Highlights

  • Consensus rating of Buy from 11 analysts: 8 Buy or equivalent, 3 Hold, 0 Sell or equivalent.
  • Mean price target of A$1.33 against a share price of A$1.08 on 8 October 2026, an implied upside of 23.4%.
  • Analyst targets range from A$1.17 to A$1.50.
  • FFO per unit was 9.0 cents, compared with 8.8 cents, and distributions per unit were 8.6 cents, compared with 8.5 cents.

HomeCo Daily Needs REIT (ASX:HDN) carries a consensus analyst rating of Buy. Of the 11 analyst recommendations recorded, 8 are Buy or equivalent, 3 are Hold and 0 are Sell or equivalent. The mean price target is A$1.33, with targets ranging from A$1.17 to A$1.50, against a current share price of A$1.08 (8 October 2026). HomeCo Daily Needs REIT is an Australian REIT that invests in convenience-based Assets across neighbourhood retail, large format retail and health and services.

Company name

HomeCo Daily Needs REIT

Ticker

(ASX:HDN)

Exchange

ASX (Australian Securities Exchange)

Current share price

A$1.08

Price date

8 October 2026

Number of analysts

11

Rating consensus

Buy

Consensus price target (mean)

A$1.33

Highest target

A$1.50

Lowest target

A$1.17

Implied upside/downside to mean target

Implied upside of 23.4%

Latest developments

HomeCo Daily Needs REIT (ASX:HDN) released its results for the year ended 30 June 2026 on 13 August 2026. FFO per unit was 9.0 cents, compared with 8.8 cents, and distributions per unit were 8.6 cents, compared with 8.5 cents. NTA per unit was $1.56, up 6.1%. Gearing was 35.7%, at the midpoint of the 30% to 40% target range, and Interest Rate hedging was 68.4%, rising to 75.0% at June 2027.

June 2026 valuations produced a $311 million gross increase ($180 million net), a 6.2% uplift. The company completed $81 million of acquisitions with a target IRR of more than 10%, offset by $168 million of disposals at an exit cap rate of 5.25% and a 1.6% premium to book value. It replaced its secured Debt Facility with a new senior unsecured facility, upsized by $300 million and supported by an inaugural BBB+ rating. Occupancy was 99%, comparable property NOI growth was 4.0% and leasing spreads were 5.9%. It has $120 million of active development projects and a development pipeline of more than $650 million, each targeting about 7% or more return on invested capital.

For FY27, the company forecasts comparable property NOI growth of 4.0%, with higher financing costs expected to reduce FFO by approximately 2%. It expects FY27 FFO per unit of 8.8 cents and DPU of 8.6 cents.

Risks and what to watch

FY27 FFO per unit guidance of 8.8 cents is below FY26's 9.0 cents because of higher financing costs, and gearing is at the midpoint of its range with the company assessing asset sales to support gearing reduction. Hedging of 68.4% leaves part of the debt exposed to rates. Development returns are estimates that rely on assumptions about future income, valuation and Capital expenditure.

Next milestones

Items to watch include delivery of FY27 guidance of 8.8 cents FFO and 8.6 cents DPU, asset sales or capital recycling, progress on the $120 million of active developments, interest rate hedging at 75.0% by June 2027, and the half-year result.