Oct. 5 (Bloomberg) -- Talaat Moustafa Group Holding, Egypt’s biggest publicly traded property developer, was raised to “outperform” from “neutral” at Credit Suisse Group AG, citing “relatively strong sales in the second half and attractive valuation.”
“We re-iterate our cautious view on Egypt real estate sector owing to continued weakness in property transactions as a result of land disputes,” analysts Ahmed Badr and Vincent Resillot wrote in a note to clients today. “However, we upgrade Talaat Moustafa to outperform on the back of sales recovery which breaks the current market trend and makes it a differentiated story with significant upside that is not priced in by the market.”
The share price estimate was raised to 5.67 Egyptian pounds from 5.13 pounds. Talaat Moustafa shares have lost 57 percent this year and closed 4 percent lower at 3.6 pounds yesterday.
Credit Suisse cut the price estimate of Palm Hills Developments SAE to 1.32 pounds from 3.08 pounds with an “underperform” rating and lowered the estimate of Six of October Development & Investment Co., or Sodic, to 15.7 pounds from 38.3 pounds with a “neutral” outlook.
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