GARDA PROPERTY GROUP (GDF)
Share Price Analysis and Chart

06/06/2024

1

Add

$1.65

46.67%

Garda Property has updated FY24 guidance amid increased income from its lending and the impact of the ongoing buyback.

The payout ratio for the distribution is now expected to be 99% compared with 105% previously although guidance of 6.3 cents is unchanged. This implies a yield of 5.4%.

Morgans notes asset sales have been a key focus, with the company exiting all Melbourne office properties. Proceeds have been applied to debt reduction, while improved balance sheet capacity will be available for Brisbane industrial projects.

The Add rating and $1.65 target are unchanged.

FORECAST
Morgans forecasts a full year FY24 dividend of 6.30 cents and EPS of 6.30 cents.
Morgans forecasts a full year FY25 dividend of 6.40 cents and EPS of 6.40 cents.

12/06/2024

1

Buy

$1.63

44.89%

Moelis analysts have kept their Buy rating for Garda Property Group and raised their price target to $1.63 from $1.60.

The REIT's FY24 earnings guidance has been upgraded due to increased earnings from external lending activities and the impact of a share buy-back.

Guidance now expects a distribution payout ratio of 99%, reflecting FFO of $13.1m, up from prior guidance of $12.6m.

Financial forecasts have been adjusted, with FY24 net profit forecast revised up to $13.1m from $12.6m and FY25 EPS forecast increased by 5.5%. DPS estimates have remained untouched.

The broker remains optimistic about the REIT's earnings potential despite the non-core nature of the lending activities.

FORECAST
Moelis forecasts a full year FY24 dividend of 6.30 cents and EPS of 6.40 cents.
Moelis forecasts a full year FY25 dividend of 6.50 cents and EPS of 6.90 cents.