First Berlin Equity Research has published a research update on CR Energy AG (ISIN: DE000A2GS625). Analyst Ellis Acklin reiterated his BUY rating and maintained his EUR 12.00 price target.

Abstract
Audited 2023 reporting was close to March prelims and showed another good performance during a headwind year for the property sector. EBITDA tallied €66m vs €76m in 2022 (FBe: €76m). The Y/Y decline stems from lower portfolio revaluation gains booked in 2023 than the prior year. Operating cash flow (CFO) climbed 42% Y/Y to €23.5 allowing CRE to exit the year flush with cash (€19.5m) to deploy for growing operations. Meanwhile, the 27 June AGM nodded through the issuance of bonus shares in lieu of a cash dividend payout, and each share became four. CR Opportunities will launch a European Long Term Investment Fund (ELTIF) this summer and populate it with properties in need of refurbishment, which will play off the synergies from CRE’s Terrabau and Solartec holdings. We stick to our Buy rating and have adjusted our target price for the increased share count from the bonus shares to €12 (old: €48).