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1881

Regal Real Estate Investment TrustSEHK:1881 Stock Report

Market Cap

HK$4.7b

7D

2.1%

1Y

26.1%

Updated

23 Oct, 2021

Data

Company Financials +
1881 fundamental analysis
Snowflake Score
Valuation3/6
Future Growth3/6
Past Performance0/6
Financial Health2/6
Dividends2/6

1881 Overview

Regal REIT is a Hong Kong collective investment scheme authorised under section 104 of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong) and its Units were listed on The Stock Exchange of Hong Kong Limited on 30th March, 2007.

Price History & Performance

Summary of all time highs, changes and price drops for Regal Real Estate Investment Trust
Historical stock prices
Current Share PriceHK$1.45
52 Week HighHK$1.13
52 Week LowHK$1.80
Beta0.90
1 Month Change6.62%
3 Month Change-13.17%
1 Year Change26.09%
3 Year Change-32.87%
5 Year Change-29.95%
Change since IPO-46.10%

Recent News & Updates

Shareholder Returns

1881HK REITsHK Market
7D2.1%-0.2%2.2%
1Y26.1%9.8%6.0%

Return vs Industry: 1881 exceeded the Hong Kong REITs industry which returned 9.8% over the past year.

Return vs Market: 1881 exceeded the Hong Kong Market which returned 5.9% over the past year.

Price Volatility

Is 1881's price volatile compared to industry and market?
1881 volatility
1881 Beta0.90
Industry Beta0.69
Market Beta1

Stable Share Price: 1881 is less volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: 1881's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2006n/an/ahttps://www.regalreit.com

Regal REIT is a Hong Kong collective investment scheme authorised under section 104 of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong) and its Units were listed on The Stock Exchange of Hong Kong Limited on 30th March, 2007. Regal REIT is governed by a trust deed dated 11th December, 2006 (as amended by the first supplemental trust deed dated 2nd March, 2007, the second supplemental trust deed dated 15th May, 2008, the third supplemental trust deed dated 8th May, 2009, the fourth supplemental trust deed dated 23rd July, 2010, the fifth supplemental trust deed dated 3rd May, 2011, the sixth supplemental trust deed dated 21st July, 2011 and the seventh supplemental trust deed dated 14th April, 2015) constituting Regal REIT (the “Trust Deed”) and the REIT Code. The principal activity of Regal REIT and its subsidiaries (collectively, the “Group”) is to own and invest in income-producing hotels, serviced apartments or commercial properties (including office premises) with the objectives of producing stable and growing distributions to Unitholders and to achieve long-term growth in the net asset value per Unit.

Regal Real Estate Investment Trust Fundamentals Summary

How do Regal Real Estate Investment Trust's earnings and revenue compare to its market cap?
1881 fundamental statistics
Market CapHK$4.72b
Earnings (TTM)-HK$288.06m
Revenue (TTM)HK$731.40m

6.5x

P/S Ratio

-16.4x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
1881 income statement (TTM)
RevenueHK$731.40m
Cost of RevenueHK$100.06m
Gross ProfitHK$631.33m
ExpensesHK$919.39m
Earnings-HK$288.06m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.088
Gross Margin86.32%
Net Profit Margin-39.39%
Debt/Equity Ratio85.8%

How did 1881 perform over the long term?

See historical performance and comparison

Dividends

9.4%

Current Dividend Yield

101%

Payout Ratio

Valuation

Is Regal Real Estate Investment Trust undervalued compared to its fair value and its price relative to the market?

29.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 1881 (HK$1.45) is trading below our estimate of fair value (HK$2.07)

Significantly Below Fair Value: 1881 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1881 is unprofitable, so we can't compare its PE Ratio to the Hong Kong REITs industry average.

PE vs Market: 1881 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1881's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1881 is good value based on its PB Ratio (0.4x) compared to the HK REITs industry average (0.6x).


Future Growth

How is Regal Real Estate Investment Trust forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

111.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1881 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.5%).

Earnings vs Market: 1881 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: 1881's is expected to become profitable in the next 3 years.

Revenue vs Market: 1881's revenue is expected to decline over the next 3 years (-8.3% per year).

High Growth Revenue: 1881's revenue is forecast to decline over the next 3 years (-8.3% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 1881's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Regal Real Estate Investment Trust performed over the past 5 years?

-49.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1881 is currently unprofitable.

Growing Profit Margin: 1881 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 1881 is unprofitable, and losses have increased over the past 5 years at a rate of 49.1% per year.

Accelerating Growth: Unable to compare 1881's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1881 is unprofitable, making it difficult to compare its past year earnings growth to the REITs industry (-1.7%).


Return on Equity

High ROE: 1881 has a negative Return on Equity (-2.48%), as it is currently unprofitable.


Financial Health

How is Regal Real Estate Investment Trust's financial position?


Financial Position Analysis

Short Term Liabilities: 1881's short term assets (HK$142.3M) do not cover its short term liabilities (HK$4.7B).

Long Term Liabilities: 1881's short term assets (HK$142.3M) do not cover its long term liabilities (HK$6.0B).


Debt to Equity History and Analysis

Debt Level: 1881's debt to equity ratio (85.8%) is considered high.

Reducing Debt: 1881's debt to equity ratio has increased from 61.1% to 85.8% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable 1881 has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: 1881 is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 4.9% per year.


Dividend

What is Regal Real Estate Investment Trust current dividend yield, its reliability and sustainability?

9.38%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 1881's dividend (9.38%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.22%).

High Dividend: 1881's dividend (9.38%) is in the top 25% of dividend payers in the Hong Kong market (6.77%)


Stability and Growth of Payments

Stable Dividend: 1881's dividend payments have been volatile in the past 10 years.

Growing Dividend: 1881's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (100.9%), 1881's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

11.6yrs

Average board tenure


CEO

Regal Real Estate Investment Trust has no CEO, or we have no data on them.


Board Members

Experienced Board: 1881's board of directors are seasoned and experienced ( 11.6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Regal Real Estate Investment Trust's employee growth, exchange listings and data sources


Key Information

  • Name: Regal Real Estate Investment Trust
  • Ticker: 1881
  • Exchange: SEHK
  • Founded: 2006
  • Industry: Hotel and Resort REITs
  • Sector: Real Estate
  • Market Cap: HK$4.723b
  • Shares outstanding: 3.26b
  • Website: https://www.regalreit.com

Location

  • Regal Real Estate Investment Trust
  • Unit No. 2001
  • 20th Floor
  • Causeway Bay
  • New Territories
  • Hong Kong

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/23 10:04
End of Day Share Price2021/10/22 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.