Dexus Industria REIT delivered solid rental outcomes during the 1H, according to Morgans, with releasing spreads of 11%.

The broker expects further rental growth with around 14% of leases set to expire over FY24 and FY25, while in Sydney and Perth the development pipeline continues to grow.

Management reiterated FY23 guidance for funds from operations (FFO) of 16.7-17.5cpu and a distribution of 16.4cpu.

Dexus Industria REIT is a preffered REIT in the sector by Morgans and the Add rating is unchanged, while the target rises to $3.37 from $3.26.

Sector: Real Estate.

Target price is $3.37.Current Price is $3.05. Difference: $0.32 - (brackets indicate current price is over target). If DXI meets the Morgans target it will return approximately 9% (excluding dividends, fees and charges - negative figures indicate an expected loss).

© 2023 Acquisdata Pty Ltd., source FN Arena