Barclays upgrades Segro stock rating on Prologis deal terms

Barclays raised their rating on Segro PLC's stock, moving from Underweight to Equalweight, on August 18, 2026. This decision was based on the recent Prologis deal. Barclays set a price target of GBP9.70 for Segro, up from the previous GBP6.25 target. Segro's stock has grown by 54% in the past year and is near its 52-week high. The company has paid dividends for 47 consecutive years, with a final dividend of 22.54 pence per share.

Barclays' valuation is based on Prologis' agreed offer, which factors in development potential for warehouses and data centers. The main risk, according to Barclays, is if the Prologis bid fails and Segro is evaluated separately compared to its peers. Barclays suggests a downside case of GBP740 per share if the bid doesn't proceed.

The stock is currently overvalued, with a P/E ratio of 43.8. However, InvestingPro analysis indicates potential upside. For more detailed insights, Investors can consult the Segro Pro Research Report.