The REIT also owns a 66.3% interest in Suntec Singapore Convention & Exhibition Centre, as well as a 100% stake in Suntec City Mall.
PhillipCapital analyst Liu Miaomiao has initiated a “buy” call on Suntec REIT (SGX:T82U
) with a target price of $1.47. Liu’s target price is based on a dividend discount model (DDM) valuation, cost of equity (COE) of 10.4% and terminal growth of 1%.
Suntec REIT is a commercial REIT that owns office and retail assets. Among its portfolio, which is spread across Singapore, Australia and the UK, are several Grade A office buildings including its offices in Suntec City in Singapore. In addition, the REIT owns a one-third stake each in One Raffles Quay and MBFC (or Marina Bay Financial Centre) Towers 1 and 2.
