As of its 1HFY2Y2023 ended March, LHN derived 75% of its profit before tax from so-called space optimisation business. This refers to how the company recycles under-utilised properties through the acquisition and master leasing of commercial, industrial and residential properties.
UOB Kay Hian's Heido Mo has initiated coverage on LHN, which is shaping up to be a market leader in the emerging co-living space property segment.
In her July 4 note, Mo notes that the company has an estimated share of 32% in this market and has a robust pipeline to drive further growth. She has a "buy" call on this stock, with a target price of 55 cents.
