Aventus Group posted a solid result, the broker suggests, in line with expectations and ahead of retail peers. The REIT is making incremental steps towards gearing reduction which the broker sees as positive.
Full year guidance has been tightened towards the upper end of the prior range mainly due to a lower cost of debt. Stable earnings growth on offer with a reasonable yield. Outperform retained, target rises to $3.45 from $3.30.
Sector: Real Estate.
Target price is $3.45.Current Price is $2.89. Difference: $0.56 – (brackets indicate current price is over target). If AVN meets the Macquarie target it will return approximately 16% (excluding dividends, fees and charges – negative figures indicate an expected loss).
