Singapore Stock Market News

Singapore Property - Now and then

StockFanatic
Publish date: Thu, 02 Jul 2015, 01:32 PM
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Unlike 2008, we think that the property sector would remain more sensitive to local market conditions rather than Grexit contagion fears. The operating environment for the property sector has worsened since 2011, with slower demand and ongoing digestion of new inventory over the next two years, leading to developers seeking opportunities overseas instead. That said, at a 33% discount to RNAV, most of these concerns have been priced in. We stay Neutral on the sector and prefer companies with strong recurrent income base and attractive valuations such as UOL, Capitaland and FCL.
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