Recently added Reits counter

Added CRCT -$1.44.

Added StarHill - $0.67

Added First Reit - $1.30 (before XD)


CapitaLand Retail China Trust (CRCT) is focused in rental retail mall properties in China while Starhill Global REIT (SGR) is diversified across different countries such as Singapore, Malaysia, Australia, China and Japan and into not just retail but also office rental properties. 

It depends on what an investor wants. If an investor prefers a more focused China retail mall play, then CRCT is suitable. 

However, if an investor prefers a more diversified approach into both retail and office property play from different geographical regions, then the investment mandate of SGR will be suitable. 

Both CRCT and SGR have strong sponsors and are prudent in their gearing so far.

I compare here the CAGRs of the standard metrics I have been using before in my earlier sharings for these two REIT/Trust over a period of 10 years from 2007 to 2017. 

Please take this comparison only as a reference for your information and not as an absolute conclusion of their individual investment worthiness. 

There are certainly more things that can be looked into for each of them to form a stronger opinion on their individual investment worthiness. Nevertheless, this comparison is a good starting point.

CAGRs (10 years period)
Gross revenue = SGR (8.13) CRCT (12.29)
Net property income = SGR (8.52) CRCT (12.36)
Distributable income = SGR (6.82) CRCT (11.03)
Value of investment properties = SGR (3.76) CRCT (12.94)

From the comparison above, we can see that CRCT has been growing the key metrics at a higher double digit CAGR than SGR which is a lower single digit CAGR. I checked on the unit price performance of SGR versus CRCT over the past 10 years period and found out that the latter also performed significantly better than the former.

It seems that CapitaLand Retail China Trust is a better investment candidate than Starhill Global Reit. However, we certainly can continue to investigate more to form an even better informed comparison between the two. 

CRCT -. NAV $1.71, DPU of 10.1 cents. Yield is 7%.$1.44

Starhill - NAV 91 cents , DPU 4.38 cents, yield is 6.44% , 68 cents.

First REIT’s 2Q DPU edges up to 2.15 cents

Yield is about 6.5% base on closing price of $1.33.

Looks pretty stable and decent DPU that may likely provide another form of fixed income portfolio.
I think yield is much better than PW Life reit which is about 4.8%.

I think still has room for it to rise further towards a yield of 5.5% for a Target price of $1.56.



SINGAPORE – 17 July 2018 – Bowsprit Capital Corporation Limited (“Bowsprit”), the Manager of First Real Estate Investment Trust (“First REIT” or the “Trust”), today reported a 0.5% year-on-year (“y-o-y”) rise in distribution per unit (“DPU”) to 2.15 Singapore cents for the second quarter ended 30 June 2018 (“2Q 2018”), on the back of distributable income increasing 1.6% y-o-y to S$16.9 million.

 For the quarter under review, gross revenue rose 5.3% y-o-y to S$28.9 million, while net property income (“NPI”) increased 5.0% to S$28.5 million. For the six-month period, gross revenue and NPI grew 5.5% and 5.4% to S$57.6 million and S$56.9 million respectively, while distributable income edged up 1.7% to S$33.8 million. As at 30 June 2018, First REIT’s gearing stood at 34.2% with interest cover at 4.9 times.


 The Trust remained prudent with its capital structure and is exploring various financing options for its refinancing needs.


  Key highlights in 2Q 2018

• DPU up 0.5% to 2.15 Singapore cents compared to 2.14 Singapore cents in 2Q 2017

• On an annualised basis and based on closing price of S$1.33 as at 29 June 2018, the latest distribution translated to a yield of 6.5%

• Secured a S$100 million term loan facility from CIMB Bank Berhad, Labuan Offshore Branch, with a tenure of six months and an option to extend for another six months. The loan was fully drawn down to refinance First REIT’s S$100 million Fixed Rate Notes due on 22 May 2018

Outlook

 Indonesia’s gross domestic product grew 5.06%1 year-on-year in the first quarter of 2018, at a slower pace compared to the previous quarter, due mainly to sluggish consumption. To reduce reliance on domestic consumption, the Indonesian government has implemented several deregulation measures to attract more investment. Last year, Indonesia recorded 8.5% more foreign direct investment in Rupiah terms than in 2016.2 Meanwhile, rising interest rates in the US have weakened the Rupiah in recent weeks, causing Bank Indonesia to raise interest rates to support the Rupiah. However, this has no impact on the Trust’s borrowings as its loans are originated in Singapore and denominated in Singapore dollars.


BMI Research reported that healthcare spending in Indonesia amounted to Rp403.9 trillion in 2017 and projects it to rise to Rp1,224 trillion by 2027, and that healthcare spending per capita will more than double between 2017 and 20273 . Against this trend, together with the growing nationwide adoption of the national health insurance scheme, private healthcare demand will continue to rise. As such, First REIT remains well-positioned for further growth, with a strong acquisition pipeline of around 40 hospitals in Indonesia from its Sponsor, PT Lippo Karawaci Tbk

Distribution Reinvestment Plan ("DRP") The DRP will not be applicable for this quarter.

 All Unitholders will be receiving 2Q 2018 DPU of Singapore 2.15 cents in cash, payable on 24 August 2018. The Manager may consider applying the DRP at a later date and Unitholders will be notified accordingly.


TA wise, MACDd & Stoch is showing sign of a positive divergence and it may likely continue to rise higher.

Looks like the same chart patterns may likely repeat itself and rises higher towards $1.40 .

Uptrend stock counters

I think below are the few Uptrend stock counters that I have noticed based on the charts presented.

 CityNeon

 Looking at CityNeon chart patterns, looks like it may likely move up to re-challenge $1.25 level.

Both the SMA lines & MACD is rising nicely in a orderly manner.

 Wilmar Intl 

 Looks like it may move up to re-conquer $3.40 level.

The recent good 2nd quarter result + director recently has been aggressively buying back share.

Seems that the current price is still undervalue. If the listing of China is going to happen, then this counter may likely rise to retest $4.00 level.

 YZJ

After hitting the high of $1.70, it has since gone through a major correction mode and went down to touch the low of 85 cents.

The company has been busy buying back share in millions of quantity price ranging from 85 to $1+.

It has since recovered and is now on a Reversal chart patterns.

Looks like it may re-attempt the recent high of $1.11 then $1.20 level.


 Sunningdale Tech 

After touching the low of $1.25, it has since stage a nice recovery and head higher to hit the high of $1.45 yesterday. Looks bullish and it may likely re-attempt to breakout $1.43 level smoothly and rises higher towards $1.50 then $1.60 level.

XD on 23/8. Interim dividend of 3 cents ( last year was 2.5 cents).

Yearly dividend is about 7-7.5 cents . Yield is quite attactive.
NAV $1.98

 Valuetronices

 After touching the low of 62 cents, it has since stage a strong recovery and head higher to test 77.5 cent yesterday.

Looks like it may move up to retest 80 then 85 cents.

Not a call to buy or sell.

Please do you own due diligence.

CapitaR CT versus Starhill Reit

CapitaLand Retail China Trust (CRCT) is focused in rental retail mall properties in China while Starhill Global REIT (SGR) is diversified across different countries such as Singapore, Malaysia, Australia, China and Japan and into not just retail but also office rental properties. 

It depends on what an investor wants. If an investor prefers a more focused China retail mall play, then CRCT is suitable. 

However, if an investor prefers a more diversified approach into both retail and office property play from different geographical regions, then the investment mandate of SGR will be suitable. 

Both CRCT and SGR have strong sponsors and are prudent in their gearing so far.

I compare here the CAGRs of the standard metrics I have been using before in my earlier sharings for these two REIT/Trust over a period of 10 years from 2007 to 2017. 

Please take this comparison only as a reference for your information and not as an absolute conclusion of their individual investment worthiness. 

There are certainly more things that can be looked into for each of them to form a stronger opinion on their individual investment worthiness. Nevertheless, this comparison is a good starting point.

CAGRs (10 years period)
Gross revenue = SGR (8.13) CRCT (12.29)
Net property income = SGR (8.52) CRCT (12.36)
Distributable income = SGR (6.82) CRCT (11.03)
Value of investment properties = SGR (3.76) CRCT (12.94)

From the comparison above, we can see that CRCT has been growing the key metrics at a higher double digit CAGR than SGR which is a lower single digit CAGR. I checked on the unit price performance of SGR versus CRCT over the past 10 years period and found out that the latter also performed significantly better than the former.

It seems that CapitaLand Retail China Trust is a better investment candidate than Starhill Global Reit. However, we certainly can continue to investigate more to form an even better informed comparison between the two. 

CRCT -. NAV $1.57, DPU of 10.1 cents. Yield is 7%.$1.44

Starhill - NAV 91 cents , DPU 4.38 cents, yield is 6.44% , 68 cents.

Genting Sp

Bounce off from$1.00 and is now gently rising up to hit $1.07, looks rather positive!

Short term wise, it may likely rises to test $1.11 then $1.18 level.

Pls dyodd.


Super oversold ! This could be the next AEM moving up soon! Price has dropped an attractive level . Not a call to buy or sell. Please dyodd.

2Q2018 financial result is showing a great improvement of Net Profit growth of 38% for Half year ended on 30th June 2018. The total comprehensive income for first half year is $394.6m.
EPS for 2Q2018 leaped 24% to 1.47 cents.

Dividend of 1.5 cents is being declared. Payment will be made on 20th Sept 2018.

Looks like they are able contain costs well and heighten their total comprehensive income.

A yearly dividend of 3.5 cents that translate to a yield of 2.84% of which I think is quite decent.

The anticipating of the bidding and winning of the Japan casino license would likely provide the next income driver and catalyst to boost the share price higher.

Not a call to buy or sell.

Please do your own due diligence.

For the second quarter of 2018, the Group reported revenue of $560.3 million and adjusted earnings before interest, tax, depreciation and amortisation (“Adjusted EBITDA”) of $265.9 million. Resorts World Sentosa (“RWS”) continues to be at the forefront of Singapore’s leisure and entertainment industry, attracting visitors from all around the world. Our signature attractions performed well during the second quarter of 2018 with average visitation exceeding 18,000 daily. Hotels continued to outperform industry with average occupancy of over 91% for the quarter. In the gaming segment, our VIP rolling volume showed encouraging year-on-year growth but luck factor was not in our favour. On a hold-normalised basis, RWS would have generated an Adjusted EBITDA of approximately $293 million.

For the half year ended 30 June 2018, our Group delivered a steady performance with growth in both the gaming and non-gaming businesses. The Group recorded revenue of $1,235.4 million and Adjusted EBITDA of $624.8 million, growing 4% and 8% respectively, as compared to the previous year. We achieved significant net profit growth of 38%, excluding the prior year one-off gain of $96.3 million on disposal of the Group’s interest in an integrated resort in Korea.


Resorts World Sentosa (“RWS”) is proud to be winners at the recent Singapore Tourism Awards 2018 organised by Singapore Tourism Board. We received awards in two categories, including Best Dining Experience for CURATE restaurant and its first Exceptional Achievement Award for our signature Halloween Horror Nights at Universal Studios Singapore (“USS”) as the Best Leisure Event for three consecutive years (2015-2017). USS continuously seeks to enhance visitor experience through refreshing and innovative offerings such as the marquee events Trollstopia and Jurassic World: Explore and Roar. In the MICE space, we saw good growth momentum and attracted high calibre international events such as the Alibaba Global Course that we hosted in April 2018, a signature series of public lectures presented by the Chinese e-commerce giant, that was attended by over 2,000 participants.

 A step up from previous RWS theatrical productions, our mandarin musical “Super Mommy” was warmly received during its six-week run. From 30 June to 15 July, RWS turned up the heat with “RWS Football Fever 2018”, one of the key highlights included broadcast of live matches on super-wide 270° screens to create Singapore’s most immersive spectator experience of World Cup 2018 for our guests, an entertainment extravaganza which drew an immense turnout. As Asia’s premier lifestyle destination, RWS will stage a series of exciting gourmet and lifestyle events. Following the popularity of the gastronomic events last year, over the next two months, we will be bringing back the “RWS Street Eats” featuring iconic street eats from Southeast Asia and “The Great Food Festival”, Singapore’s largest curated food and lifestyle event led by international celebrity chefs.

 In Japan, the anticipated Integrated Resorts (“IR”) Implementation Bill was enacted by the Japanese Diet on 20 July. The Group has been gearing up for this expansion opportunity and has been hiring a new team of Japanese nationals in different disciplines to prepare for the bid. 

YZJ

Nice closing today at $1.08.

Another breaking out moment!

The only concern was the volume is not high.

 Looks like it may move up to fill up the Gap at $1.11. Crossing over with ease + high volume that may drive the price higher to $1.15 then $1.19..

 Not a call to buy or sell.

 Please do your own due diligence.

 Yangzijiang Shipbuilding (Holdings) Ltd., an investment holding company, operates in the shipbuilding activities. The company operates through Shipbuilding, Investments, Trading, and Others segments. It produces a range of commercial vessels, such as containerships, dry bulk carriers, oil tankers, and liquefied natural gas (LNG) carriers. The company also engages in the production and processing of steel structures. In addition, it facilitates the sale and export of ships for the ship builder; trades in ship related equipment and shipbuilding related materials/supplies; provides microcredit to enterprises and individuals; invests in held-to-maturity financial assets; and supplies marine equipment and materials. Further, the company is involved in the ship demolition and vessel owning activities. It primarily serves ship owners in the United States, Canada, the United Kingdom, Germany, France, Greece, Norway, Argentina, Turkey, Bulgaria, Poland, Australia, Japan, South Korea, Singapore, India, Thailand, Bangladesh, Mainland China, Hong Kong, Taiwan, etc. The company was founded in 1956 and is headquartered in Jingjiang, China.

DBS

Looks like it may breakdown $25.00 barrier and head lower to retest $24.50 then $24.00.

 For those that are waiting to accumulate this Bank counter I think this round it may likely happen .

 U.S. stocks fell on Wednesday as lingering concerns over Turkey's financial crisis weighed on investor sentiment. Declines in tech shares and banks also pressured the broader indexes.

The Dow Jones Industrial Average dropped 206 points, while the S&P 500 declined 0.8 percent. The Nasdaq Composite pulled back 0.9 percent. Bank shares fell broadly as Bank of America and Citigroup both dropped more than 1 percent. J.P. Morgan Chase also fell 0.8 percent. The tech sector also dropped more than 0.6 percent.(cnbc.com)

DBS Group Holdings Ltd, an investment holding company, provides commercial banking and financial services in Singapore, Hong Kong, rest of Greater China, South and Southeast Asia, and internationally. It operates through Consumer Banking/Wealth Management, Institutional Banking, Treasury Markets, and Others segments. The Consumer Banking/Wealth Management segment offers banking and related financial services, including current and savings accounts, fixed deposits, loans and home finance, cards, payments, investment, and insurance products for individual customers. The Institutional Banking segment provides financial services and products for bank and non-bank financial institutions, government-linked companies, large corporates, and small and medium sized businesses. Its products and services comprise short-term working capital financing and specialized lending; cash management, trade finance, and securities and fiduciary services; treasury and markets products; and corporate finance and advisory banking, as well as capital markets solutions. The Treasury Markets segment is involved in structuring, market-making, and trading in a range of treasury products. The Others segment offers stock broking and Islamic banking services. The company operates approximately 280 branches across 17 markets. DBS Group Holdings Ltd was founded in 1968 and is headquartered in Singapore.