- Centurion’s bed rates are "tracking" the average rates of S$420/month provided by Ministry of Manpower, indicating room to grow versus other competitors which are charging upwards of S$500-$600/month. Regulatory demand to shift workers back into dormitory housing will also benefit well-established dormitory players like Centurion.
- - Read this at SGinvestors.io -
- Maintain BUY on Centurion (SGX:OU8) with an unchanged target price of S$0.58, pegged to 7.5x core FY23F P/E (5-year average).
Shifting demand back to dormitory housing.
- - Read this at SGinvestors.io -
- The shift in demand back to dormitory housing, coupled with the demand-supply mismatch where upcoming new purpose-built developments will only begin operations in 2025, will likely benefit dormitory players like Centurion.
- With effect from 19th Sep 2023, Ministry of Manpower requires proof of accommodation for new foreign workers before they are allowed to enter Singapore. Approval will be granted within a week for workers staying in dormitories, significantly faster than about six weeks or more for workers housed in non-dormitory properties. Time is of the essence for employers in the booming construction/O&G sector trying to catch up on projects delayed during the pandemic.
HKEX delisting on track.
- Read more at SGinvestors.io.
