First half results were slightly ahead of UBS estimates, driven by higher-than-expected net property income. UBS now includes announced asset sales in forecasts.
The company is looking to consolidate the fragmented large-format retail asset class and execute on development initiatives rather than opportunistically look to buy back stock at a 10% discount.
Neutral rating retained. Target is $2.40.
Sector: Real Estate.
Target price is $2.40.Current Price is $2.16. Difference: $0.24 – (brackets indicate current price is over target). If AVN meets the UBS target it will return approximately 10% (excluding dividends, fees and charges – negative figures indicate an expected loss).