| Valuation method | Value, € | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 51.99 | 19372 |
| Intrinsic value (DCF) | 0.23 | -14 |
| Graham-Dodd Method | n/a | |
| Graham Formula | 1277.61 | 478407 |
CORESTATE Capital Holding S.A. (CCAP.DE) is a Luxembourg-based real estate investment firm specializing in small to medium-sized residential and commercial real estate portfolios across Europe. Founded in 2006, the company adopts an anti-cyclical investment strategy, focusing on opportunistic, core-plus, and value-add opportunities in key markets such as Germany, Austria, Switzerland, and Central Europe. CORESTATE offers diversified investment products, including real estate funds, co-investments, and club deals, catering to institutional and private investors. With offices in Luxembourg, Zug, London, Frankfurt, and Singapore, the firm leverages its pan-European presence to identify undervalued assets and generate long-term returns. Operating under its parent company, Flygon Holding LLC, CORESTATE plays a significant role in the real estate services sector, particularly in value-driven investment strategies. Despite recent financial challenges, the company remains a notable player in European real estate investment management.
CORESTATE Capital Holding S.A. presents a high-risk, high-reward investment case due to its anti-cyclical real estate strategy and exposure to European markets. The company reported a significant net loss of €714.6 million in FY 2022, reflecting broader sector challenges, including rising interest rates and economic uncertainty. However, its €55.9 million cash position provides some liquidity buffer. With a market cap of €43 million and a beta of 1.072, the stock exhibits volatility but may appeal to contrarian investors betting on a European real estate recovery. The lack of dividends and substantial debt (though reported as zero here, suggesting possible data discrepancies) further underscores the speculative nature of this investment. Investors should closely monitor the firm's ability to stabilize earnings and execute its value-add strategy.
CORESTATE Capital Holding S.A. competes in a crowded European real estate investment market, differentiating itself through its anti-cyclical approach and focus on club deals and co-investments. Its strength lies in targeting undervalued small-to-medium portfolios, a niche less saturated than large-scale commercial real estate. However, the company faces intense competition from larger, more diversified asset managers with stronger balance sheets. CORESTATE's recent financial struggles—evidenced by its FY 2022 net loss—highlight execution risks compared to peers with more stable cash flows. Its Luxembourg base offers tax advantages but may limit local market penetration compared to Germany- or UK-focused competitors. The firm's expansion into core-plus strategies could improve resilience but requires proven asset management capabilities to compete with established players. While its pan-European presence is a plus, macroeconomic headwinds in key markets like Germany and the UK pose ongoing challenges.