UBS reiterates its Buy rating on hotel property company Pandox and raises its price target to SEK 232 from SEK 228, according to a recent analysis.
The increase is justified by slightly higher forecasts and an extended valuation period. Ahead of the interim report on 22 October, UBS sees support from more favourable exchange rates and a stronger hotel market in Europe.
For the third quarter, revenue is expected to amount to SEK 2,326 million, versus consensus of SEK 2,265 million. Net operating income is expected to be SEK 1,625 million, versus consensus of SEK 1,549 million.
UBS continues to expect the share to trade at a discount to net asset value.
