In a July 31 note, Natarajan is staying “buy” on KORE with an unchanged target price of 29 US cents (38.73 cents), which represents a 43% upside from its current share price of 20 US cents. “KORE’s share price has staged a good recovery recently, and we see some near-term volatility before the next leg of recovery upon commencement of rate cuts.”
Keppel Pacific Oak US REIT’s (KORE) results for 1HFY2024 ended June 30 were “broadly in line” with RHB Bank Singapore’s forecast, with occupancy improvements and early refinancing of loans expiring in 4QFY2024 and FY2025.
These steps have “substantially de-risked” KORE’s profile, says RHB analyst Vijay Natarajan. “Management continues to adopt a prudent stance with the likelihood of early resumption of distributions (before 2026) only upon potential divestment.”
