Singapore Stock Market News

Suntec Reit - Strong execution priced in

StockFanatic
Publish date: Wed, 23 Jul 2014, 10:44 AM
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Suntec reported results in line with expectations with phase 1 AEI delivering a 7.1% organic DPU growth. We estimate a comfortably low hurdle rents of S$12.60psf required for phase 3 in order for meet management's targeted S$12.59psf for the entire mall. While execution for AEI has been strong with PH3 likely to meet targeted rents, we believe this is reflected in the share price with its strong outperformance YTD and we downgrade from OPF to UPF with unchanged TP.
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