Singapore REIT Price / NAV Range Chart April-2018

Original post from http://mystocksinvesting.com

Singapore REIT Price / NAV Range Chart base on April 1, 2018 Singapore REITs Table.

 

See last Singapore REITs Price/NAV here to see the changes.

Disclaimer: This chart is NOT a recommendation to buy or sell. Do NOT use it if you don’t understand how to interpret it.

 

Check below on other events:

http://mystocksinvesting.com/course/singapore-reits-investing/REITs Investing Course 

http://mystocksinvesting.com/course/private-portfolio-review/REITs Portfolio Advisory 

Singapore REIT Fundamental Analysis Comparison Table – 1 April 2018

Technical Analysis

FTSE ST Real Estate Investment Trusts (FTSE ST REIT Index) increases slightly from 811.22 to 818.49 (+0.9%) as compared to last post on Singapore REIT Fundamental Comparison Table on Mar 4, 2018.  The REIT index is trading in a Bear Flag pattern below the 200D SMA. The index up trend is definitely over and looks like going to reverse to down trend after breaking the 200D SMA support. Breaking down this Bear Flag will send the REIT index down to target zone of 760-770. The 50D SMA is crossing down 150D SMA and getting close to cross down 200D SMA. These are all bearish signals which may launch the REIT index to full down trend unless the REIT index break the Flag resistance to invalid this bearish chart pattern.

 

Fundamental Analysis

  • Price/NAV increases from 1.05 to 1.06 (Singapore Overall REIT sector is still over value now after the recent sell off).
  • Distribution Yield maintains at 6.47% (take note that this is lagging number). About one third of Singapore REITs (11 out of 39) have Distribution Yield > 7%.
  • Gearing Ratio maintains at 34.8%.  20 out of 37 have Gearing Ratio more than 35%. In general, Singapore REITs sector gearing ratio is healthy.
  • Most overvalue REIT is Parkway Life (Price/NAV = 1.62), followed by Keppel DC REIT (Price/NAV = 1.55), First REIT (Price/NAV = 1.36) and Mapletree Industrial Trust (Price/NAV = 1.43).
  • Most undervalue (base on NAV) is Fortune REIT (Price/NAV = 0.69), followed by OUE Comm REIT (Price/NAV = 0.77)  and Sabana REIT (Price/NAV = 0.79).
  • Highest Distribution Yield (TTM) is Lippo Mall Indonesia Retail Trust (8.94%), followed by SoilBuild BizREIT (8.79%), Viva Industrial Trust (8.45%), EC World REIT (8.14%), and Cache Logistic Trust (8.07%).
  • Highest Gearing Ratio are Soilbuild BizREIT (40.6%) and iREIT Global (40.3%).

Disclaimer: The above table is best used for “screening and shortlisting only”. It is NOT for investing (Buy / Sell) decision. To learn how to use the table and make investing decision, Sign up next REIT Investing Seminar here to learn how to choose a fundamentally strong REIT for long term investing for passive income generation.

 

Interest Rate

  • 1 month increases from 1.12625% to 1.25250%
  • 3 month increases from 1.24563% to 1.37733%
  • 6 month increases from 1.39888% to 1.53101%
  • 12 month increases from 1.52796% to 1.70876%

 

Summary

Fundamentally the whole Singapore REITs is still over value now after the sell off in February.  There was no knee jerk reaction to REIT index after the US Fed hikes the 25 bps to 1.75% as this is within the expectation. Overall yield for Singapore REIT is still attractive (average yield of 6.47%). However, technically, the REIT index is consolidating in a Bear Flag chart pattern.  The index may have another big move down if the support of the Bear Flag is broken. Technically the direction of the REIT index is short term side way and medium term down trend.

 

What Should You Do?

  • If you are holding any big REIT position, you may want to reduce your exposure or hedge your portfolio. You have to proactively manage (making decision logically) your portfolio instead of reacting to the event (emotion takes over) when things happen. Be prepared for another huge leg down if the technical support is broken.
  • If you do not have any REIT now but want to build up your REIT portfolio for passive income, it is time to do homework now to put fundamental strong REIT into your watch list. You can do a great shopping when there is panic selling.
  • I receive many emails asking me when is my next REIT class.  The tentative date is on June 16 & 17 but I will still working on the logistic and registration detail.  I would suggest you subscribe through my mailing list to be kept posted on the next REIT class schedule. http://mystocksinvesting.com/course/singapore-reits-investing/
  • If you need an independent professional review on your current REIT portfolio and need any recommendation, you may engage me in the REIT portfolio Advisory. REITs Portfolio Advisory.  http://mystocksinvesting.com/course/private-portfolio-review/

 

See all other relevant  Singapore REITs blog posts here.

 

 

Sasseur REIT IPO Prospectus & Fundamental Analysis

OVERVIEW OF SASSEUR REIT

Sasseur REIT is a Singapore real estate investment trust (“REIT”) with an initial portfolio comprising four retail outlet malls located in thePeople’s Republic of China (“PRC”) (the “Initial Portfolio”), offering
investors the opportunity to invest in the country’s fast-growing retail outlet mall sector.

Sasseur REIT’s investment strategy is to invest principally, directly or indirectly, in a diversified portfolio of income-producing real estate, which is used primarily for retail outlet mall purposes, as well as real estate related assets in relation to the foregoing, with an initial focus on Asia.

Sasseur REIT launches IPO for $396m

See Sasseur REIT IPO Prospectus here. (748 pages)

  • Type = Outlet Retail Malls (China)
  • Sponsor = Sasseur Cayman Holding Limited (55%)
  • Total Unit Offered = 266,562,500
  • Portfolio = 4 (Chongqing, Bishan, Hefei, Kunming)
  • Portfolio Size = S$1.5 Billion
  • IPO Offer Price = S$0.80
  • Market Cap = S$944.2 Million
  • Net Asset Value =$921,847,000
  • Number of units in issue = 1,192,333,000
  • NAV per unit = $0.7731
  • Price / NAV = 1.0347
  • Distribution Yield = 7.5% (2018), 7.8% (2019)
  • Distribution Policy = 100% until 2019. Semi Annual Payout.
  • WALE (Property Income) = 1.2 Years
  • Occupancy Rate = 95.1%
  • Gearing Ratio = 38.5% (calculated value from balance sheet)
  • Plan Listing: Mar 28, 2018

Compare to other Singapore REITs here.

 

DPU Forecast

Sasseur REIT Portfolio

 

Top 10 Tenants & Income by Sectors

Occupancy Rate

Sasseur REIT Structure

 

Lease Structure and Lease Expiry Profile