Singapore Stock Market News

Singapore Property - Overall - Be selective

StockFanatic
Publish date: Tue, 02 Sep 2014, 11:11 AM
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Despite the absence of fundamental catalysts, we believe an outperformance in the property sector can still be achieved. Look for companies with sustainable cashflow generation capabilities. Those with overseas diversification may also see medium-term RNAV uplift. Potential value unlocking and M&A actions could spur share prices as well.

The sector is trading at a 31% discount to RNAV, close to 0.5 s.d. discount to mean. We prefer companies with robust earnings growth. Our top developer picks are UOL, GLP and FCL while within the S-REIT space, we like FCT, FCOT, CDREIT, OUEHT and MINT.
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