The analyst further sees opportunities for the group to grow on Singapore’s Smart Nation initiative, which he says would have a positive impact on demand for the group’s non-building address point (NBAP) connections.
SINGAPORE (Aug 31): UOB Kay Hian has initiated coverage on NetLink NBN Trust with a “buy” and target price of 93 cents, which implies an annualised distribution yield of 5.2% and 6% of the research house’s projects for FY18 and FY19, respectively.
In a Tuesday report, analyst Jonathan Koh says he likes the stock for its “resilient, predictable, transparent and regulated” revenue streams, as the group’s business is immune to competition with its extensive nationwide coverage and an established customer base.
