Stoneweg European Real Estate Investment Trust (SET) AI Stock Analysis

• Market Cap: €884.68M
• Dividend Yield: 8.34%
• Average Volume (3M): 498.84K
• Price to Earnings (P/E): 16.8
• Beta (1Y): 0.28
• Revenue Growth: -3.91%
• EPS Growth: N/A
• Country: SG
• Employees: 200
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): N/A
• Shares Outstanding: 556,401,600
• 10 Day Avg. Volume: 766,530
• 30 Day Avg. Volume: 498,840
• PEG Ratio: 0.04
• Price to Book (P/B): 0.74
• Price to Sales (P/S): 4.17
• P/FCF Ratio: 32.74
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €1.87
• Price Target Upside: 16.88% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: €2.00 ▲(25.00% Upside)

The overall stock score reflects a challenging financial performance with declining revenues and profitability, offset by a stable balance sheet and attractive dividend yield. Technical analysis provides mixed signals, with neutral momentum indicators. Valuation is reasonable, making the stock potentially appealing for income investors despite financial challenges.

Positive Factors

Diversified European portfolio

A geographically and sector-diversified portfolio across residential, commercial and mixed-use properties reduces concentration risk and smooths cash flows versus single-market REITs. This structural diversification supports durable rental income and reallocation flexibility over 2-6 months.

Moderate leverage and stable capital structure

A debt-to-equity ratio around 0.79 denotes moderate leverage, leaving room to refinance or selectively acquire assets without overextending credit lines. This balance gives structural flexibility to manage interest cost variability and pursue value-enhancing asset management actions.

Strong asset-level gross margin

A ~59% gross margin implies the portfolio generates robust income after property-level costs, indicating underlying asset profitability. Sustained asset-level margins support long-term cash generation and the ability to absorb higher overheads or invest in renovations to preserve rents.

Negative Factors

Material revenue decline

A steep year-over-year revenue decline materially reduces rental cash inflows and economies of scale, constraining maintenance, asset upgrades and growth. Persistent top-line erosion weakens the REIT's ability to sustain distributions and execute value-accretive asset management.

Negative profitability and ROE

A large negative net margin and negative ROE signal the company is destroying shareholder value at present, undermining reinvestment capacity. Over the medium term this can erode investor confidence, limit access to capital and force asset sales or dividend cuts to restore balance sheet health.

Weak free cash flow and cash conversion

A ~71% drop in free cash flow growth and very low operating cash flow to net income ratio indicate poor cash conversion. Structurally weak cash generation reduces capacity to service debt, fund capex or sustain distributions, increasing refinancing and liquidity risk.

Stoneweg European Real Estate Investment Trust Business Overview & Revenue Model

Company Description

Stoneweg European REIT is a real estate investment trust ("REIT") with the principal investment strategy of investing, directly or indirectly, in a diversified portfolio of income-producing real estate assets in Europe that are used primarily for office, light industrial / logistics and retail purposes. Stoneweg European REIT's portfolio comprises 95 properties with an appraised value of approximately €2,082 million as at the date of this announcement in or close to major gateway cities in the Netherlands, Italy, France, Poland, Germany, Finland and Denmark, with a balanced focus on the office and light industrial / logistics sectors. CEREIT's portfolio has an aggregate lettable area of approximately 1.4 million square metres, around 800 tenant-customers and a WALE3 profile of approximately 5.0 years as at 30 September 2020. CEREIT is the first REIT with a diversified pan-European portfolio listed on the Singapore Exchange Limited.

How the Company Makes Money

Stoneweg European Real Estate Investment Trust generates revenue primarily through rental income derived from its diverse portfolio of properties. The company leases residential and commercial spaces to tenants, providing a steady stream of cash flow. Additionally, SET may realize capital gains through the sale of properties after enhancing their value through strategic renovations and effective management. The company may also engage in joint ventures or partnerships with other real estate firms, leveraging expertise and resources to acquire new assets or develop projects, further contributing to its revenue. Furthermore, income can be supplemented through ancillary services related to property management and development.

Stoneweg European Real Estate Investment Trust Financial Statement Overview

Summary

The financial performance is challenged by declining revenues and profitability, with a negative net profit margin of -34.71%. The balance sheet is stable with moderate leverage, but the negative return on equity and significant decline in free cash flow growth are concerning.

Income Statement

The income statement shows declining revenue with a negative growth rate of -22.77% in the latest year. The gross profit margin remains relatively stable at around 58.9%, but the net profit margin has turned negative at -34.71%, indicating significant profitability challenges. EBIT and EBITDA margins have also deteriorated, reflecting operational inefficiencies.

Balance Sheet

The balance sheet is relatively stable with a debt-to-equity ratio of 0.79, indicating moderate leverage. However, the return on equity has turned negative, suggesting inefficiencies in generating returns from equity. The equity ratio remains healthy, indicating a strong capital structure.

Cash Flow

Cash flow analysis reveals a significant decline in free cash flow growth by -70.71%, which is concerning. The operating cash flow to net income ratio is low at 0.13, indicating potential cash flow challenges. However, the free cash flow to net income ratio is relatively better at 0.38, suggesting some ability to generate cash relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	213.20M	212.92M	212.92M	222.10M	200.12M	186.97M
Gross Profit	126.49M	125.44M	119.47M	130.42M	124.47M	117.33M
EBITDA	0.00	-23.33M	96.44M	123.24M	118.76M	109.28M
Net Income	34.69M	-73.90M	35.48M	41.95M	96.60M	79.36M
Balance Sheet
Total Assets	2.34B	2.32B	2.37B	2.59B	2.53B	2.25B
Cash, Cash Equivalents and Short-Term Investments	47.36M	38.54M	73.80M	35.43M	59.26M	43.59M
Total Debt	1.08B	948.68M	947.60M	1.01B	922.73M	847.07M
Total Liabilities	1.16B	1.12B	1.11B	1.17B	1.06B	948.30M
Stockholders Equity	1.18B	1.21B	1.26B	1.42B	1.48B	1.30B
Cash Flow
Free Cash Flow	69.58M	27.14M	6.08M	53.46M	74.23M	67.61M
Operating Cash Flow	69.58M	70.74M	89.13M	92.35M	96.87M	88.58M
Investing Cash Flow	-18.25M	-18.25M	111.59M	-106.34M	-232.66M	-46.26M
Financing Cash Flow	-86.58M	-87.75M	-160.03M	-9.83M	151.46M	-77.98M

Stoneweg European Real Estate Investment Trust Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.60
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:SET, the sentiment is Neutral. The current price of 1.6 is below the 20-day moving average (MA) of 1.67, below the 50-day MA of 1.62, and above the 200-day MA of 1.53, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 40.52 is Neutral, neither overbought nor oversold. The STOCH value of 4.76 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SG:SET.

Stoneweg European Real Estate Investment Trust Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
P40U	78 Outperform	S$1.37B	12.45	6.62%	6.29%	0.70%	71.84%
JYEU	70 Neutral	S$1.90B	29.49	2.88%	8.01%	-6.64%	-12.15%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
AU8U	65 Neutral	S$1.37B	1,308.33	0.04%	6.66%	-8.59%	-93.48%
Q5T	65 Neutral	S$1.25B	34.66	1.92%	7.16%	-3.65%	-69.86%
SET	60 Neutral	€884.68M	16.77	4.58%	8.34%	-3.91%	―

Stoneweg European Real Estate Investment Trust Corporate Events

S&P Affirms Stoneweg European REIT’s ‘BBB-’ Rating as Trust Deepens Shift to Logistics and Data Centres

Stoneweg European REIT has had its investment-grade long-term issuer credit rating of ‘BBB-’ with a stable outlook affirmed by S&P Global Ratings, including a ‘BBB-’ rating on its senior unsecured notes, reflecting confidence in the stapled group’s credit standing. S&P’s annual review highlights expectations of stable earnings and cash flow over the next two years, underpinned by inflation-linked leases generating modest organic rental growth and solid credit metrics, as well as a strategic pivot that will increase exposure to logistics, industrial and data centre assets to about 70% of portfolio value by 2027, funded by a largely completed €400 million divestment of non-core assets. Operationally, the trust is outperforming broader European logistics benchmarks, with strong rental reversions and high occupancy, reinforcing its positioning as a resilient player in the European real estate market and supporting its ability to manage leverage within its targeted range.

The most recent analyst rating on (SG:SET) stock is a Hold with a EUR1.50 price target. To see the full list of analyst forecasts on Stoneweg European Real Estate Investment Trust stock, see the SG:SET Stock Forecast page.

Stoneweg Europe Stapled Trust Strengthens Board With New Independent Director

Stoneweg Europe Stapled Trust has announced the appointment of Ms. Kuan Li Li as an Independent Non-executive Director to the boards of its management entities with effect from 12 January 2026, as part of its ongoing board renewal efforts and commitment to high standards of corporate governance. Ms. Kuan brings more than four decades of senior leadership experience across finance, banking, asset management, insurance, real estate and telecommunications, including former roles as Country Head and COO of Barclays Bank Singapore and CFO of ABB Singapore, and currently sits on several regional corporate boards, strengthening the trust’s governance, risk management and financial oversight capabilities for stakeholders.

The most recent analyst rating on (SG:SET) stock is a Hold with a EUR1.50 price target. To see the full list of analyst forecasts on Stoneweg European Real Estate Investment Trust stock, see the SG:SET Stock Forecast page.

Stoneweg Europe Stapled Trust Cancels Over 2 Million Stapled Securities

Stoneweg Europe Stapled Trust has cancelled 2,078,200 stapled securities effective 30 December 2025, reducing its total stapled securities in issue to 556,884,213. The move modestly tightens the stapled securities base, which may have implications for liquidity and per-security metrics for existing investors, although the announcement provides no further details on the rationale for the cancellation.

The most recent analyst rating on (SG:SET) stock is a Hold with a EUR1.50 price target. To see the full list of analyst forecasts on Stoneweg European Real Estate Investment Trust stock, see the SG:SET Stock Forecast page.

Stoneweg Europe Stapled Trust Secures €85 Million Refinancing, Optimizing Financial Strength

Stoneweg Europe Stapled Trust has completed the final stage of its balance sheet optimization program through a €85 million five-year unsecured financing facility, which includes the option to expand to €185 million. This refinancing effort enhances financial flexibility, cuts funding costs with sustainability-linked pricing, and extends the weighted average debt expiry to six years, eliminating debt maturities until 2030. This development strengthens the trust’s financial positioning and supports its long-term sustainability goals, positively impacting stakeholders and market perception in the European real estate sector.

The most recent analyst rating on (SG:SET) stock is a Hold with a EUR1.50 price target. To see the full list of analyst forecasts on Stoneweg European Real Estate Investment Trust stock, see the SG:SET Stock Forecast page.

Stoneweg EREIT Issues Stapled Securities for Acquisition Fee

Stoneweg European Real Estate Investment Trust announced the issuance of 326,797 stapled securities to the Trustee-Manager as payment for the acquisition fee related to its investment in AiOnX. This transaction reflects the company’s strategic investment activities and its ongoing efforts to manage and expand its European real estate portfolio.

The most recent analyst rating on (SG:SET) stock is a Hold with a EUR1.50 price target. To see the full list of analyst forecasts on Stoneweg European Real Estate Investment Trust stock, see the SG:SET Stock Forecast page.

Stoneweg Europe Stapled Trust to Announce 3Q 2025 Financial Updates

Stoneweg Europe Stapled Trust is set to release its third-quarter 2025 financial and operational updates on November 6, 2025. The announcement will be presented in an online briefing by the executive management team, inviting investors and media to gain insights into the trust’s performance and strategic positioning.

The most recent analyst rating on (SG:SET) stock is a Hold with a EUR1.50 price target. To see the full list of analyst forecasts on Stoneweg European Real Estate Investment Trust stock, see the SG:SET Stock Forecast page.