UBS has increased its price target for Aroundtown from €2.00 to €3.30 while keeping a "Neutral" rating. The increase is due to lower capital costs, which reflect a decrease in debt and liquidity risks. The analyst expects the FFO for the year to be at the upper end of the previous target range, in line with the company's management expectations.
Despite the positive outlook, there are ongoing dividend risks and Aroundtown is one of the most short-sold stocks in the European commercial real estate sector. The analyst predicts that profit distributions will resume in 2026. The decision to maintain the investment rating is supported by the stock's strong performance since the beginning of the year.