Buy UniBail-Rodamco-Westfield

UniBail-Rodamco is the European property conglomerate which acquired the global shopping center giant, Westfield.

As UniBail continues consolidating their expanded portfolio, investors can expect to hear more about “non-core” asset sales.

The long-term play for UniBail is to keep the best of the high quality assets from the combined groups.

A combination of higher bond yields and impatient retail investors have seen the stock price fall to $12.50.

This places URW on a 6% yield and we’re now looking at a share price that should start to find institutional buying interest.


Unibail-Rodamco – 1H18

URW reported 1H18 earnings of €6.61 per share, which was ahead of market consensus forecasts.

Full year guidance 12.75-12.90 per share was maintained for the combined entity and synergy cost saving targets were upgraded.

URW will be looking at 3 billion + in asset sales as they rationalise their portfolio, post the Westfield acquisition. Progress on this front, along with more detail in the next earnings update, should help to drive further share price appreciation.

Group EPS growth is forecast at 5% and the the stock is now on a forward yield of 6%.


Unibail-Rodamco – High Conviction Long Trade

Unibail-Rodamco report 2H18 earnings on the 29th of August.  Due to tax  complications holding the ASX listed CDIs, we recommend investors consider building a position in the stock using a synthetic instrument such as a CFD.

This is an event driven opportunity based on the August result showing the early benefits of the cost synergies of the combined Westfield and Unibail businesses.

To establish a Saxo CFD account and take advantage of buying URW ahead of the result, please contact our office on 1300 614 002.