Goodman Group (ASX: GMG) shares pulled back on Thursday.
This leaves the industrial property giant's shares trading much closer to their 52-week low than their 52-week high.
Is this a buying opportunity for investors? Let's take a look at what Bell Potter is saying.
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What is the broker saying?
Bell Potter notes that Goodman delivered a half-year result that was ahead of expectations.
GMG announced its 1H26 result with operating EPS of 58.5c slightly above BPe (+0.7%) and greater than VA consensus (+7.6%), with 2H26 skew initially anticipated. FY26 operating EPS guidance has been reiterated at +9% growth y/y which implies 128.6c (BPe 129.9c (+10% y/y), VA consensus 129.8c (+10% y/y)), with DPS guidance of 30.0c maintained (in line with BPe, VA consensus for 30.3c).
The broker also highlights that Goodman's work-in-progress (WIP) has increased strongly and is now expected to be higher in 2026 than previously expected. It adds:
Development WIP has increased +12% h/h to $14.4bn, with GMG now expecting end FY26 WIP to increase to $18bn vs >$17.5bn prior as contributions from data centre-related work increases, driving development yield on cost higher during the period to 8.1%
Another key takeaway was its leasing progress versus long-term demand. Bell Potter explains:
Longer term supply/demand imbalance bodes well for GMG, however, shorter-term customer signings at early DC projects (Vernon, Artarmon) remain illusive. This may relate to targeted tenant types (ie switch from Hyperscale to Colocation), but Management feedback today suggests this might be an FY27 story rather than remainder of FY26.
Goodman shares tipped to jump
According to the release, the broker has retained its buy rating on Goodman shares with a trimmed price target of $36.45 (from $37.40).
Based on its current share price of $29.82, this implies potential upside of 22% for investors over the next 12 months.
Overall, Bell Potter was pleased with its results but was surprised to see that management didn't upgrade its guidance. This is something it has done at its half-year results 8 out of the last 10 years. It concludes:
No change to our Buy recommendation. We think today's share price reaction reflects the lack of earnings upgrade which has featured at the 1H result in 8 of the last 10 years. While we remain constructive on GMG's building DC pipeline (now 73% of WIP vs. 46% pcp) which requires extended timeframes and capital vs. industrial, the market is looking for further milestones particularly regarding tenant customer signings and clarity on profit-realising milestones to track delivery progress.
