Even though IGD is not immune to the geopolitical factors and the global market conditions that fueled the stock market selloffs in 2022, the stock outperformed the European real estate sector index thanks to its stable fundamentals. As IGD has a clear equity story to tell, company management begun to participate once again in the investor conferences held in international financial hubs.

Let’s learn more about these topics by speaking with Raffaele Nardi, Director of Planning, Control and Investor Relations and Claudia Contarini, the Head of the Investor Relations team.

IGD has outperformed the Italian stock exchange and the benchmarks since the beginning of the year. Despite the very uncertain market environment and the generalized decline in the stock markets, IGD continues to be supported by company-specific factors, above all the company’s solid fundamentals.  The good economic-financial results also increase the visibility of the dividend which is a cornerstone of IGD’s equity story.

Let’s learn more about this analysis from Claudia Contarini, head of the Investor Relations team.

From the beginning of the year IGD has largely outperformed the reference indices. In addition to the noticeable discount against its P/NAV, the rally was driven by the convincing results achieved in 2021 and the appeal of the dividend which even at recent levels, after the recent rally, continues to provide a yield of almost 8%.

Let’s look closer at this analysis with Claudia Contarini, the head of the Investor Relations’ team.

After having presented the new 2024 Business Plan last 14 December, IGD’s management met with a few investors during a roadshow in the middle of January. The broker that organized the meetings gathered anonymous feedback which provided us with some concise and stimulating comments from those who see the Company from the outside. Let’s take a closer look at this feedback with Claudia Contarini, who is at the helm of the Investor Relations Team.

IGD was affected by this generally negative perception of the segment in which it operates, even though the company’s shopping center format was not penalized as much as the large malls without a food anchor. The evidence provided by IGD’s operating indicators, which showed net recovery in the last few months, will provide the investors with the elements needed to reconsider the stock’s valuation.

The stock markets remain positive, thanks to the prospects for economic recovery supported by the expansionary economic policies and the re-openings made possible by the vaccine rollouts. IGD’s stock, which is up almost 15% since the beginning of the year, has ample upside including based on the half-year results that were just published.

Investors’ attention is now focused on the opportunities created by the economic recovery expected to materialize in the second part of the year when the last anti-Covid restrictions will also be eliminated as the vaccine roll-outs are completed. The 10.7% rise in IGD’s stock price since the beginning of the year reflects these expectations, but not completely: there is still room for further upside in this new scenario.

At the end of October IGD’s stock rallied significantly, rising more than 55%, thanks to the resiliency demonstrated by its operating metrics in the period May-October 2020, when the anti-Covid restrictions were eased. Even at around €4 the stock, however, is still trading at a strong discount.

The resilience demonstrated by IGD’s performance and economic-financial indicators in the third quarter of 2020 provides an encouraging signal for the future, when investors can return to valuing single investment opportunities based on fundamentals in a more visible scenario and with a less negative view of sector risks.

The price of IGD’s stock continues to reflect the negative view that investors have of the retail real estate segment. While less penalized than the EPRA/NAREIT Developed Europe Retail Index, IGD’s stock price continues to trade at very compressed levels, as shown by the large discount with respect to the consensus price of the analysts covering the stock.