Unite Dividends - UTG

Unite Dividends - UTG

Stock Name Stock Symbol Market Stock Type
Unite Group Plc UTG London Ordinary Share
  Price Change Price Change % Stock Price Last Trade
-17.00 -1.61% 1,036.00 16:35:06
Open Price Low Price High Price Close Price Previous Close
1,045.00 1,032.00 1,051.00 1,036.00 1,053.00
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Industry Sector

Unite UTG Dividends History

Announcement Date Type Currency Dividend Amount Period Start Period End Ex Date Record Date Payment Date Total Dividend Amount

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Top Posts
Posted at 01/12/2022 12:06 by maddox
A reassuring opinion article in the FT: 'Student housing is the bubble that won’t burst'


Key points:

>> It's a property sector that is attracting significant Private Equity investment;

>> Take-over deals at high valuations (£280k per bed is cited);

>> Highly resilient demand - both domestic and international student demand growth;

>> Structural supply imbalance will persist for the rest of the decade; and

>> HMO landlords under-pressure.

So, all very supportive of PBSA sector valuations; and yet we're 24% below UTG's 52 Week High of 1207p. I suspect it's as a result of the recent Govt mini-budget from the Chancellor of the Exchequer, Kwasi Kwarteng. The subsequent margin call on LDO holders, pension funds and the like, caused them to indiscriminately dump their equity holdings in a panic to raise cash to pay the call. These would be the type of investment institution that would be attracted to UTG. I cannot find supporting evidence to substantiate this but it's my working hypothesis.

Posted at 11/10/2022 10:06 by speedsgh
Unite will keep delivering, says Peel Hunt - HTTPS://citywire.com/funds-insider/news/expert-view-auction-tech-ds-smith-unite-hollywood-bowl-and-trufin/a2399485#i=4

Student accommodation group Unite (UTG) has seen robust demand boost quarterly valuations and broker Peel Hunt expects the business to continue delivering.

Analyst Matthew Saperia retained his ‘reduce’ recommendation and £11 target price on the stock, which was trading up 3.3% at 822p on Monday afternoon.

‘Unite’s trading update shows that, as expected, students have returned en masse, driving full occupancy and an uplift to 2023/24 rental growth guidance,’ he said.

‘Top-line growth should help to mitigate cost pressures, including an average cost to debt now forecast to hit 3.8% next year.’

Saperia said the purpose-built student accommodation sector is ‘very well placed to deliver in the current environment’ but the shares already reflect this, trading on 20x 2022 earnings and a 4.1% yield.

Posted at 10/10/2022 06:48 by speedsgh
TRADING UPDATE AND Q3 FUND VALUATIONS - HTTPS://www.investegate.co.uk/unite-group-plc--utg-/rns/trading-update-and-q3-fund-valuations/202210100700072529C/

ACQUISITION OF PILOT BTR INVESTMENT - HTTPS://www.investegate.co.uk/unite-group-plc--utg-/rns/acquisition-of-pilot-btr-investment/202210100701062530C/

Posted at 26/9/2022 13:18 by speedsgh
Has anyone seen a forecast for the full year dividend in the current FY?
Posted at 20/9/2022 12:49 by sabzahmed
UTG taking a beating today.I was hoping it would be like Friday when it very quickly recovered, but that doesn't seem to be the case today.Assume it's just jitters before Thursday BoE interest decision. Hopefully we get calmer and better days after that.Or are there any other risks/issues anyone is aware of?
Posted at 22/7/2022 23:37 by maddox
It's just over a month since UTG joined the FT100 and we are currently ranked at number 88. Which is a pretty solid position to have establish in such a short time.

Being an FTSE 100 stock; asset-backed; conservatively financed; uncorrelated with the general economy and with supportive market dynamics should be characteristics attractive to larger Financial Institutions. Also, as a Reit it will offer a growing dividend as their post-Covid-19 bounce-back is reflected in revenue generation.

1200p was breached for the first time today since Sept 2021 showing strength in a risk-off market. So, the stars are becoming aligned for UTG to break-out of its side-ways trading pattern and move back to higher ground.

Posted at 08/7/2022 08:19 by maddox
Lots of positives in todays' trading update from Unite but first we have the Quarterly Fund Valuation Report as at 30 June 22 for the two funds that Unite manages. These are in addition to Unite’s wholly owned student accommodation portfolio.

The two funds are:

USAF – Unite own 28.2% (up from 22% due to recent investment) - like-for-like asset value increased 3.5% during the quarter; and

LSAV – Unite own 50% - like-for-like asset value increased 4.0% during the quarter.

Just to emphasise those above jumps in valuation are quarterly not annual rises. This is reflecting the strong demand for this asset class by Institutional Investors - the RNS mentions the acquisition of Student Roost by GIC and Greystar announced in May. It also points out that we can expect to see a similar uplift to Unite's own portfolio of property. Student Accommodation is uncorrelated with the wider economy and is thus highly attractive in the face of a potential recession. It was the best performing property asset class during the 2008/9 Global Economic Crisis (GEC).

Outlook is highly positive based on the forward bookings for 2022/23 academic year an UTG are confident in achieving 97% occupancy. Much of the portfolio's rental rates are inflation linked and there is strong demand for the other direct-let beds; so the 3 - 3.5% rental rate growth guidance might be beaten.

UTG are highly exposed to utility costs and wage inflation - but have hedged their utility costs out to a 'substantial proportion' of 2024. Hopefully the current price pressures will wain before their protection winds-out. They have shown great foresight here and similarly they have locked-in their finance at the pre-fiscal tightening rates.

Clearly, Covid is still a risk, not least in China, but accepting that, UTG is emerging from the Covid-19 disruption in a strong position.

Posted at 09/3/2022 21:51 by beltd
Well who knows Maddox. Is the market rationale? I see Unite more and more as a growth dividend stock. Like a McDonalds or Coke or such like. Investors will happily accept a lower yield as the company will likely deliver year on year dividend growth. When that yield looks higher on the dips, add more.
Posted at 23/2/2022 18:46 by maddox
Looking at the share price recently you'd think Putin had invaded Unite not Ukraine.

Yes, a very strong recovery is in-progress and the outlook for academic year (AY) 2022/23 is highly positive. The development pipeline is at an all-time high of 6000 beds(c.£1bn in value) that will increase the weighting 44% towards London (35%).

The dividends are recovering nicely with more to come as the Covid effect wears-off.

With the LTV ratio at 29% UTG have huge headroom should any peachy PBSA portfolio become available for acquisition.

On Covid IMHO the virus is following a clear evolutionary pathway where each new dominant variant is more infectious but less severe – making the likelihood of the emergence of a more serious variant highly unlikely. The 20+ different viruses that we refer to as 'the common cold' was each probably a deadly human pandemic in its time. So, I think that this threat is being over-exaggerated.

Some interesting strategic opportunities/initiatives were revealed today:

>> HMOs: The private landlord with Homes of Multiple Occupation (HMOs) rented to students is a specific target for UTG. UTG is already competitively priced with HMOs and landlords are now under significant new pressures to comply with energy efficiency standards. The cost of retrofitting insulation to old property to meet the minimum standards could be prohibitive. UTG have their electricity costs fully hedged in 2022 and 85% hedged for 2023, and gas (which accounts for less than 0.5% of rent) is hedged through 2023. HMO renters are unlikely to be as well protected from escalating energy prices.

>> Premium segments: UTG are also trialling greater segmentation of their portfolio to target some more premium-priced segments. One of these is the recently graduated professional requiring City Centre accommodation a.k.a build-to-rent. This closely associated market vertical could become an important new market for Unite and definitely something to watch.

So, a very welcome set of results and plenty of interesting growth opportunities in-sight. I'd recommend you listen to the replay of the presentation as there is far too many points of interest for me to only scratch the surface of in this summary:


Regards, Maddox

Posted at 02/8/2021 10:32 by maddox
UTG H1 Results - extremely solid. Covid has impacted income and thus also NAV so a double hit but UTG showing great resilience and this effect is starting to unwind. They also announced a new 1000 bed development in Stratford, London.

Whilst, market recovery is underway with a return to face-to-face teaching we're not out of the woods yet. We've still to see the return of a fresh intake of international students and UK clearing out-turn to determine the final level of demand. A few Universities are saying they will continue with remote teaching - but I can't see that lasting - it's not what students want and if that is what's on offer they will go elsewhere.

Just a couple of points I'll highlight.

UTG's revenue is 80% covered by nomination agreements or UK students. Of the remaining 20% exposure to international students - a third of these are already in the UK.

UTG have identified that student's top concern is climate change and are responding positively: UTG's development in Paddington is aiming for zero carbon rating. This green initiative will of course also enhance their ESG credentials.

Unite is having to absorb additional costs to remove HPL cladding on some of their properties. They are looking to recover costs from the developers but this will probably take some time.

University deals are under discussion - that should add additional NAV growth. The LSAV fund has capacity and are actively seeking more PBSA property in London. These deals take time to complete - so not expecting a rush of deals here.

Funding is looking rock solid and Unite has the prospect of further reducing the cost of its debt. LTV is a conservative 30% giving capacity to fund further deals and/or developments.

So we're on course for a full recovery and UTG are extremely well positioned for further growth - accepting that Covid may have further twists in its tail.

Regards Maddox

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