Should I buy Segro stock in 2025?
Is Segro stock a buy right now?
Segro plc (SGRO), a leading industrial and logistics REIT listed on the London Stock Exchange, is currently trading at approximately 689p, with a robust average daily trading volume of 3.74 million shares—demonstrating sustained investor engagement. Despite a year marked by sector-wide caution and a share price retreat from previous highs, Segro’s operational performance remains solid. The company recently signed £13 million in new headline rent and strengthened its UK position with a 92% customer retention rate. Notably, Segro announced a landmark £1 billion joint venture with Pure DC Group to develop data centres in West London, underscoring its commitment to strategic growth areas. In the context of rising demand for modern logistics assets and ongoing e-commerce expansion, market sentiment towards Segro leans optimistic yet pragmatic. Technical indicators are mixed but growing momentum in short and mid-term signals hints at stabilisation or even potential recovery. Reflecting broad confidence, over 32 national and international banks have set a consensus target price of 860p. For investors interested in defensive income with exposure to structural growth trends, Segro’s current valuation and sector positioning merit serious attention.
- Strong 7% increase in net rental income during full year 2024 results.
- High-quality portfolio concentrated in Europe’s largest and supply-constrained cities.
- Exceptional land bank with major development pipeline for future rental growth.
- Expansion into data centres adds new high-growth revenue streams.
- Attractive 4.25% dividend yield and low loan-to-value at 29%.
- Exposure to broader economic and interest rate fluctuations could affect short-term demand.
- Share price recently underperformed, reflecting sector-wide caution and macroeconomic uncertainty.
- What is Segro?
- How much is Segro stock?
- Our full analysis on Segro </b>stock
- How to buy Segro stock in United Kingdom?
- Our 7 tips for buying Segro stock
- The latest news about Segro
- FAQ
Why trust HelloSafe?
At HelloSafe, our expert has been closely monitoring Segro's performance for more than three years. Each month, hundreds of thousands of users in the United Kingdom rely on us to interpret market trends and uncover the most promising investment opportunities. Our analyses are intended for information purposes only and should not be considered as investment advice. In line with our ethical charter, we have never received, and will never receive, any payment or compensation from Segro.
What is Segro?
| Indicator | Value | Analysis |
|---|---|---|
| 🏳️ Nationality | United Kingdom | UK-based REIT, focusing on prime European industrial and logistics real estate assets. |
| 💼 Market | London Stock Exchange (LSE) | Traded in GBP on LSE, closely followed by UK and global institutional investors. |
| 🏛️ ISIN code | GB00B5ZN1N88 | Unique identifier for Segro shares on international financial markets. |
| 👤 CEO | David Sleath | CEO since 2011, instrumental in company’s portfolio expansion and strategic diversification. |
| 🏢 Market cap | £9.33 billion | Large-cap status ensures strong liquidity and reflects investor confidence. |
| 📈 Revenue | £628 million (2024) | 7% growth year-on-year shows strong demand and effective rental income management. |
| 💹 EBITDA | Not disclosed (see adj. profit) | Adjusted pre-tax profit up 14.9%, signalling robust operational performance. |
| 📊 P/E Ratio (Price/Earnings) | 15.32 | Moderately valued vs. sector peers, offering reasonable earnings multiple with growth. |
How much is Segro stock?
The price of Segro stock is rising this week. Segro shares are currently trading at 689.20p, with a 24-hour gain of +0.09% and a weekly change of -0.38%.
| Metric | Value |
|---|---|
| Market capitalization | £9.33 billion |
| 3-month average daily volume | 3.74 million shares |
| P/E Ratio | 15.32 |
| Dividend yield | 4.25% |
| Beta | 0.86 |
Investors should note that Segro’s stable growth and defensive profile may appeal to those seeking steady returns amid fluctuating market conditions.
Compare the best brokers in the UK!Compare brokersOur full analysis on Segro stock
After reviewing Segro plc’s latest financial results and scrutinising the performance of its shares over the past three years, our proprietary analysis—integrating financial metrics, technical signals, market data, and peer benchmarking—offers a uniquely robust perspective on this FTSE 100 REIT. With an eye on both fundamental resilience and adaptive strategy, Segro appears to stand at a potentially advantageous juncture for discerning investors. So, why might Segro stock once again become a strategic entry point into the industrial and logistics real estate sector in 2025?
Recent Performance and Market Context
Segro’s share price currently stands at 689.20p (as of May 3, 2025), reflecting a weekly dip of -0.38% and a 12.14% correction over six months. The stock has retreated by -20.58% over the past year, largely mirroring sector-wide revaluations amid interest rate and macroeconomic volatility. However, it is essential to contextualise this correction: despite headwinds, Segro has sustained a robust market capitalisation of £9.33 billion and commands steady average daily trading volume (3.74 million shares), signifying continued investor attention and liquidity.
Recent events inject significant optimism into the longer-term picture:
- Q1 2025 Trading Update: Segro reported £13 million in new headline rents signed, a 37% uplift from UK rent reviews and renewals, and an exceptionally high tenant retention rate of 92% with stable 94% occupancy.
- €1 Billion Joint Venture: The formation of a major data centre partnership with Pure DC Group in West London primes the company for expansion into a sector with exceptional demand and pricing power.
- ESG and Urban Logistics: Accelerating commitments to sustainability and growing urban population densities underpin continued demand for Segro's warehousing and logistics real estate.
All of this unfolds against a backdrop of improving sector sentiment, buoyed by expectations that the Bank of England’s tightening cycle may be nearing its end—potentially easing refinancing costs and restoring capital flows to UK REITs. The sector is also experiencing a resurgence in demand for last-mile logistics and data-centre capacity, presenting a formidable macroeconomic tailwind.
Technical Analysis
Recent trading dynamics for Segro suggest the stock may be at the cusp of a technical re-rating:
- RSI (14 days) at 55.35: Denotes neutral territory, but avoids the overbought signals that often precede short-term pullbacks, allowing scope for further upside.
- MACD (12,26) of 5.12: Hints at nascent bullish momentum, as the moving averages converge positively.
- Moving Averages:
- The share price currently trades above both the 20-day (677.20p) and 50-day (677.88p) simple moving averages—historically a constructive indicator, suggesting positive short- to medium-term momentum.
- Longer-term moving averages (100-day at 695.18p, 200-day at 750.93p) remain above the current price, reflecting the correction phase of the past year but also delineating clear targets for potential rallies.
- Support and Resistance:
- Strong technical support is evident around 670p, which has held through multiple tests.
- Immediate resistance sits at 725p, a level aligned with the upper bounds of recent trading ranges, and a technical breakout above could ignite further buying.
- Trend: Segro has recently broken through the ceiling of a descending channel, signalling that the prior sharp downtrend is abating and giving way to either consolidation or the early stages of a fresh upward trend.
With technical signals tilting towards recovery, Segro seems to present a timely opportunity for entry — particularly for investors seeking a blend of defensive characteristics and upside optionality.
Fundamental Analysis
Segro’s recent financial results highlight a business that has remained resilient and focused on sustained value creation:
- Growth and Profitability:
- FY 2024 net rental income rose by 7.0% to £628 million.
- Adjusted pre-tax profit surged by 14.9% to £470 million.
- Adjusted earnings per share (EPS) advanced 5.5% to 34.5p.
- Portfolio value edged 1.1% higher even amidst sector turbulence.
- Operational Strength:
- Occupancy rates at 94% and customer retention of 92% reflect robust demand for Segro's logistics and urban warehouse spaces.
- Like-for-like rent grew by 5.8%, indicating positive leasing dynamics and successful inflation pass-through.
- Valuation:
- The P/E ratio stands at 15.32, attractive when benchmarked against European and UK REIT peers, especially considering over 4% dividend yield and the embedded growth pipeline.
- The forward-looking analyst consensus target price of 860.27p represents approximately 30% upside from current levels, reinforcing market expectations of a recovery.
- Structural Advantages:
- Strategic positioning in supply-constrained urban logistics and high-growth data centre segments.
- Approximately two-thirds of portfolio assets are concentrated in Europe’s largest cities, where real estate scarcity confers sustainable pricing power.
- An exceptionally well-located land bank offers years of development runway at attractive yields (>7% yield on cost).
- Financial Prudence:
- Loan-to-value (LTV) ratio at 29% underlines a notably conservative balance sheet.
- Average debt cost at just 2.5% with over £2.2 billion in cash and undrawn facilities mitigates refinancing and rate risks.
This blend of accelerating income, high occupancy, prudent capital structure, and attractive relative valuation provides a solid platform for capital returns as market sentiment turns.
Volume and Liquidity
Segro’s robust average daily trading volume — 3.74 million shares — is a testament to deep market confidence and persistent institutional engagement. Such liquidity strengthens the case for dynamic, fair valuation and reduces transaction costs, making Segro a desirable asset both for individual and institutional investors. Furthermore, with a public float approaching 1.29 billion shares, Segro combines scale and accessibility with the capacity to absorb large capital flows without undue volatility.
Catalysts and Positive Outlook
Several imminent and longer-term catalysts reinforce Segro’s positive outlook:
- Data Centre Development: The joint venture with Pure DC in West London opens a high-margin, high-growth line of business, with £1 billion of planned investment and up to 2.3GW of data center capacity across Europe—well-positioned to capture digital infrastructure tailwinds.
- Development Pipeline: £422 million of potential new headline rent sits in Segro’s land bank, with anticipated yields above 7% ensuring accretive growth as developments complete.
- Rental Uplifts: Significant embedded rental reversion remains to be realised—£173 million in pipeline rental income could be captured through renewals and asset optimisation.
- Sectoral Trends: Ongoing expansion of e-commerce, urbanisation, and supply chain reconfiguration power sustained demand for modern logistics and data infrastructure.
- ESG Leadership: Increasingly strict sustainability standards push tenants toward Segro’s premium, green-certified assets, strengthening pricing power and future-proofing the portfolio.
- Potential Regulatory and Macro Boosts: Should UK interest rates peak or begin to decline, expect capitalisation rates to compress and share prices to re-rate positively—particularly for best-in-class property companies like Segro.
These organic and external drivers position Segro to benefit not just from cyclical recovery, but also from structural demand shifts that support cash flow growth and asset appreciation.
Investment Strategies
Given its technical and fundamental setup, Segro appears appealing across multiple timeframes:
Short-Term
- Tactical Entry: Buying around the identified support at 670p or on confirmation of a breakout above 725p could capture the momentum-driven upside.
- Dividend Play: The attractive yield (4.25%) and imminent payout reinforce total-return opportunities for income-focused investors.
Medium-Term
- Catalyst Anticipation: The next 6-12 months should see newsflow relating to data centre completions, letting progress, and further rental uplifts, each likely to be positively received by the market.
- Macro Tailwinds: Potential rate cuts, or signals of monetary easing, may facilitate sector-wide rerating and enhanced capital gains.
Long-Term
- Structural Growth: With a development pipeline stretching several years, exposure to logistics, e-commerce, digital infrastructure, and sustainable building is well-matched to prevailing secular trends.
- Compounding Income: Ongoing rental escalations and exceptional customer retention favour long-term wealth creation for patient investors.
- Resilient Asset Base: The uniquely located, premium urban portfolio and prudent financial policy offer downside protection and compounding growth.
For all horizons, Segro’s current valuation relative to intrinsic worth, together with imminent operational catalysts, suggest an ideal positioning ahead of potential upward price inflection.
Is it the Right Time to Buy Segro?
In summary, Segro offers a compelling combination of quality assets, disciplined execution, and forward-looking strategy at a juncture where valuation and technicals converge to provide a favourable entry point. Its focused expansion in high-demand logistics and data centre spaces, resilient core income, and strong cash flow—coupled with a progressive dividend—reinforce its attractiveness for investors seeking income, growth, or both.
Sectoral tailwinds, robust fundamentals, and improving technical momentum suggest that renewed interest in Segro is well justified, with up to 30% analyst consensus upside amplifying the opportunity. For those strategically allocating within the industrial and logistics real estate space, Segro seems to represent an excellent opportunity to capitalise on structural growth trends while mitigating risk through superior asset quality and prudent financial stewardship.
In a market seeking clarity amid change, Segro stands out as a stock that may be entering a new bullish phase, rewarding investors who recognise its unique positioning and growth capacity.
How to buy Segro stock in United Kingdom?
Buying Segro stock online is simple, secure, and accessible to all UK investors thanks to regulated brokers. Whether you’re interested in owning real shares (spot buying) or seeking leveraged exposure via Contracts for Difference (CFDs), both methods can be executed digitally in just a few steps. Spot buying lets you directly hold Segro shares, while CFDs allow you to speculate on price movements with added leverage. Each method has its own benefits, costs, and considerations. To help you make an informed choice, a detailed broker comparison is provided further down the page.
Spot buying
Spot (or “cash”) buying means you purchase Segro shares outright on the London Stock Exchange, making you a direct shareholder eligible for dividends and voting rights. UK brokers typically charge a fixed commission per order, which generally ranges from £3 to £10 per trade, depending on the platform.
Example
If the Segro share price is 689.20p (£6.89), you could buy around 145 shares with a £1,000 investment. Assuming a £5 brokerage fee, your total cost is £1,005.
✔️ Gain scenario:
If the share price rises by 10%, your shares would be worth £1,100.
Result: +£100 gross gain, representing a +10% return on your initial £1,000 investment.
Trading via CFD
CFD (Contract for Difference) trading enables you to speculate on Segro’s share price without owning the underlying shares. CFDs are leveraged products—meaning you only invest a fraction of the trade’s total value (the margin), but you can gain (or lose) a multiple of your original stake. Fees typically include the spread (difference between buy/sell prices) and overnight financing charges if your position stays open for more than a day.
Example
With a £1,000 deposit and 5× leverage, you can open a CFD position equivalent to £5,000 market exposure to Segro shares.
✔️ Gain scenario:
If Segro’s share price increases by 8%, your position would gain 8% × 5 = 40%.
Result: +£400 gain on your £1,000 deposit (excluding spread and overnight fees).
Final advice
It’s essential to compare brokers' fees, trading platforms, and account conditions before investing in Segro or any other stock. The best method—spot buying or CFDs—depends on your investment objectives, risk appetite, and time horizon. For a detailed side-by-side broker comparison tailored to UK investors, be sure to consult our table further down the page. Whether you seek long-term ownership or tactical market positioning, choose the path that best aligns with your financial goals.
Is EightCap reliable?
Yes, EightCap is a trusted platform, regulated by the FCA (UK) and the ASIC (Australia). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to get started, EightCap is a safe platform, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools like TradingView, perfect for demanding traders. Are you a novice? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and efficient.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads starting from 0 pips, with a commission of $3.5 per lot. Standard accounts, on the other hand, have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like TradingView and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw your money from EightCap?
Withdrawing your winnings on EightCap is simple and fast. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or electronic wallets. Security and speed are at the heart of the service.
Is EightCap reliable?
Yes, EightCap is a trusted platform, regulated by the FCA (UK) and the ASIC (Australia). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to get started, EightCap is a safe platform, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools like TradingView, perfect for demanding traders. Are you a novice? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and efficient.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads starting from 0 pips, with a commission of $3.5 per lot. Standard accounts, on the other hand, have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like TradingView and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw your money from EightCap?
Withdrawing your winnings on EightCap is simple and fast. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or electronic wallets. Security and speed are at the heart of the service.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the FCA (United Kingdom), ASIC (Australia), and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognised for its security and transparency. According to our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don't need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while you invest.
You get access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community to exchange ideas: eToro makes investing simple, interactive and educational. It's like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of shares or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposit is free, and withdrawal is set at $5. In the event that you remain inactive for 12 months or more, a fee of $10 per month applies.
Finally, the fees charged are also clearly mentioned on its website (we can't say the same for all competitors).
Who is eToro for?
eToro is mainly aimed at beginners and intermediates, thanks to its simplicity and its educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here, with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step by step, ensuring you have permanent access to your funds. After analysing thousands of customer cases, no such problem has been reported.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the FCA (United Kingdom), ASIC (Australia), and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognised for its security and transparency. According to our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don't need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while you invest.
You get access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community to exchange ideas: eToro makes investing simple, interactive and educational. It's like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of shares or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposit is free, and withdrawal is set at $5. In the event that you remain inactive for 12 months or more, a fee of $10 per month applies.
Finally, the fees charged are also clearly mentioned on its website (we can't say the same for all competitors).
Who is eToro for?
eToro is mainly aimed at beginners and intermediates, thanks to its simplicity and its educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here, with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step by step, ensuring you have permanent access to your funds. After analysing thousands of customer cases, no such problem has been reported.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions including the Central Bank of Ireland, ASIC (Australia) and FSA (Japan). Operating since 2006, it offers strong guarantees, including the segregation of client funds and strict adherence to international standards. With over 300,000 active users, it inspires confidence in both beginner and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. The free tutorials, demo accounts and training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when it comes to paying.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you’re looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, bank transfer or electronic wallets. Everything is designed to give you quick, clear and secure access.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions including the Central Bank of Ireland, ASIC (Australia) and FSA (Japan). Operating since 2006, it offers strong guarantees, including the segregation of client funds and strict adherence to international standards. With over 300,000 active users, it inspires confidence in both beginner and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. The free tutorials, demo accounts and training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when it comes to paying.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you’re looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, bank transfer or electronic wallets. Everything is designed to give you quick, clear and secure access.
Our 7 tips for buying Segro stock
| 📊 Step | 📝 Specific tip for Segro |
|---|---|
| Analyse the market | Examine trends in the industrial and logistics real estate sector, focusing on demand driven by e-commerce and data centre expansion, to assess Segro’s growth potential. |
| Choose the right trading platform | Select a UK-regulated brokerage with access to the London Stock Exchange, competitive fees, and support for dividend payments to invest in Segro effectively. |
| Define your investment budget | Determine how much to invest in Segro based on your financial goals, risk profile, and the stock’s 4.25% dividend yield, ensuring your overall portfolio remains diversified. |
| Choose a strategy (short or long term) | Consider a long-term investment horizon for Segro to benefit from its recurring rental income, urban land bank, and future data centre projects, while keeping an eye on interim volatility. |
| Monitor news and financial results | Regularly review Segro’s trading updates, dividend announcements, and major developments—such as new joint ventures or CFO appointments—to stay aware of factors that might affect performance. |
| Use risk management tools | Set stop-loss orders near key support levels (such as 670p) and use position sizing to limit individual exposure, as Segro can face fluctuations during economic uncertainty. |
| Sell at the right time | Look to take profits as the share price approaches resistance levels (e.g., 725p) or if market conditions change, while considering the upcoming final dividend dates as part of your timing. |
The latest news about Segro
Segro has demonstrated robust operational performance in its latest Q1 2025 trading update, underlining resilience in the UK logistics real estate market. The company reported £13 million of new headline rent signed and a 37% uplift from rent reviews and renewals in the UK, supporting a stable occupancy rate of 94.0% and exceptionally high customer retention at 92%. These strong underlying metrics, recently published, highlight Segro’s ability to capture rental growth even amid broader market uncertainties, bolstered by development completions and a reinforced UK presence.
The announcement of a £1 billion joint venture with Pure DC Group marks a significant expansion of Segro’s data center strategy in the UK. This newly formed partnership, specifically targeting West London, positions Segro at the forefront of meeting the surging demand for sophisticated digital infrastructure. With 2.3 GW of potential power capacity across Europe's main zones, this initiative not only enhances the company’s growth prospects, but also strengthens its value proposition by aligning with the UK’s status as a primary hub for data center development.
Segro’s financial health remains solid, with recent results confirming sustained rental growth, strong cash flows, and continued investor confidence. Full year 2024 results reflected a 7.0% rise in net rental income and an almost 15% increase in adjusted pre-tax profit to £470 million. Notably, the company maintains a low loan-to-value ratio at 29% and has £2.2 billion in cash and undrawn facilities, safeguarding financial flexibility. These outcomes, paired with a maintained dividend yield of 4.25% and a final dividend scheduled for May 14, deliver clear signals of Segro’s stability and reliability for UK-based income-focused investors.
Technical indicators signal a positive short- to medium-term market outlook for Segro, supporting potential upside from current levels. The share price is currently above both its 20- and 50-day moving averages, and a recent break above the ceiling of a downward trend channel suggests either a slower rate of decline or an imminent move to sustained horizontal development. With the RSI at a neutral 55.35 and clear support and resistance levels established (670p and 725p, respectively), the market setup may appeal to investors seeking defined entry and exit points, especially in the relatively stable UK environment.
Market sentiment and analyst outlook remain constructive, with consensus price targets indicating meaningful upside and a strategic focus on high-growth segments. Analysts maintain an average price target of 860p—a premium of approximately 30% over the current share price—reflecting optimism about Segro’s capacity to capture rental upside, exploit its exceptional UK and European land bank, and advance in high-demand sectors including urban logistics and digital infrastructure. Structural trends such as e-commerce growth and supply chain reconfiguration further anchor investor confidence in the sustainability of Segro’s earnings and distribution policy, validating ongoing interest from UK institutional and retail investors alike.
FAQ
What is the latest dividend for Segro stock?
Segro currently pays a dividend. The most recent declared dividend is 20.2 pence per share, scheduled for payment on 14 May 2025. This represents a solid yield for shareholders and reflects the company’s consistent policy of distributing a significant portion of its property income. Historically, Segro has maintained or grown its dividend over time, appealing to income-focused investors in the UK real estate sector.
What is the forecast for Segro stock in 2025, 2026, and 2027?
Based on the latest share price of 689.20p, projections estimate Segro stock at 895.96p by the end of 2025, 1,033.80p by the end of 2026, and 1,378.40p by the end of 2027. These targets indicate strong growth expectations, underpinned by Segro’s ongoing expansion into high-demand areas such as data centers and urban logistics. Sector specialists remain optimistic about continuing structural support from e-commerce and supply chain modernization.
Should I sell my Segro shares?
Given Segro’s robust fundamentals, holding onto your shares could be advantageous for medium- to long-term investors. The company demonstrates resilience through steady rental income, high occupancy rates, and strategic investments in growth sectors like data centers. Its historical performance and market positioning in logistics real estate support the view that holding may allow investors to benefit from ongoing sector trends and potential future capital appreciation.
Are Segro shares eligible for an ISA, and how are dividends taxed for UK investors?
Segro shares are eligible to be held within a Stocks & Shares ISA, meaning any capital gains and dividends received are tax-free within the ISA wrapper. However, as Segro is a UK REIT, its dividends are primarily paid as Property Income Distributions (PIDs), which are generally subject to 20% withholding tax if held outside an ISA or SIPP. Holding Segro shares inside an ISA avoids this immediate tax, providing an efficient way to manage your investment returns.
What is the latest dividend for Segro stock?
Segro currently pays a dividend. The most recent declared dividend is 20.2 pence per share, scheduled for payment on 14 May 2025. This represents a solid yield for shareholders and reflects the company’s consistent policy of distributing a significant portion of its property income. Historically, Segro has maintained or grown its dividend over time, appealing to income-focused investors in the UK real estate sector.
What is the forecast for Segro stock in 2025, 2026, and 2027?
Based on the latest share price of 689.20p, projections estimate Segro stock at 895.96p by the end of 2025, 1,033.80p by the end of 2026, and 1,378.40p by the end of 2027. These targets indicate strong growth expectations, underpinned by Segro’s ongoing expansion into high-demand areas such as data centers and urban logistics. Sector specialists remain optimistic about continuing structural support from e-commerce and supply chain modernization.
Should I sell my Segro shares?
Given Segro’s robust fundamentals, holding onto your shares could be advantageous for medium- to long-term investors. The company demonstrates resilience through steady rental income, high occupancy rates, and strategic investments in growth sectors like data centers. Its historical performance and market positioning in logistics real estate support the view that holding may allow investors to benefit from ongoing sector trends and potential future capital appreciation.
Are Segro shares eligible for an ISA, and how are dividends taxed for UK investors?
Segro shares are eligible to be held within a Stocks & Shares ISA, meaning any capital gains and dividends received are tax-free within the ISA wrapper. However, as Segro is a UK REIT, its dividends are primarily paid as Property Income Distributions (PIDs), which are generally subject to 20% withholding tax if held outside an ISA or SIPP. Holding Segro shares inside an ISA avoids this immediate tax, providing an efficient way to manage your investment returns.
