| Valuation method | Value, £ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 0.60 | -95 |
| Intrinsic value (DCF) | 5.20 | -60 |
| Graham-Dodd Method | 1.20 | -91 |
| Graham Formula | 5.20 | -60 |
Logistea AB (publ) is a Swedish real estate company specializing in the acquisition, operation, and rental of warehousing and logistics properties. Headquartered in Stockholm, the company transitioned from its former identity as Odd Molly International AB (publ) in October 2021, pivoting from apparel retail to the logistics real estate sector. Logistea operates in Sweden, focusing on high-demand logistics facilities that support e-commerce and supply chain efficiency. With a market capitalization of approximately SEK 370.9 million, the company plays a strategic role in Sweden's logistics infrastructure, benefiting from the growth of online retail and industrial demand. Despite its small size, Logistea's portfolio is positioned to capitalize on the increasing need for modern, efficient logistics spaces in a rapidly evolving market.
Logistea AB presents a niche investment opportunity in Sweden's logistics real estate sector, benefiting from e-commerce growth and supply chain modernization. However, the company's high beta (2.237) indicates significant volatility relative to the market, suggesting higher risk. With SEK 676.6 million in total debt against SEK 376 million in cash, leverage is a concern, though its operating cash flow (SEK 213 million) provides some coverage. The lack of dividends may deter income-focused investors, but growth-oriented investors might find value in its specialized logistics assets. The company's pivot from retail to real estate adds execution risk, requiring close monitoring of its portfolio performance and debt management.
Logistea AB competes in Sweden's logistics real estate market, a sector dominated by larger players with more diversified portfolios. Its competitive advantage lies in its focused approach to warehousing and logistics properties, catering to the surge in e-commerce demand. However, its small scale (SEK 370.9 million market cap) limits its ability to compete with major Nordic logistics real estate firms in terms of capital deployment and geographic reach. The company's high beta reflects sensitivity to economic cycles, particularly in the logistics sector. While its specialized assets are well-positioned for growth, Logistea faces challenges from rising interest rates impacting its debt-heavy balance sheet. Its success hinges on efficient asset management and leasing strategies to maintain occupancy rates in a competitive market.