Eurobank Equities launched coverage of Lamda Development, the brokerage said Wednesday, with a target price of 8.30 euros per share.
This gives the share an upside of 30% reflecting forecasts for higher revenues and a drop in property yields, the brokerage said in a report.
Improving economic conditions in Greece and an expected improvement in consumer appetites is likely to increase demand for space in shopping centers, helping support Lamda's future revenues. However, falling Greek government bond yields and a lower country risk normally push down property yields, in a move that will weighing on the company's future gains.
The brokerage also said that the Hellinikon complex, which Lamda will develop along with a group of foreign investors, could add 3.40 euros in value to each Lamda share. On Wednesday, shares in Lamda were trading at about 6.42 euros.