.79
-17.62%
GB:HLCL
Helical
195.60
1.98
1.02%
GB:MTVW
Mountview Estates
8,950.00
344.50
4.00%
GB:PSDL
Phoenix Spree Deutschland Ltd
166.25
-6.25
-3.62%
GB:SVS
Savills
1,006.00
-31.55
-3.04%

Sirius Real Estate Corporate Events

Dividends
Sirius Real Estate Updates Dividend Distribution Details
Neutral
Nov 18, 2025

Sirius Real Estate Limited announced an update to its cash dividend and Dividend Reinvestment Plan, correcting information previously released. The cash dividend will be distributed as 53% Property Income Distribution (PID) and 47% non-PID, with specific tax implications for UK and South African shareholders. This update ensures clarity in the dividend distribution process, potentially impacting shareholder decisions and maintaining transparency in the company’s financial communications.

The most recent analyst rating on (GB:SRE) stock is a Buy with a £133.00 price target. To see the full list of analyst forecasts on Sirius Real Estate stock, see the GB:SRE Stock Forecast page.

Dividends
Sirius Real Estate Updates Dividend Distribution Details
Neutral
Nov 18, 2025

Sirius Real Estate Limited has announced an update to its cash dividend and Dividend Reinvestment Plan, correcting information from a previous announcement. The company clarified the distribution of the cash dividend, which will be paid as 53% Property Income Distribution (PID) and 47% non-PID, with specific details on the amounts payable to UK and South African shareholders. This update ensures transparency and accuracy in shareholder communications, potentially impacting investor confidence and the company’s market reputation.

The most recent analyst rating on (GB:SRE) stock is a Buy with a £133.00 price target. To see the full list of analyst forecasts on Sirius Real Estate stock, see the GB:SRE Stock Forecast page.

Dividends
Sirius Real Estate Declares Dividend with Reinvestment Option
Positive
Nov 17, 2025

Sirius Real Estate has declared a cash dividend of €0.0318 per share for the six-month period ending 30 September 2025, payable on 22 January 2026. Shareholders have the option to reinvest their dividends through the Dividend Reinvestment Plan (DRIP), which allows them to acquire additional shares. The dividend will be distributed in Euros, with UK shareholders having the option to receive it in Sterling, while South African shareholders will receive it in Rand. The announcement reflects Sirius Real Estate’s ongoing commitment to providing returns to its shareholders and may influence investor decisions regarding shareholding and reinvestment strategies.

The most recent analyst rating on (GB:SRE) stock is a Buy with a £134.00 price target. To see the full list of analyst forecasts on Sirius Real Estate stock, see the GB:SRE Stock Forecast page.

Business Operations and StrategyDividendsFinancial Disclosures
Sirius Real Estate Reports Strong Interim Results with Increased Profit and Dividend
Positive
Nov 17, 2025

Sirius Real Estate reported strong operational results for the six months ending September 2025, with a 56.8% increase in profit after tax to €87 million, driven by strong operational performance and tax benefits from the German government’s corporate tax reduction. The company also saw a 15.2% growth in total rent roll to €242.5 million, supported by acquisitions and organic growth in Germany and the UK. Despite a decrease in profit before tax due to foreign exchange losses, funds from operations grew by 6.6% to €64.7 million, and the company announced a 4% increase in its interim dividend. Sirius continues to focus on growth through acquisitions and asset management, maintaining a strong balance sheet with a new €150 million undrawn revolving credit facility and a reaffirmed BBB investment grade rating from Fitch.

The most recent analyst rating on (GB:SRE) stock is a Buy with a £134.00 price target. To see the full list of analyst forecasts on Sirius Real Estate stock, see the GB:SRE Stock Forecast page.

Business Operations and StrategyM&A Transactions
Sirius Real Estate Hosts Investor Day at Hartlebury Trading Estate
Positive
Oct 21, 2025

Sirius Real Estate is hosting an investor day at the Hartlebury Trading Estate, which it acquired for £101.1 million in August 2025. This acquisition is a significant addition to its BizSpace platform in the U.K., increasing its portfolio by 18% and boosting revenues by 10%. The company plans to enhance the estate’s value through environmentally focused upgrades, aligning with its asset management strategy.

The most recent analyst rating on (GB:SRE) stock is a Buy with a £109.00 price target. To see the full list of analyst forecasts on Sirius Real Estate stock, see the GB:SRE Stock Forecast page.

Business Operations and StrategyM&A Transactions
Sirius Real Estate Expands U.K. Portfolio with Strategic Acquisition
Positive
Oct 21, 2025

Sirius Real Estate is hosting a property tour and investor day at the Hartlebury Trading Estate in Worcestershire, U.K., following its acquisition of the estate for £101.1 million in August 2025. This acquisition has significantly expanded Sirius’s BizSpace platform in the U.K., increasing its portfolio size by 18% and boosting revenues by 10%. The company plans to enhance income through value-add asset management strategies, including environmentally focused upgrades.

The most recent analyst rating on (GB:SRE) stock is a Buy with a £109.00 price target. To see the full list of analyst forecasts on Sirius Real Estate stock, see the GB:SRE Stock Forecast page.

Business Operations and StrategyM&A Transactions
Sirius Real Estate Expands German Portfolio with €43.7 Million Acquisition
Positive
Oct 20, 2025

Sirius Real Estate has announced the acquisition of a business park in Feldkirchen, near Munich, for €43.7 million. This strategic purchase is expected to enhance the company’s presence in Germany, aligning with its focus on benefiting from increased defense spending. The park, anchored by Excelitas, a major player in the defense sector, is 94% occupied and offers potential for rental growth. This acquisition is part of Sirius’s broader strategy to expand its portfolio with income-producing assets, having already invested around €340 million in properties across the U.K. and Germany in 2025.

The most recent analyst rating on (GB:SRE) stock is a Buy with a £109.00 price target. To see the full list of analyst forecasts on Sirius Real Estate stock, see the GB:SRE Stock Forecast page.

Business Operations and Strategy
Sirius Real Estate’s Credit Rating Reaffirmed by Fitch
Positive
Oct 15, 2025

Sirius Real Estate has had its BBB investment grade credit rating reaffirmed by Fitch Ratings, with a stable outlook, highlighting the resilience of its business model and strong tenant demand. This endorsement reflects the company’s effective capital deployment and rental income growth, positioning it well within the industry and providing confidence to stakeholders about its operational strength and future prospects.

The most recent analyst rating on (GB:SRE) stock is a Buy with a £109.00 price target. To see the full list of analyst forecasts on Sirius Real Estate stock, see the GB:SRE Stock Forecast page.

Business Operations and StrategyFinancial DisclosuresM&A TransactionsPrivate Placements and Financing
Sirius Real Estate Achieves Strong Rent Roll Growth Amid Strategic Acquisitions
Positive
Oct 6, 2025

Sirius Real Estate reports a 15.2% year-on-year increase in rent roll for the half-year ending September 2025, driven by successful acquisitions and organic growth in Germany and the U.K. Despite economic challenges, the company has maintained over 5% like-for-like rent roll growth in both regions, with a strategic focus on asset management and tenant renewal. The company has secured nearly €300 million in acquisitions this year and strengthened its balance sheet with a €150 million revolving credit facility, positioning itself for future growth and increased property valuations.

The most recent analyst rating on (GB:SRE) stock is a Buy with a £111.00 price target. To see the full list of analyst forecasts on Sirius Real Estate stock, see the GB:SRE Stock Forecast page.

Business Operations and StrategyFinancial DisclosuresM&A TransactionsPrivate Placements and Financing
Sirius Real Estate Reports Strong Half-Year Growth and Expands Portfolio
Positive
Oct 6, 2025

Sirius Real Estate has reported a 15.2% year-on-year increase in rent roll for the half-year ending September 2025, driven by successful acquisitions and organic growth in Germany and the U.K. Despite economic challenges, the company has maintained robust rent roll growth, particularly in Germany, where economic confidence is rising. In the U.K., Sirius is transitioning to intensive asset management following a period of acquisitive growth. The company has secured nearly €300 million in acquisitions and strengthened its balance sheet with a new €150 million revolving credit facility. Sirius remains optimistic about future growth prospects, supported by a strong acquisition pipeline, particularly in Germany.

The most recent analyst rating on (GB:SRE) stock is a Buy with a £111.00 price target. To see the full list of analyst forecasts on Sirius Real Estate stock, see the GB:SRE Stock Forecast page.

Business Operations and StrategyPrivate Placements and Financing
Sirius Real Estate Expands Bond Issuance to Fuel Growth
Positive
Sep 15, 2025

Sirius Real Estate has issued €105 million in new notes, consolidating them with its existing €359.9 million bonds due in 2028. This move reflects strong market confidence and will support the company’s acquisition pipeline in Germany and the UK, as well as general corporate purposes. The funding aligns with Sirius’s strategy of pursuing growth while maintaining disciplined leverage, following significant acquisitions this year, including the Hartlebury Trading Estate. This issuance enhances Sirius’s ability to scale its business and capitalize on attractive market opportunities.

The most recent analyst rating on (GB:SRE) stock is a Buy with a £109.00 price target. To see the full list of analyst forecasts on Sirius Real Estate stock, see the GB:SRE Stock Forecast page.

Business Operations and StrategyM&A Transactions
Sirius Real Estate Expands Portfolio with Strategic Acquisitions in Germany and UK
Positive
Sep 2, 2025

Sirius Real Estate has completed acquisitions of a business park in Dresden, Germany, and Chalcroft Business Park in Southampton, UK, for a total of €23.4 million and £38.6 million respectively. These acquisitions are expected to add €4.5 million to the company’s annualized income and align with its strategy of expanding its portfolio of flexible business and industrial spaces. The Dresden site will be repositioned as a multi-tenanted business park, while the Southampton site has potential for significant value creation through development. Both locations benefit from strong transport connectivity and are in regions with growing demand for industrial space.

The most recent analyst rating on (GB:SRE) stock is a Buy with a £120.00 price target. To see the full list of analyst forecasts on Sirius Real Estate stock, see the GB:SRE 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.Date of analysis: Nov 21, 2025