- CapitaLand Investment (SGX:9CI)'s 1H23 revenue of S$1.345bn (-0.7% y-o-y) was slightly below our estimates, forming 41% of our FY23e forecast, due to a 3.6% decline in contribution from the Real Estate Investment Business (REIB) as there was loss of contribution from properties divested in 2022, as well as lower contribution from properties in China. It was partially offset by higher Fee Income-related Business (FRB), which was up 2.4% y-o-y supported by stronger fees from lodging management.
- - Read this at SGinvestors.io -
- Upgrade CapitaLand Investment to BUY with a lower SOTP-based target price of S$3.68. We lower FY23e/24e earnings forecast for CapitaLand Investment by 17% to account for higher finance costs, lower portfolio gains, and lower margins from FRB. Our SOTP-derived target price of S$3.68 for CapitaLand Investment represents an upside of 22.9% and a forward P/E of 15x.
- - Read this at SGinvestors.io -
The Positives
Lodging segment star performer.
- Read more at SGinvestors.io.
Above is the excerpt from report by Phillip Securities Research.
Clients of Phillip Capital may be the first to access the full report in PDF @ https://www.stocksbnb.com/.
Darren Chan Phillip Securities Research | https://www.stocksbnb.com/ 2023-08-18
Read also Phillip's most recent report:
2024-09-04 CapitaLand Investment - Divesting ION Orchard.
Previous report by Phillip:
2024-08-19 CapitaLand Investment - Shifting Towards Fee-Related Earnings.
Price targets by 4 other brokers at CapitaLand Investment Target Prices.
Listing of research reports at CapitaLand Investment Analyst Reports.
Relevant links:
CapitaLand Investment Share Price History,
CapitaLand Investment Announcements,
CapitaLand Investment Dividends & Corporate Actions,
CapitaLand Investment News Articles
