NP3 (AO) | Buy | Q2: Raised full-year guidance

Research evidence excerpt

NP3 (AO) | Buy | Q2: Raised full-year guidance

NP3 Buy | Target Price: SEK309.00

Company description Management

NP3 Fastigheter is a real estate company focused on high-yielding commercial Andreas Wahlén, CEO

properties in northern Sweden. The property portfolio consists of commercial Håkan Wallin, CFO

properties for a total value of SEK 26bn (2025). Its real estate portfolio includes Key shareholders

commercial, industrial, logistics, office and other sectors such as hotels and Free float 72.00%

community service properties. NP3 is headquartered in Sundsvall and is listed on Sagax 15.00%

the Mid Cap list on the Stockholm Stock Exchange. Relatives to Lars Göran Bäckvall 13.00%

Avanza Pension 6.10%

Investment case Valuation methodology

With a high return on NP3 assets and a relatively high gearing, The historical average P/FFO for the sector over the last ten

NRV values grow fast even with a decent dividend. years has been 16.5x. We argue that NP3 should trade at a

With a premium valuation to NRV, NP3 could execute a rights premium of 10%. Applied to 12M forward FFO per share, this

issue without an overly high dilution effect for existing gives us our TP.

shareholders. Our TP represents a premium to the 2026E NRV of roughly 60%,

The property market in Northern parts of Sweden is less which we view as fair given the strong cash flow generation.

competitive, which makes us believe that NP3 will find new Risks to our rating

acquisitions also in the future. Weak development for the property sector will also impact NP3.

Catalysts Increased vacancies.

New acquisitions. Higher interest rates as well as higher bank margins and spreads

Decreased vacancies. on the bond market.

Even lower interest rates and favourable financing conditions.

Key data charts