GLP

GLP: Daiwa upgrades the Company to Outperform and raises its TP to $3.09. Believing that the across-the-board NAV approach undervalues GLP’s development business, the house now values GLP’s stable capital-backed by matured assets-at parity to book value while valuing its high-growth development portions at a higher P/B ratio of 2.5x, which better reflects the expected returns and hurdle rates. Daiwa says it upgraded ratings because they believe GLP is only at the early stage of realizing the potential of its development model, and think its unwavering focus on developments paves the way for strong EPS growth from FY15.