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Keppel DC REIT

SGX:AJBU
Snowflake Description

Proven track record second-rate dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
AJBU
SGX
SGD2B
Market Cap
  1. Home
  2. SG
  3. Real Estate
Company description

Listed on 12 December 2014, Keppel DC REIT is the first pure-play data centre REIT listed in Asia and on the Singapore Exchange (SGX-ST). The last earnings update was 11 days ago. More info.


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AJBU Share Price and Events
7 Day Returns
0.7%
SGX:AJBU
0.7%
SG REITs
-0.1%
SG Market
1 Year Returns
4.9%
SGX:AJBU
3.9%
SG REITs
-6%
SG Market
AJBU Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Keppel DC REIT (AJBU) 0.7% 0.7% 1.4% 4.9% 37% -
SG REITs 0.7% 0.1% 4.1% 3.9% 14.2% 12.5%
SG Market -0.1% 3.3% 3.8% -6% 10.7% -2.8%
1 Year Return vs Industry and Market
  • AJBU outperformed the REITs industry which returned 3.9% over the past year.
  • AJBU outperformed the Market in Singapore which returned -6% over the past year.
Price Volatility
AJBU
Industry
5yr Volatility vs Market

AJBU Value

 Is Keppel DC REIT undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Keppel DC REIT to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Keppel DC REIT.

SGX:AJBU Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity using Adjusted Funds From Operations
Levered Adjusted Funds From Operations Average of 8 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.1%
Perpetual Growth Rate 10-Year SG Government Bond Rate 2.3%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for SGX:AJBU
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year SG Govt Bond Rate 2.3%
Equity Risk Premium S&P Global 6%
REITs Unlevered Beta Simply Wall St/ S&P Global 0.54
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.539 (1 + (1- 17%) (36.8%))
0.801
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.3% + (0.801 * 5.96%)
7.08%

Discounted Cash Flow Calculation for SGX:AJBU using 2 Stage Free Cash Flow to Equity using Adjusted Funds From Operations Model

The calculations below outline how an intrinsic value for Keppel DC REIT is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Keppel DC REIT is a Real Estate Investment Trust (REIT), we use funds from operations (FFO) or adjusted funds from operations (AFFO) instead of levered free cash flow for REITs. This excludes depreciation and borrowing. Ideally analysts estimates of AFFO are used, where these aren't available we use FFO.

SGX:AJBU DCF 1st Stage: Next 10 year cash flow forecast
Adjusted Funds From Operations (AFFO) (SGD, Millions) Source Present Value
Discounted (@ 7.08%)
2019 107.00 Analyst x1 99.93
2020 110.00 Analyst x1 95.94
2021 117.00 Analyst x1 95.29
2022 121.48 Est @ 3.83% 92.40
2023 125.58 Est @ 3.37% 89.21
2024 129.41 Est @ 3.05% 85.85
2025 133.07 Est @ 2.83% 82.44
2026 136.63 Est @ 2.67% 79.05
2027 140.12 Est @ 2.56% 75.71
2028 143.60 Est @ 2.48% 72.46
Present value of next 10 years cash flows SGD868.28
SGX:AJBU DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= SGD143.60 × (1 + 2.3%) ÷ (7.08% – 2.3%)
SGD3,075.78
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= SGD3,075.78 ÷ (1 + 7.08%)10
SGD1,552.02
SGX:AJBU Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= SGD868.28 + SGD1,552.02
SGD2,420.30
Equity Value per Share
(SGD)
= Total value / Shares Outstanding
= SGD2,420.30 / 1,351.94
SGD1.79
SGX:AJBU Discount to Share Price
Calculation Result
Value per share (SGD) From above. SGD1.79
Current discount Discount to share price of SGD1.50
= -1 x (SGD1.50 - SGD1.79) / SGD1.79
16.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Keppel DC REIT is available for.
Intrinsic value
16%
Share price is SGD1.5 vs Future cash flow value of SGD1.79
Current Discount Checks
For Keppel DC REIT to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Keppel DC REIT's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Keppel DC REIT's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Keppel DC REIT's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Keppel DC REIT's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
SGX:AJBU PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in SGD SGD0.11
SGX:AJBU Share Price ** SGX (2019-04-26) in SGD SGD1.5
Singapore REITs Industry PE Ratio Median Figure of 39 Publicly-Listed REITs Companies 13.61x
Singapore Market PE Ratio Median Figure of 328 Publicly-Listed Companies 13.26x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Keppel DC REIT.

SGX:AJBU PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SGX:AJBU Share Price ÷ EPS (both in SGD)

= 1.5 ÷ 0.11

13.61x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Keppel DC REIT is good value based on earnings compared to the SG REITs industry average.
  • Keppel DC REIT is overvalued based on earnings compared to the Singapore market.
Price based on expected Growth
Does Keppel DC REIT's expected growth come at a high price?
Raw Data
SGX:AJBU PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 13.61x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts
-1.2%per year
Singapore REITs Industry PEG Ratio Median Figure of 37 Publicly-Listed REITs Companies 2.12x
Singapore Market PEG Ratio Median Figure of 120 Publicly-Listed Companies 1.68x

*Line of best fit is calculated by linear regression .

SGX:AJBU PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 13.61x ÷ -1.2%

-11.53x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Keppel DC REIT earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Keppel DC REIT's assets?
Raw Data
SGX:AJBU PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in SGD SGD1.05
SGX:AJBU Share Price * SGX (2019-04-26) in SGD SGD1.5
Singapore REITs Industry PB Ratio Median Figure of 41 Publicly-Listed REITs Companies 0.96x
Singapore Market PB Ratio Median Figure of 432 Publicly-Listed Companies 0.75x
SGX:AJBU PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SGX:AJBU Share Price ÷ Book Value per Share (both in SGD)

= 1.5 ÷ 1.05

1.43x

* Primary Listing of Keppel DC REIT.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Keppel DC REIT is overvalued based on assets compared to the SG REITs industry average.
X
Value checks
We assess Keppel DC REIT's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the REITs industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the REITs industry average (and greater than 0)? (1 check)
  5. Keppel DC REIT has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

AJBU Future Performance

 How is Keppel DC REIT expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-1.2%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Keppel DC REIT expected to grow at an attractive rate?
  • Keppel DC REIT's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.3%.
Growth vs Market Checks
  • Keppel DC REIT's earnings are expected to decrease over the next 1-3 years, this is below the Singapore market average.
  • Keppel DC REIT's revenue growth is positive but not above the Singapore market average.
Annual Growth Rates Comparison
Raw Data
SGX:AJBU Future Growth Rates Data Sources
Data Point Source Value (per year)
SGX:AJBU Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts -1.2%
SGX:AJBU Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 8 Analysts 2.9%
Singapore REITs Industry Earnings Growth Rate Market Cap Weighted Average -1.9%
Singapore REITs Industry Revenue Growth Rate Market Cap Weighted Average 3.8%
Singapore Market Earnings Growth Rate Market Cap Weighted Average 6.1%
Singapore Market Revenue Growth Rate Market Cap Weighted Average 4.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
SGX:AJBU Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 weeks ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
All numbers in SGD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
SGX:AJBU Future Estimates Data
Date (Data in SGD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 202 143 132 7
2020-12-31 196 132 124 8
2019-12-31 193 153 122 1
SGX:AJBU Past Financials Data
Date (Data in SGD Millions) Revenue Cash Flow Net Income *
2019-03-31 186 121 147
2018-12-31 176 112 142
2018-09-30 164 108 81
2018-06-30 152 100 74
2018-03-31 145 103 67
2017-12-31 139 118 65
2017-09-30 129 98 60
2017-06-30 116 94 59
2017-03-31 107 85 59
2016-12-31 99 76 51
2016-09-30 97 75 109
2016-06-30 100 77 105

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Keppel DC REIT's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Keppel DC REIT's revenue is expected to grow by 2.9% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
SGX:AJBU Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 weeks ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below

All data from Keppel DC REIT Company Filings, last reported 3 weeks ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SGX:AJBU Future Estimates Data
Date (Data in SGD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 0.10 0.11 0.09 5.00
2020-12-31 0.09 0.10 0.08 6.00
2019-12-31 0.09 0.09 0.09 3.00
SGX:AJBU Past Financials Data
Date (Data in SGD Millions) EPS *
2019-03-31 0.11
2018-12-31 0.11
2018-09-30 0.07
2018-06-30 0.06
2018-03-31 0.06
2017-12-31 0.06
2017-09-30 0.05
2017-06-30 0.06
2017-03-31 0.06
2016-12-31 0.06
2016-09-30 0.12
2016-06-30 0.12

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Keppel DC REIT is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Keppel DC REIT's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Singapore market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Singapore market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Keppel DC REIT has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

AJBU Past Performance

  How has Keppel DC REIT performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Keppel DC REIT's growth in the last year to its industry (REITs).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Keppel DC REIT's year on year earnings growth rate has been positive over the past 5 years.
  • Keppel DC REIT's 1-year earnings growth exceeds its 5-year average (118.8% vs 16.3%)
  • Keppel DC REIT's earnings growth has exceeded the SG REITs industry average in the past year (118.8% vs 2.3%).
Earnings and Revenue History
Keppel DC REIT's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Keppel DC REIT Company Filings, last reported 3 weeks ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SGX:AJBU Past Revenue, Cash Flow and Net Income Data
Date (Data in SGD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 185.56 147.13 0.85
2018-12-31 175.54 141.88 0.84
2018-09-30 164.32 81.27 0.72
2018-06-30 152.25 74.29 0.72
2018-03-31 144.83 67.25 0.74
2017-12-31 139.05 65.23 0.72
2017-09-30 129.06 59.84 0.80
2017-06-30 116.24 59.41 0.77
2017-03-31 106.59 59.25 0.73
2016-12-31 99.14 50.94 0.72
2016-09-30 97.06 108.83 0.62
2016-06-30 100.14 104.69 0.62
2016-03-31 101.31 101.69 0.62
2015-12-31 102.46 104.42 0.62
2015-09-30 54.79 34.81 0.23
2015-06-30 50.13 30.39 0.22
2014-12-31 57.04 32.54 0.23
2014-09-30 108.97 67.03 0.18
2013-12-31 101.16 62.58 0.18
2012-12-31 81.19 43.52 0.18

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Keppel DC REIT has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Keppel DC REIT used its assets more efficiently than the SG REITs industry average last year based on Return on Assets.
  • Keppel DC REIT's use of capital has not improved over the past 3 years (Return on Capital Employed).
X
Past performance checks
We assess Keppel DC REIT's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the REITs industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Keppel DC REIT has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

AJBU Health

 How is Keppel DC REIT's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Keppel DC REIT's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Keppel DC REIT is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Keppel DC REIT's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Keppel DC REIT's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.3x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Keppel DC REIT Company Filings, last reported 3 weeks ago.

SGX:AJBU Past Debt and Equity Data
Date (Data in SGD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 1,449.00 746.36 127.89
2018-12-31 1,475.99 711.11 128.57
2018-09-30 1,409.80 715.75 99.69
2018-06-30 1,389.74 711.01 121.43
2018-03-31 1,109.46 718.92 98.74
2017-12-31 1,116.50 581.42 118.18
2017-09-30 1,108.99 575.27 93.64
2017-06-30 1,115.55 470.56 111.21
2017-03-31 1,090.04 465.88 94.63
2016-12-31 1,073.87 472.67 297.96
2016-09-30 785.88 370.49 33.34
2016-06-30 810.89 372.04 41.42
2016-03-31 796.96 373.44 29.71
2015-12-31 813.49 373.34 37.16
2015-09-30 756.89 360.76 22.30
2015-06-30 779.69 316.12 31.23
2014-12-31 773.03 327.16 25.54
2014-09-30 766.43 326.49 7.16
2013-12-31
2012-12-31
  • Keppel DC REIT's level of debt (51.5%) compared to net worth is high (greater than 40%).
  • Unable to establish if Keppel DC REIT's debt level has increased without past 5-year debt data.
  • Debt is not well covered by operating cash flow (16.2%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 8.7x coverage).
X
Financial health checks
We assess Keppel DC REIT's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Keppel DC REIT has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

AJBU Dividends

 What is Keppel DC REIT's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
4.88%
Current annual income from Keppel DC REIT dividends. Estimated to be 48.96% next year.
If you bought SGD2,000 of Keppel DC REIT shares you are expected to receive SGD98 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Keppel DC REIT's pays a higher dividend yield than the bottom 25% of dividend payers in Singapore (2.51%).
  • Keppel DC REIT's dividend is below the markets top 25% of dividend payers in Singapore (5.48%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
SGX:AJBU Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
Singapore REITs Industry Average Dividend Yield Market Cap Weighted Average of 41 Stocks 5.6%
Singapore Market Average Dividend Yield Market Cap Weighted Average of 278 Stocks 3.9%
Singapore Minimum Threshold Dividend Yield 10th Percentile 1.6%
Singapore Bottom 25% Dividend Yield 25th Percentile 2.5%
Singapore Top 25% Dividend Yield 75th Percentile 5.5%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

SGX:AJBU Future Dividends Estimate Data
Date (Data in SGD) Dividend per Share (annual) Avg. No. Analysts
2023-12-31 8.97 1.00
2022-12-31 8.79 1.00
2021-12-31 0.09 9.00
2020-12-31 0.08 10.00
2019-12-31 0.08 6.00
SGX:AJBU Past Annualized Dividends Data
Date (Data in SGD) Dividend per share (annual) Avg. Yield (%)
2019-01-22 0.073 4.990
2018-01-22 0.071 5.161
2017-03-27 0.061 4.660
2017-01-23 0.061 5.199
2016-07-19 0.066 5.476
2016-01-14 0.066 6.154
2015-10-15 0.068 6.583
2015-07-16 0.071 6.839

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Whilst dividend payments have been stable, Keppel DC REIT has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but Keppel DC REIT only paid a dividend in the past 4 years.
Current Payout to shareholders
What portion of Keppel DC REIT's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.3x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be thoroughly covered by earnings (52.4x coverage).
X
Income/ dividend checks
We assess Keppel DC REIT's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.6%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Keppel DC REIT afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Keppel DC REIT has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

AJBU Management

 What is the CEO of Keppel DC REIT's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Hsien Yang Chua
AGE 40
CEO Bio

Mr. Hsien Yang Chua serves as the Chief Executive Officer of Keppel Data Centre REIT Management Pte Ltd and Keppel Corporation Limited. Mr. Chua served as the Chief Executive Officer of Keppel Data Centre REIT Management Pte Ltd at Keppel Telecommunications & Transportation Ltd until August 4, 2016. Mr. Chua has extensive experience in real estate funds management and the hospitality industries and has more than 13 years of experience in mergers and acquisitions, real estate investments, business development and asset management in the real estate sector within Asia Pacific. He joined the REIT Management Limited in 2008. He served as Director of Business Development & Asset Management at Ascott Residence Trust Management Limited from January 2006 to April 2008 and was stationed in China. He served as Senior Vice President of Keppel REIT Management Limited since 2008. From October 2001 to December 2005, Mr. Chua was with Hotel Plaza Limited (now known as Pan Pacific Hotels Group Limited) as Assistant Vice President of Asset Management and he was responsible for the asset management activities of owned properties. He served as Principal /Director of Mirvac 8 Chifley Pty Limited and Mirvac (Old Treasury) Pty Limited from January 1, 2010 to December 31, 2014. Mr. Chua holds a Bachelor of Civil Engineering Degree from the University of Canterbury, NewZealand and a Master of Business Administration Degree from the University of Western Australia.

CEO Compensation
  • Insufficient data for Hsien Yang to compare compensation growth.
  • Insufficient data for Hsien Yang to establish whether their remuneration is reasonable compared to companies of similar size in Singapore.
Management Team

Hsien Yang Chua

TITLE
Chief Executive Officer of Keppel DC REIT Management Pte Ltd
AGE
40

Adam Lee

TITLE
Head of Finance
AGE
33
TENURE
0.8 yrs

Anthea Lee

TITLE
Deputy CEO & Head of Investment of Keppel DC REIT Management Pte Ltd
AGE
44

Huihui Liang

TITLE
Assistant Manager Investor Relations

Kelvin Chua

TITLE
Company Secretary of Keppel DC REIT Management Pte Ltd

Winnie Weiling

TITLE
Joint Company Secretary of Keppel DC REIT Management Pte Ltd
TENURE
0.8 yrs
Board of Directors Tenure

Average tenure and age of the Keppel DC REIT board of directors in years:

4.4
Average Tenure
56
Average Age
  • The tenure for the Keppel DC REIT board of directors is about average.
Board of Directors

Christina Tan

TITLE
Chairman of the Board- Keppel DC REIT Management Pte Ltd
COMPENSATION
SGD80K
AGE
52
TENURE
1 yrs

Chiang Lee

TITLE
Independent Director of Keppel DC REIT Management Pte Ltd
COMPENSATION
SGD69K
AGE
68
TENURE
4.4 yrs

Tin Tan

TITLE
Independent Director of Keppel DC REIT Management Pte Ltd
COMPENSATION
SGD72K
AGE
56
TENURE
4.4 yrs

Dileep Nair

TITLE
Independent Director of Keppel DC REIT Management Pte Ltd
COMPENSATION
SGD66K
AGE
67
TENURE
4.4 yrs

Thomas Pang

TITLE
Non-Executive Director of Keppel DC REIT Management Pte Ltd
COMPENSATION
SGD46K
AGE
53
TENURE
4.4 yrs

Kenny Kwan

TITLE
Independent Director of Keppel DC REIT Management Pte Ltd.
AGE
48
TENURE
0.2 yrs

Huan Low

TITLE
Independent Director of Keppel DC REIT Management Pte Ltd.
AGE
61
TENURE
0.2 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (SGD) Value (SGD)
10. Sep 18 Sell Keppel Corporation Limited Company 05. Sep 18 05. Sep 18 -55,118,336 SGD1.36 SGD-74,960,900
05. Sep 18 Buy UBS Asset Management Company 31. Aug 18 31. Aug 18 55,118,336 SGD1.36 SGD74,960,887
03. Sep 18 Sell Keppel Corporation Limited Company 31. Aug 18 31. Aug 18 -55,118,336 SGD1.36 SGD-74,960,887
X
Management checks
We assess Keppel DC REIT's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Keppel DC REIT has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

AJBU News

Simply Wall St News

Is Keppel DC REIT's (SGX:AJBU) 9.9% ROE Better Than Average?

Keppel DC REIT has a ROE of 9.9%, based on the last twelve months. … Another way to think of that is that for every SGD1 worth of equity in the company, it was able to earn SGD0.099. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Keppel DC REIT (SGX:AJBU): What Can We Expect In The Future?

Keppel DC REIT's (SGX:AJBU) most recent earnings announcement in December 2018a … suggested … business

Simply Wall St -

Investors Who Bought Keppel DC REIT (SGX:AJBU) Shares Three Years Ago Are Now Up 37%

For example, the Keppel DC REIT (SGX:AJBU) share price is up 37% in the last three years, clearly besting than the market return of around 9.2% (not including dividends). … One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … Over the last three years, Keppel DC REIT failed to grow earnings per share, which fell 2.1% (annualized).

Simply Wall St -

What Kind Of Shareholder Owns Most Keppel DC REIT (SGX:AJBU) Stock?

Every investor in Keppel DC REIT (SGX:AJBU) should be aware of the most powerful shareholder groups. … Institutions often own shares in more established companies, while it's not unusual to see insiders own a fair bit of smaller companies. … With a market capitalization of S$2.0b, Keppel DC REIT is a decent size, so it is probably on the radar of institutional investors.

Simply Wall St -

What Should You Know About Keppel DC REIT's (SGX:AJBU) Future?

Since Keppel DC REIT (SGX:AJBU) released its earnings in September 2018,. … with earnings expected to grow by 38% in the upcoming year … the past 5-year average growth rate of 5.5%

Simply Wall St -

One Metric To Rule Them All: Keppel DC REIT (SGX:AJBU)

Keppel DC REIT is a S$1.9b. … real estate investment trust (REIT) based in Singapore, Singapore. … REIT investors should be familiar with the term Fund from Operations (FFO) – a REIT’s main source of cash flow from its day-to-day business activities

Simply Wall St -

How Did Keppel DC REIT's (SGX:AJBU) 6.1% ROE Fare Against The Industry?

While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. … Our data shows Keppel DC REIT has a return on equity of 6.1% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Have You Considered This Before Investing In Keppel DC REIT (SGX:AJBU)?

I will take you through Keppel DC REIT’s cash flow health and the risk-return concept based on the stock’s cash flow yield, using the most recent financial data. … Keppel DC REIT generates cash through its day-to-day business, which needs to be reinvested into the company in order for it to continue operating. … I will be analysing Keppel DC REIT’s FCF by looking at its FCF yield and its operating cash flow growth.

Simply Wall St -

How Should You Analyze REIT Stock Keppel DC REIT (SGX:AJBU)?

Keppel DC REIT is a S$1.88b. … real estate investment trust (REIT) based in Singapore, Singapore. … A common financial term REIT investors should know is Funds from Operations, or FFO for short, which is a REIT's main source of income from its portfolio of property, such as rent

Simply Wall St -

Keppel DC REIT (SGX:AJBU): Can Growth Justify Its August Share Price?

Looking at Keppel DC REIT’s (SGX:AJBU) fundamentals some investors are wondering if its last closing price of SGD1.41 represents a good value for money for this high growth stock. … Let’s look into this by assessing AJBU's expected growth over the next few years. … According to the analysts covering the company, the following few years should bring about good growth prospects for Keppel DC REIT

Simply Wall St -

AJBU Company Info

Description

Listed on 12 December 2014, Keppel DC REIT is the first pure-play data centre REIT listed in Asia and on the Singapore Exchange (SGX-ST). Keppel DC REIT's investment strategy is to principally invest, directly or indirectly, in a diversified portfolio of income-producing real estate assets which are used primarily for data centre purposes, as well as real estate related assets, with an initial focus on Asia Pacific and Europe. Its current portfolio comprises 15 high-quality data centres strategically located in key data centre hubs. With an aggregate lettable area of approximately 1,112,983 sq ft, the portfolio spans 10 cities in eight countries in Asia Pacific and Europe. Keppel Telecommunications & Transportation Ltd (Keppel T&T), the Sponsor of the REIT, has also granted Rights of First Refusal (ROFR) to the REIT for future acquisition opportunities of its data centre assets. The REIT is managed by Keppel DC REIT Management Pte. Ltd.. Keppel Capital Holdings Pte. Ltd. (Keppel Capital) has a 50% interest in the Manager, with the remaining interest held by Keppel T&T. Keppel Capital is a premier asset manager in Asia with assets under management comprising real estate, infrastructure and data centre properties in key global markets. The Manager's key objectives are to provide the REIT's Unitholders with regular and stable distributions, as well as achieve long-term growth while maintaining an optimal capital structure.

Details
Name: Keppel DC REIT
AJBU
Exchange: SGX
Founded: 2014
SGD2,027,912,998
1,351,941,999
Website: http://www.keppeldcreit.com
Address: Keppel DC REIT
Keppel Bay Tower,
Level 2,
Singapore,
098632,
Singapore
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SGX AJBU Units Singapore Exchange SG SGD 12. Dec 2014
Number of employees
Current staff
Staff numbers
0
Keppel DC REIT employees.
Industry
Specialized REITs
Real Estate
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/26 13:07
End of day share price update: 2019/04/26 00:00
Last estimates confirmation: 2019/04/17
Last earnings filing: 2019/04/15
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.