For the real estate markets – and of course for us as investors – an interesting and important year 2024 is soon upon us. The German Pfandbriefbank pbb will be able to achieve a significant recovery after a largely disappointing year, in my opinion. The company lives on real estate loans – with a weak real estate market, the business is often limited and risky, as the market points out.

Good Balance Sheet in 2023 Nevertheless, the balance sheet for the year 2023 remains decent despite the strong headwinds in the markets. The share price did drop by -13%, but as investors, you could still pocket a double-digit dividend yield. In the end, the commitment remains almost neutral.

This is at least decent considering an almost disastrous real estate market as described. The prospects are getting better and better. The reason is the more stable interest rates that you can now expect. As expected, the central banks have not raised interest rates. In some cases, they even hinted at cuts in interest rates. This is good news – from the perspective of a pbb. On the one hand, they would formally earn less from new loans, as margins are likely to fall. On the other hand, the demand increases.

I estimate that this can only have a positive impact on the results. In any case, analysts expect the net result for the coming year to be significantly better than in the outgoing year 2023. There are estimates that put the net profit at 114 million euros. This would correspond to a P/E ratio of about 7.7 in the new year.

2024: Analysts see it similarly for the pbb There is no doubt that the trend has become stronger in recent weeks. The stock markets have reacted to the interest rate steps. The share price has risen by about 10.5% and is now clearly heading for recovery. At around 6.80 euros, chart analysts would see a significant hurdle.

This hurdle, in my opinion, can be easily overcome by the share, and the mood would be immediately better. Technical analysts who take into account signals such as the GD100 or the GD200, however, call for another price limit.

Despite the current good recovery and the decent prospects for the new year, the share price will not shift into an upward trend until it breaks the 7 euro mark. Then the 200-day line would be recaptured formally. The picture would be complete for you as an investor.