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Focusing On High-Demand Locations Will Sustain Strong Occupancy Rates Ahead

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ESP
AnalystConsensusTarget
Not Invested
Published 23 Mar 2025

Update shared on30 Jul 2025

Fair value Increased 13%
Previous
AnalystConsensusTarget's Fair Value
UK£1.06
11.6% undervalued intrinsic discount
30 Jul
UK£0.94
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1Y
-3.0%
7D
1.8%

A substantial improvement in net profit margin has offset slightly lower revenue growth forecasts, leading analysts to raise their fair value price target for Empiric Student Property from £0.94 to £1.06.


What's in the News


  • Unite Group PLC proposed to acquire Empiric Student Property Plc for £710 million, offering a mix of Unite equity (0.09 per ESP share) and £0.3 per share in cash.
  • Due diligence for the acquisition is ongoing, with an extended deadline given to Unite Group to announce a firm intention or withdraw by July 31, 2025.
  • Peel Hunt LLP and Jefferies International Limited are advising Empiric, while Lazard & Co. is advising Unite Group.
  • Empiric provided full year 2025 dividend guidance, expecting a minimum dividend of 3.7 pence per share.
  • Empiric declared a Q1 2025 dividend of 0.925 pence per share, payable June 27, 2025.

Valuation Changes


Summary of Valuation Changes for Empiric Student Property

  • The Consensus Analyst Price Target has significantly risen from £0.94 to £1.06.
  • The Net Profit Margin for Empiric Student Property has significantly risen from 74.82% to 86.41%.
  • The Consensus Revenue Growth forecasts for Empiric Student Property has fallen from 6.3% per annum to 5.7% per annum.

Disclaimer

AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.