Maybank Kim Eng analyst Kareen Chan has maintained her “buy” recommendation and target price of $1.11 on Netlink NBN Trust as its distribution per unit (DPU) of 5.2% for FY2021e offers “clearer dividend visibility” than other yield plays.
This, Chan says, is due to 94% of Netlink’s 2QFY2021 revenue being secured by recurring cashflows, while 87% is under fixed regulatory pricing till the next review in end 2022.
