Singapore REIT Fundamental Analysis Comparison Table – 2 Jan 2014

FTSE ST Real Estate Investment Trusts (FTSE ST REIT) Index changes from 693.59 to 714.92 compare to last post on Singapore REIT Fundamental Comparison Table on Dec 12, 2013. The index is trading below 200D SMA and technically bearish. The index will be facing resistance at about 730 during the recent rebound. Keep an eye on the Double Bottom formation on FTSE ST REIT Index Chart. This is a potential reversal pattern.

FTSE ST REIT Index Jan2-2014

Compare to last Singapore REIT comparison table:

  • Price/NAV increases from 0.9748 to 1.001.
  • Dividend Yield decreases from  6.50% to 6.34%.
  • Gearing Ratio remains at  33.34%.
  • In general, most Singapore REIT is at fair value now and the distribution yield is reasonable. However technically Singapore REIT is in the bearish territory and going to drop further if the 690 support (FTSE ST REIT Index Chart) is broken. So don’t be ignorant to think this is the time to buy REIT yet as the price can drop further.  The uncertainty in term of interest hike in near future remains high as Federal has started the QE tapering after a series of good economy data in US. Any hike in interest will affect the distribution income (reduction), NAV (value drops) and also the gearing ratio (increase) of the REIT. All of these will weaken the fundamental of the REIT and affect the REIT share price. If you are still holding REIT at the moment, you need to have a strong heart to handle the potential new drop in your REIT. Good Luck!

Singapore REIT NAV Gearing Distribution Yield Comparison Table 2-Jan-2014


Find out how do I conduct research on Singapore REIT, how I color code and interpret those financial ratio in the comparison table, and why am I NOT touching any REIT at the moment although some REITs are undervalue. Find out WHERE and HOW to read the FTSE ST Real Estate Investment Trust Index because timing is very critical in making any investment decision.  Check out my next public tutorial on  “How to pick Singapore REIT for Dividend Investing” .

This Post Has 4 Comments

  1. wonghw12

    Thank you for the good work in putting together the data. Understand that earnings announcement date and FY may differ between REITs. Are the information on NAV, yield etc based on the last full financial year (instead of rolling last 4 quarters)?

  2. Marubozu

    NAV, yield data are extracted from shareinvestor base on full Financial Year. Yield for REITs just IPOed are base on estimation as per prospectus.

  3. david44

    Thank you for the article, very helpful to understand REITs. Have questions on how fair values are calculated? Is it only based on price/nav ? Wonder if you have any historical data of average price/nav? It would be great to have such charts to help to avoid REITs bubble.


  4. Marubozu

    Beside Price/NAV and yield, we have to look at other areas to understand the future DPU growth driver and also the risk assessment. Too much focus on Price/NAV and yield will lead to wrong decision making in selecting the REITs.

    You can check my previous posts to check the history value for Price/NAV.


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