(CercleFinance.com) – Jefferies downgraded its recommendation on Unibail-Rodamco-Westfield shares on Friday, from ‘buy’ to ‘hold’ after the strong appreciation of its share price in recent months.
In a research note published in the morning, the research office estimates that it is now more difficult to recommend the stock for purchase now that it has climbed 40% since last November.
For comparison, the sector has only progressed by 8% in the meantime, while Klépierre shares have fallen by 1.5% over the same period, he points out in the study. .
Certainly, the major operational indicators of the commercial real estate group have improved in 2023, it will resume the payment of a dividend and its objectives for 2024 exceed expectations, recognizes the analyst, who however believes that its management team will having to lift the veil on the next strategic steps in order to maintain the favorable stock market dynamics.
Among the levers envisaged to maintain this upward bias, Jefferies says it retains (1) the need to drastically reduce the company’s footprint on the American market and (2) an increased focus on cash flow (FFO) rather than on the attention so far given to debt reduction.
Its price target remains unchanged at 78 euros.
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