Derwent London (LON:DLN) Sets New 12-Month High – What’s Next?

Derwent London Plc (LON:DLN) hit a new 52-week high during trading on Monday . The stock traded as high as GBX 2,086 and last traded at GBX 2,058, with a volume of 155546 shares traded. The stock had previously closed at GBX 2,038.

Analyst Ratings Changes

A number of research firms have recently issued reports on DLN. Deutsche Bank Aktiengesellschaft reiterated a “hold” rating and set a GBX 1,850 price objective on shares of Derwent London in a research report on Wednesday, May 13th. The Goldman Sachs Group decreased their price target on Derwent London from GBX 2,550 to GBX 2,410 and set a “buy” rating on the stock in a research note on Monday, March 30th. Jefferies Financial Group reissued an “underperform” rating and set a GBX 1,492 price objective on shares of Derwent London in a research note on Wednesday, July 1st. Stifel Nicolaus lowered their price target on Derwent London from GBX 1,925 to GBX 1,650 and set a “hold” rating for the company in a research report on Tuesday, March 31st. Finally, Berenberg Bank decreased their price objective on shares of Derwent London from GBX 2,296 to GBX 2,210 and set a “buy” rating for the company in a report on Wednesday, April 1st. Four equities research analysts have rated the stock with a Buy rating, three have given a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of GBX 1,956.50.

Derwent London Trading Up 1.0%

The stock has a market cap of £2.29 billion, a PE ratio of 14.34, a price-to-earnings-growth ratio of 23.10 and a beta of 1.19. The firm has a 50-day moving average price of GBX 1,888.75 and a 200-day moving average price of GBX 1,801.30. The company has a debt-to-equity ratio of 43.37, a quick ratio of 0.38 and a current ratio of 0.59.

Derwent London announced that its Board of Directors has approved a stock buyback plan on Tuesday, May 12th that permits the company to buyback 0 outstanding shares. This buyback authorization permits the real estate investment trust to purchase shares of its stock through open market purchases. Shares buyback plans are generally a sign that the company’s board believes its stock is undervalued.

About Derwent London

Derwent London plc owns 66 buildings in a commercial real estate portfolio predominantly in central London valued at £4.9 billion as at 31 December 2023, making it the largest London office-focused real estate investment trust (REIT). Our experienced team has a long track record of creating value throughout the property cycle by regenerating our buildings via development or refurbishment, effective asset management and capital recycling. We typically acquire central London properties off-market with low capital values and modest rents in improving locations, most of which are either in the West End or the Tech Belt.