SINGAPORE (Feb 1): DBS is maintaining its “buy” call on Ascendas India Trust (a-iTrust), with a revised target price of $1.12.
“While a-iTrust has rallied over 30% since we upgraded the stock to ‘buy’ 12 months ago, and investor interest has picked up, we believe aiTrust’s growth story has yet to gain recognition among investors at large,” says lead analyst Mervin Song in a Wednesday report.
With Singapore-focused REITs increasingly facing headwinds translating into slowing DPU growth (average DPU CAGR of 1%), Song anticipates investors will gravitate to aiTrust given its healthy two-year DPU CAGR of 6% and still decent 5.4-5.9% yield.
