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1. Company Snapshot

1.a. Company Description

Aroundtown SA, together with its subsidiaries, operates as a real estate company in Germany, the Netherlands, the United Kingdom, Belgium, and internationally.It invests in commercial and residential real estate properties, such as office, hotel, logistics, wholesale, retail, and other properties.The company was formerly known as Aroundtown Property Holdings PLC and changed its name to Aroundtown SA in September 2017.


Aroundtown SA was founded in 2004 and is based in Luxembourg City, Luxembourg.

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1.b. Last Insights on AT1

Aroundtown SA's recent performance was negatively impacted by concerns over earnings quality, with analysts questioning the reliability of its profitability metrics. The company's recent earnings release raised doubts about its ability to sustain growth, leading to skepticism among investors. Additionally, the lack of significant share price movement despite strong earnings suggests that investors are cautious about the company's future prospects. With no recent announcements on share buybacks or new product launches, the focus remains on the company's ability to address its earnings concerns.

1.c. Company Highlights

2. Transcript Summary

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3. NewsRoom

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Why Aroundtown's (ETR:AT1) Earnings Are Weaker Than They Seem

Dec -04

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Earnings Update: Aroundtown SA (ETR:AT1) Just Reported Its Third-Quarter Results And Analysts Are Updating Their Forecasts

Nov -29

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When Should You Buy Aroundtown SA (ETR:AT1)?

Oct -15

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Aroundtown (ETR:AT1) sheds 4.5% this week, as yearly returns fall more in line with earnings growth

Sep -23

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We Believe Aroundtown's (ETR:AT1) Earnings Are A Poor Guide For Its Profitability

Sep -03

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Aroundtown Second Quarter 2025 Earnings: EPS: €0.12 (vs €0.34 loss in 2Q 2024)

Aug -29

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Aroundtown SA (ETR:AT1) Shares Could Be 49% Below Their Intrinsic Value Estimate

Jul -23

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Aroundtown SA's (ETR:AT1) largest shareholders are individual investors with 35% ownership, private companies own 21%

Jul -02

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (4.72%)

6. Segments

Commercial Portfolio

Expected Growth: 4.83%

Aroundtown SA's commercial portfolio growth of 4.83% is driven by strong demand for office spaces in prime locations, increasing rental yields, and strategic acquisitions in key European cities. Additionally, the company's focus on sustainable and modernized properties, as well as its efficient asset management, contribute to the portfolio's growth.

GCP Portfolio

Expected Growth: 4.55%

Aroundtown SA's GCP Portfolio growth of 4.55% is driven by increasing demand for commercial properties in urban areas, fueled by e-commerce growth and urbanization. Additionally, the company's strategic acquisitions and active asset management have enhanced the portfolio's quality and diversified its tenant base, resulting in higher occupancy rates and rental income.

Adjustments

Expected Growth: 4.55%

Aroundtown SA's 4.55% growth is driven by strong rental income growth, fueled by a 3.5% increase in like-for-like rents and a 1.5% expansion of its portfolio. Additionally, the company's active asset management and value-add initiatives contributed to the growth, along with a favorable interest rate environment and a solid balance sheet.

7. Detailed Products

Office Properties

Aroundtown SA offers a diverse portfolio of office properties, providing high-quality and flexible workspaces for businesses of all sizes.

Residential Properties

The company's residential portfolio includes a range of apartments and houses, catering to different lifestyles and budgets.

Hotel Properties

Aroundtown SA's hotel portfolio features a selection of high-quality hotels, offering comfortable accommodations and excellent services.

Retail Properties

The company's retail portfolio includes shopping centers, high-street shops, and other retail spaces, providing a platform for retailers to showcase their products.

Logistics and Light Industrial Properties

Aroundtown SA's logistics and light industrial portfolio offers flexible and functional spaces for businesses requiring storage, production, and distribution facilities.

Healthcare Properties

The company's healthcare portfolio includes medical offices, clinics, and hospitals, providing high-quality facilities for healthcare providers.

8. Aroundtown SA's Porter Forces

Forces Ranking

Threat Of Substitutes

The threat of substitutes for Aroundtown SA is moderate, as there are alternative options for real estate investment, but the company's diversified portfolio and strong brand reputation mitigate this threat.

Bargaining Power Of Customers

The bargaining power of customers is low, as Aroundtown SA is a large and diversified real estate company, and customers have limited negotiating power.

Bargaining Power Of Suppliers

The bargaining power of suppliers is moderate, as Aroundtown SA relies on a network of suppliers for construction and maintenance services, but the company's scale and reputation give it some negotiating power.

Threat Of New Entrants

The threat of new entrants is low, as entering the real estate market requires significant capital and expertise, and Aroundtown SA's established position and brand reputation create barriers to entry.

Intensity Of Rivalry

The intensity of rivalry is high, as the real estate market is highly competitive, and Aroundtown SA faces competition from other large real estate companies and investment firms.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 71.31%
Debt Cost 3.95%
Equity Weight 28.69%
Equity Cost 11.24%
WACC 6.04%
Leverage 248.57%

11. Quality Control: Aroundtown SA passed 4 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Allreal Holding

A-Score: 6.1/10

Value: 3.6

Growth: 2.1

Quality: 6.4

Yield: 6.9

Momentum: 7.5

Volatility: 10.0

1-Year Total Return ->

Stock-Card
VGP

A-Score: 5.8/10

Value: 3.1

Growth: 6.2

Quality: 7.0

Yield: 5.6

Momentum: 6.0

Volatility: 7.0

1-Year Total Return ->

Stock-Card
CPI Property Group

A-Score: 5.3/10

Value: 5.8

Growth: 6.0

Quality: 3.5

Yield: 0.0

Momentum: 6.5

Volatility: 10.0

1-Year Total Return ->

Stock-Card
Aroundtown

A-Score: 5.0/10

Value: 7.7

Growth: 4.1

Quality: 5.8

Yield: 3.1

Momentum: 6.0

Volatility: 3.3

1-Year Total Return ->

Stock-Card
Grainger

A-Score: 4.8/10

Value: 5.4

Growth: 3.4

Quality: 5.7

Yield: 5.0

Momentum: 1.0

Volatility: 8.0

1-Year Total Return ->

Stock-Card
Fabege

A-Score: 4.0/10

Value: 2.8

Growth: 3.7

Quality: 4.9

Yield: 4.4

Momentum: 2.5

Volatility: 6.0

1-Year Total Return ->

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

2.72$

Current Price

2.72$

Potential

-0.00%

Expected Cash-Flows