Keppel REIT K71U

Morningstar Rating
SGD 0.97 +0.01 (0.52%)
View Full Chart

Company Report

Keppel REIT's Portfolio of High-Quality Office Assets Underpins a Stable Earnings Profile

Keppel REIT is a pure-play commercial real estate investment trust with SGD 9.6 billion of office assets (as of June 30, 2024) spread across Singapore, Australia, South Korea, and Japan. Most of its assets are income-producing, with one office building in Sydney currently under development. Most of its assets are Grade A office buildings located in central business districts, where they are highly coveted for quality office space and proximity to businesses and key transport nodes. This enables Keppel REIT to command premium rent while maintaining high occupancy rates. In addition, its tenant base is one of the best in class, with government agencies and international banks in its register.

Price vs Fair Value

K71U is trading within a range we consider fairly valued.
Price
SGD 0.96
Fair Value
SGD 8.46
Uncertainty
Low
1-Star Price
SGD 9.82
5-Star Price
SGD 3.79
Economic Moat
Yxtx
Capital Allocation
Knjcbpkz

Bulls Say, Bears Say

Bulls

KREIT has a strong and reputable sponsor with expertise in property development that it can tap for a future acquisition pipeline and to participate in development opportunities.

Bears

Although investments in Australia and South Korea provide geographical diversification, most income is derived from Singapore, exposing KREIT to downside potential in the event of an economic slowdown there.

Trading Information

Previous Close Price
SGD 0.96
Day Range
SGD 0.960.97
52-Week Range
SGD 0.780.99
Bid/Ask
SGD 0.96 / SGD 0.97
Market Cap
SGD 3.70 Bil
Volume/Avg
5.6 Mil / 8.3 Mil

Key Statistics

Price/Earnings (Normalized)
19.40
Price/Sales
15.07
Dividend Yield (Trailing)
5.94%
Dividend Yield (Forward)
5.94%
Total Yield
5.94%

Company Profile

Keppel REIT is a pure-play commercial real estate investment trust with an SGD 9.6 billion portfolio of assets (as of June 30, 2024) across Singapore, Australia, South Korea, and Japan. The majority of its assets are in Singapore, where it owns a 100% stake in Keppel Bay Tower, a 79.9% stake in Ocean Financial Centre, and a 33.33% stake in Marina Bay Financial Centre and One Raffles Quay. The trust is externally managed by Keppel REIT Management, a subsidiary of Keppel Capital. Parent Keppel Corp. currently retains an approximate 38% stake in KREIT.
Sector
Real Estate
Industry
REIT - Office
Stock Style Box
Mid Core
Total Number of Employees
23

Competitors

Valuation

Metric
K71U
C38U
T82U
Price/Earnings (Normalized)
19.4018.2528.76
Price/Book Value
0.741.010.63
Price/Sales
15.079.108.34
Price/Cash Flow
34.5119.4614.47
Price/Earnings
K71U
C38U
T82U

Financial Strength

Metric
K71U
C38U
T82U
Quick Ratio
0.220.120.37
Current Ratio
0.250.120.43
Interest Coverage
3.023.342.20
Quick Ratio
K71U
C38U
T82U

Profitability

Metric
K71U
C38U
T82U
Return on Assets (Normalized)
1.84%3.42%2.14%
Return on Equity (Normalized)
3.08%5.95%3.89%
Return on Invested Capital (Normalized)
2.74%4.91%3.51%
Return on Assets
K71U
C38U
T82U

REIT - Office Industry Comparables

1-Day Chart
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Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
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SL Green Realty Corp
SLG
StnzbcqdLpbn$4.5 Bil
Cousins Properties Inc
CUZ
Vsgs$4.4 Bil
Kilroy Realty Corp
KRC
XsmqjqyskLgksy$4.4 Bil

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