The analyst also observed that the REIT’s results largely mimics the weakening trends in Singapore’s hospitality sector with FEHT’s hotel performance moderating through the FY2024 ended Dec 31, 2024.
Citi Research analyst Brandon Lee has downgraded his call on Far East Hospitality Trust (SGX:Q5T
) (FEHT) to “sell” from “buy” as he sees increasing industry headwinds. The analyst has also slashed his target price estimate to 53 cents from 73 cents previously for the same reasons.
“We expect further moderation in the growth of Singapore’s hospitality sector, with RevPAR strength unlikely to be sustained given slower growth in visitor arrivals and continued growth in supply of hotels,” Lee writes in his report dated Feb 17 (US time). RevPAR refers to revenue per available room.
