Original-Research: CR Energy AG (von NuWays AG): BUY
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Original-Research: CR Energy AG - from NuWays AG
22.08.2024 / 09:06 CET/CEST
Dissemination of a Research, transmitted by EQS News - a service of EQS
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The issuer is solely responsible for the content of this research. The
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Classification of NuWays AG to CR Energy AG
Company Name: CR Energy AG
ISIN: DE000A2GS625
Reason for the research: Update
Recommendation: BUY
from: 22.08.2024
Target price: EUR 12.00
Last rating change:
Analyst: Philipp Sennewald
PT adjustment after issuance of bonus shares; chg.
CR Energy recently announced the inclusion of the bonus shares in the Open
Market of the Frankfurt Stock Exchange as part of the successfully completed
capital increase. As the bonus shares were issued at a ratio of 1:3, the
company's share capital increased by EUR 17.6m to EUR 23.5m. For shareholders,
the issuance of bonus shares is equal to a stock split, i.e. it is
value-neutral and will cause no dilution of shareholdings.
Management opted for the bonus shares instead of paying out dividends this
year with the aim to increase visibility and liquidity of the stock and thus
the attractiveness of the share. Yet, we expect the company to start paying
dividends again starting next year (eNuW: EUR 0.65ps). Like in previous years,
shareholders will then most likely have the choice between a cash and a
stock dividend.
Aside from this, the company looks set to continuously boast a strong
operating performance, which should become visible with the release of the
H1 report in September. In fact, with its three key holdings CR Energy is in
an excellent position to benefit from the surging demand for affordable as
well as sustainable housing. Mind you, CR's subsidiary Terrabau is among the
pioneers of affordable housing solutions with a focus on East Germany's
metropoles Leipzig and Berlin. Especially in Berlin, the company aims to
focus on social housing going forward, which gets subsidized by the IBB
(Berlin's development bank) with an interest-free building loan (30y) of up
to EUR 2,000 per sqm as well as a cost subsidy of up to EUR 1,800 per sqm. Given
Terrabau's cost-efficient construction method (i.e. serial construction),
this should allow for significant margin upside going forward.
Furthermore, we expect subsidiary CR Opportunities to launch its first
European Long Term Investment Fund (ELTIF) in H2. The fund shall be
populated with properties from Terrabau's development projects. ELTIF's are
closed-end funds, which are specifically designed for infrastructure
investments. CR management intends to increase AuM by EUR 100m annually until
2027.
The stock remains a BUY with a new PT of EUR 12.00 (old: EUR 48.00) based on
DDM. The lower PT is solely due to the higher share count following the
issuance of the bonus shares.
You can download the research here: http://www.more-ir.de/d/30585.pdf
For additional information visit our website: www.nuways-ag.com/research
Contact for questions:
NuWays AG - Equity Research
Web: www.nuways-ag.com
Email: research@nuways-ag.com
LinkedIn: https://www.linkedin.com/company/nuwaysag
Adresse: Mittelweg 16-17, 20148 Hamburg, Germany
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Diese Meldung ist keine Anlageberatung oder Aufforderung zum Abschluss
bestimmter Börsengeschäfte.
Offenlegung möglicher Interessenskonflikte nach § 85 WpHG beim oben
analysierten Unternehmen befinden sich in der vollständigen Analyse.
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1972743 22.08.2024 CET/CEST
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