Home Capital Broker's Calls

This logistics trust presents attractive risk-reward opportunities amid the volatility, says OCBC

Michelle Zhu
Michelle Zhu6/7/2018 10:40 AM GMT+08  • 3 min read
This logistics trust presents attractive risk-reward opportunities amid the volatility, says OCBC
SINGAPORE (June 7): OCBC Investment Research is maintaining its “buy” call on Hutchison Port Holdings Trust (HPHT) with a lower fair value of 37.5 US cents compared to 43 US cents previously after updating beta assumptions, which has resulted a higher
Font Resizer
Share to WhatsappShare to FacebookShare to LinkedInMore Share
Scroll to top
Follow us on Facebook and join our Telegram channel for the latest updates.

SINGAPORE (June 7): OCBC Investment Research is maintaining its “buy” call on Hutchison Port Holdings Trust (HPHT) with a lower fair value of 37.5 US cents compared to 43 US cents previously after updating beta assumptions, which has resulted a higher cost of equity of 10% from 8.8% before.

In a Thursday report, lead analyst Deborah Ong says the continued “buy” rating comes in view of the significant value she sees at HPHT’s current unit price, especially given the 22.4% upside to her fair value estimate with an 8.8% FY18F yield as at the trust’s Wednesday close of 30.5 US cents.

Despite HPHT’s 26.5% unit price underperformance YTD, Ong notes that it has rallied 10.9% in less than a week since June 1 and 7% on June 6 alone, with still more room to go.

For more insights on corporate trends...
Sign In or Create an account to access our premium content.
Subscription Entitlements:
Less than $9 per month
Unlimited access to latest and premium articles
3 Simultaneous logins across all devices
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)
×
Loading next article...
The Edge Singapore
Download The Edge Singapore App
Google playApple store play
Keep updated
Follow our social media
Subscribe to The Edge Singapore
Get credible investing ideas from our in-depth stock analysis, interviews with key executives, corporate movements coverage and their impact on the market.
© 2022 The Edge Publishing Pte Ltd. All rights reserved.
Unlock unlimited access to premium articles with less than $9 per month. Subscribe Now