- We remain positive on Centurion (SGX:OU8) and continue to see growth driven by higher bed capacity, occupancy, and rental rates. Reiterate BUY, with S$0.64 target price, 43% upside and ~6% FY24F yield.
- - Read this at SGinvestors.io -
Enters the Hong Kong student accommodation market.
- Last week, Centurion announced that it has established a 60%-owned subsidiary, Centurion-Lionrock (HK), with an independent third party and 40% joint venture partner LionRock Property.
- The new subsidiary has entered into a master lease agreement with Smart Enterprises to lease a building located at 177 Prince Edward Road West, Kowloon, Hong Kong, with the intent to refurbish it into a 66-bed student accommodation. The refurbishment is expected to be completed and operational in Sept 2024 and will cost approximately HKD11.5m (~S$2m), including initial working capital.
- - Read this at SGinvestors.io -
Minimal impact to overall earnings
- Read more at SGinvestors.io.
Alfie Yeo RHB Securities Research | https://www.rhbgroup.com/ 2024-04-18
Previous report by RHB:
2024-03-05 Centurion - More Positive On Operating Leverage; Keep BUY.
Price targets by 4 other brokers at Centurion Target Prices.
Listing of research reports at Centurion Analyst Reports.
Relevant links:
Centurion Share Price History,
Centurion Announcements,
Centurion Dividends & Corporate Actions,
Centurion News Articles
