Better outlook, but retail environment to remain challenging for Suntec REIT

SINGAPORE (Jan 26): OCBC Investment Research has upgraded its call on Suntec REIT from “sell” back to “hold” and raised its fair value estimate to $1.54 from $1.53 previously, after incorporating the REIT’s full-year results into its model.  

Although Suntec REIT’s manager on Wednesday posted a 5.6% lower distribution per unit (DPU) of 2.6 cents for 4Q16 compared to the previous year, lead analyst Andy Wong highlights that the REIT has sustained its full-year DPU at 10 cents, unchanged from FY15.

(See also: Suntec REIT posts 5.6% lower 4Q DPU of 2.6 cents)

---

Related Stories

• Lim & Tan Securities maintains ‘buy’ on Grand Banks Yachts; almost doubles TP to $1.05
• Brokers’ Digest: AEM, Prime US REIT, Hyphens Pharma, Seatrium, Valuetronics, DFI Retail Group, CDG, Centurion, Sembcorp
• Citi maintains ‘buy’ on Keppel DC REIT after acquisition of two data centres in Genting Lane

---