The analyst notes that distribution per unit (DPU) for S-REITs declined 14% y-o-y to 4.3 cents due to increased financing costs. Following the US Fed’s 50 basis points rate cut, Wang expects a 3% improvement in the ETF’s DPU.
PhillipCapital Research analyst Helena Wang has maintained her “accumulate” call on the Lion-Phillip S-REIT ETF, at an unchanged target price of 91 cents, according to a note dated Oct 18.
According to Wang, there were no new additions or removals during the period of reporting. Singapore REITs (S-REITs) remain well-diversified across eight sectors, with the largest sector in industrials at 41.1%, she points out. The second-largest sector is retail at 19.0%, she adds.
