Supermarket Income REIT (LON:SUPR) Sets New 1-Year High – Time to Buy?

Supermarket Income REIT (LON:SUPR)’s share price hit a new 52-week high during trading on Thursday . The stock traded as high as GBX 89.40 and last traded at GBX 86.83, with a volume of 191079938 shares trading hands. The stock had previously closed at GBX 88.90.

Key Headlines Impacting Supermarket Income REIT

Here are the key news stories impacting Supermarket Income REIT this week:

• Positive Sentiment: The company said the new capital will support earnings-accretive grocery acquisitions, including a nine-asset pipeline, which could expand the portfolio and boost long-term rental income. Article Title
• Positive Sentiment: Supermarket Income REIT also announced the acquisition of three UK supermarkets for £118 million, reinforcing its strategy of buying income-generating grocery assets in a defensive sector. Article Title
• Neutral Sentiment: Multiple reports confirmed the company launched a rights issue/retail offer to raise the funds, but these are duplicative disclosures of the same financing plan rather than separate new catalysts. Article Title
• Negative Sentiment: The fundraising itself may pressure the stock in the near term because issuing new shares can dilute existing shareholders, even if the move is intended to fund accretive growth.

Wall Street Analyst Weigh In

A number of analysts recently issued reports on the company. The Goldman Sachs Group cut their price objective on Supermarket Income REIT from GBX 93 to GBX 88 and set a “neutral” rating for the company in a research report on Monday, March 30th. Jefferies Financial Group reaffirmed a “buy” rating and issued a GBX 89 target price on shares of Supermarket Income REIT in a research report on Thursday, July 2nd. Three investment analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of GBX 89.25.

Supermarket Income REIT Stock Performance

The company has a quick ratio of 1.95, a current ratio of 1.73 and a debt-to-equity ratio of 80.37. The firm has a 50-day moving average price of GBX 84.46 and a 200 day moving average price of GBX 83.88. The firm has a market capitalization of £1.06 billion, a PE ratio of 17.37, a price-to-earnings-growth ratio of 15.09 and a beta of 0.59.

About Supermarket Income REIT

Supermarket Income REIT plc (LSE: SUPR, JSE: SRI), a FTSE 250 company, is the only LSE listed company dedicated to investing in grocery properties which are an essential part of national food infrastructure. The Company focuses on grocery stores which are predominantly omnichannel, fulfilling online and in-person sales and are let to leading supermarket operators in the UK and Europe.

The Company’s properties earn long-dated, secure, inflation-linked, growing income. SUPR targets a progressive dividend and the potential for long term capital growth.