outperform call

KGI analyst Kenny Tan says AEM's guidance raise reflects a “changing sentiment” due to continued orders from Intel. In addition, companies in the tech sector can generally remain defensive amid the Covid-19 pandemic.

Lead analyst David Lum opines that a strong y-o-y DPU growth is in the pipelines for the group for FY21-22E, led by the progressive income contribution from CapitaSpring, which is scheduled for completion in 1HFY21.

EHT also booked a distribution per stapled security (DPS) of 1.649 US cents, 1.3% less than the forecasted 1.67 US cents. In its earnings call on Sept 30, the REIT’s manager said the misses were attributable to the group’s 10.6% revenue drop to US$