CapitaLand China Trust - OCBC Group Research 2026-03-23: Yield Is Supportive At Current Levels

• CapitaLand China Trust's share price has corrected close to 18% since our downgrade, in part due to weaker sentiment for the entire S-REITs sector after the Iran war stoked inflation concerns and pushed back rate cut expectations.

Upgrade to HOLD on total returns potential of 8%

• - Read this at SGinvestors.io -
• - Read this at SGinvestors.io -

Expectation of 7.6% yield should support share price

• Street’s expectations of 7.6% FY26 distribution yield should provide downside support to CapitaLand China Trust's share price at current levels.
• Our implied FY26 distribution yield of 6.6% is below Bloomberg consensus estimates of 7.6%, but we prefer to remain cautious pending the acquisition of a replacement asset for CapitaMall Yuhuating and a clearer bottoming out of performance.

Cautious consumer sentiment and ample new supply may continue to weigh on retail rents until 2027, while logistics rents may rebound around 2028 on limited new supply

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Above is an excerpt from a report by OCBC Group Research.
Clients of OCBC Securities may be the first to access the full PDF report @ https://www.iocbc.com/.

Previous report by OCBC:
2026-02-05 CapitaLand China Trust - Near Term Outlook Remains Challenged.

Price targets by other brokers at CapitaLand China Trust Target Prices.

Listing of research reports at CapitaLand China Trust Analyst Reports.

Relevant links:
CapitaLand China Trust Share Price History,
CapitaLand China Trust Announcements,
CapitaLand China Trust Dividend Payout Dates & Corporate Actions,
CapitaLand China Trust News