Singapore Stock Market News

Frasers Centrepoint Trust - Suburban Retail Heavyweight

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Publish date: Wed, 25 Jul 2018, 12:38 PM
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Another strong quarter, as expected; BUY FCT's 3Q18 DPU of SGD3.05cts, up 1.8% YoY, was led by stable occupancy and stronger rental reversions, and driven by Northpoint City North Wing post its AEI and Changi City Point - now a well-entrenched outlet mall. Following in-line results, our forecasts are unchanged, as well as DDMbased TP of SGD2.55 (WACC: 6.9%, LTG: 2.0%). We continue to favour FCT for its strengthening suburban mall footprint, and its valuation at 5.2% DPU yield as undemanding given visible growth drivers, strong balance sheet and potential acquisition catalysts. BUY. Read More
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