SGX:AU8U

Stock Analysis Report

CapitaLand Retail China Trust

Executive Summary

CapitaLand Retail China Trust (CRCT) is Singapore’s first and largest China shopping mall real estate investment trust (REIT), with a portfolio of 13 income-producing shopping malls.

Snowflake

Established dividend payer with proven track record.

Share Price & News

How has CapitaLand Retail China Trust's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: AU8U has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0.6%

AU8U

0.2%

SG REITs

-0.7%

SG Market


1 Year Return

14.8%

AU8U

17.0%

SG REITs

4.0%

SG Market

Return vs Industry: AU8U underperformed the SG REITs industry which returned 17% over the past year.

Return vs Market: AU8U exceeded the SG Market which returned 4% over the past year.


Shareholder returns

AU8UIndustryMarket
7 Day0.6%0.2%-0.7%
30 Day1.3%-2.8%1.3%
90 Day0.6%-0.5%2.0%
1 Year23.8%14.8%24.1%17.0%8.2%4.0%
3 Year37.6%11.9%49.5%23.4%19.0%6.3%
5 Year36.8%-2.8%54.5%11.2%10.9%-7.6%

Price Volatility Vs. Market

How volatile is CapitaLand Retail China Trust's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is CapitaLand Retail China Trust undervalued compared to its fair value and its price relative to the market?

34.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AU8U (SGD1.55) is trading below our estimate of fair value (SGD2.36)

Significantly Below Fair Value: AU8U is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: AU8U is good value based on its PE Ratio (9.7x) compared to the REITs industry average (14.1x).

PE vs Market: AU8U is good value based on its PE Ratio (9.7x) compared to the SG market (13.2x).


Price to Earnings Growth Ratio

PEG Ratio: AU8U is poor value based on its PEG Ratio (10.6x)


Price to Book Ratio

PB vs Industry: AU8U is overvalued based on its PB Ratio (1x) compared to the SG REITs industry average (1x).


Next Steps

Future Growth

How is CapitaLand Retail China Trust forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

0.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AU8U's forecast earnings growth (0.9% per year) is below the savings rate (2.3%).

Earnings vs Market: AU8U's earnings (0.9% per year) are forecast to grow slower than the SG market (5.5% per year).

High Growth Earnings: AU8U's earnings are forecast to grow, but not significantly.

Revenue vs Market: AU8U's revenue (11.8% per year) is forecast to grow faster than the SG market (5.5% per year).

High Growth Revenue: AU8U's revenue (11.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AU8U's Return on Equity is forecast to be low in 3 years time (5.8%).


Next Steps

Past Performance

How has CapitaLand Retail China Trust performed over the past 5 years?

3.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AU8U has large one-off items impacting its financial results.

Growing Profit Margin: AU8U's current net profit margins (70.8%) are higher than last year (52.4%).


Past Earnings Growth Analysis

Earnings Trend: AU8U's earnings have grown by 3% per year over the past 5 years.

Accelerating Growth: AU8U's earnings growth over the past year (38.4%) exceeds its 5-year average (3% per year).

Earnings vs Industry: AU8U earnings growth over the past year (38.4%) exceeded the REITs industry 4.6%.


Return on Equity

High ROE: AU8U's Return on Equity (8.6%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is CapitaLand Retail China Trust's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: AU8U has a high level of physical assets or inventory.

Debt Coverage by Assets: AU8U's debt is not covered by short term assets (assets are 0.3x debt).


Financial Institutions Analysis

Asset Level: AU8U's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if AU8U has a sufficient allowance for bad loans.

Low Risk Liabilities: AU8U reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if AU8U has an acceptable proportion of non-loan assets held.

Low Risk Deposits: AU8U has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if AU8U has an appropriate level of bad loans.


Next Steps

Dividend

What is CapitaLand Retail China Trust's current dividend yield, its reliability and sustainability?

6.59%

Current Dividend Yield


Dividend Yield vs Market

company6.6%marketbottom25%2.5%markettop25%5.5%industryaverage5.4%forecastin3Years6.8%

Current dividend yield vs market & industry

Notable Dividend: AU8U's dividend (6.59%) is higher than the bottom 25% of dividend payers in the SG market (2.5%).

High Dividend: AU8U's dividend (6.59%) is in the top 25% of dividend payers in the SG market (5.5%)


Stability and Growth of Payments

Stable Dividend: AU8U's dividend payments have been volatile in the past 10 years.

Growing Dividend: AU8U's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (50.4%), AU8U's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: AU8U's dividends in 3 years are forecast to be thoroughly covered by earnings (0.1% payout ratio).


Next Steps

Management

What is the CEO of CapitaLand Retail China Trust's salary, the management and board of directors tenure and is there insider trading?

2.6yrs

Average management tenure


CEO

Tze Wooi Tan (46yo)

2.6yrs

Tenure

0

Mr. Tze Wooi Tan has been the Chief Executive Officer of Capitaland Retail China Trust Management Limited, Manager of CapitaLand Retail China Trust since April 1, 2017. He served as Chief Executive Officer ...


Management Age and Tenure

2.6yrs

Average Tenure

Experienced Management: AU8U's management team is considered experienced (2.6 years average tenure).


Board Age and Tenure

2.6yrs

Average Tenure

55yo

Average Age

Experienced Board: AU8U's board of directors are not considered experienced ( 2.6 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: AU8U insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyS$5,892,23514 Nov 19
CapitaLand Retail China Trust Management Limited
EntityCompany
Shares3,843,096
Max PriceS$1.53
SellS$521,73024 Oct 19
PPM America, Inc
EntityCompany
Shares341,000
Max PriceS$1.53
BuyS$24,882,22704 Sep 19
CLA Real Estate Holdings Pte. Ltd
EntityCompany
Shares17,279,317
Max PriceS$1.44
BuyS$7,331,58604 Sep 19
CapitaLand Retail China Trust Management Limited
EntityCompany
Shares5,091,377
Max PriceS$1.44
BuyS$2,14404 Sep 19
Cho Pin Lim
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Non-Independent Director of CapitaLand Retail China Trust Management Limited
Shares1,489
Max PriceS$1.44
BuyS$8,77004 Sep 19
Jen Yuh Loh
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Non-Independent Director of CapitaLand Retail China Trust Management Limited
Shares6,090
Max PriceS$1.44
BuyS$84204 Sep 19
Li Li Kuan
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Independent Director of CapitaLand Retail China Trust Management Limited
Shares585
Max PriceS$1.44
BuyS$7,88504 Sep 19
Poh Kiat Neo
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Independent Director of CapitaLand Retail China Trust Management Limited
Shares5,476
Max PriceS$1.44
BuyS$4,93804 Sep 19
Kong Yam Tan
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Independent Director of CapitaLand Retail China Trust Management Limited
Shares3,429
Max PriceS$1.44
BuyS$6,70304 Sep 19
Kok Aun Gee
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director of CapitaLand Retail China Trust Management Limited
Shares4,655
Max PriceS$1.44
BuyS$9,20204 Sep 19
Boo Fong Heng
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director of CapitaLand Retail China Trust Management Limited
Shares6,390
Max PriceS$1.44
BuyS$18,73704 Sep 19
Tze Wooi Tan
EntityIndividual
Role
Chief Executive Officer
CEO & Executive Non-Independent Director of CapitaLand Retail China Trust Management Limited
Shares13,012
Max PriceS$1.44
BuyS$3,58704 Sep 19
Kim Soon Soh
EntityIndividual
Role
Chairman of the Board
Chairman of the Board of CapitaLand Retail China Trust Management Limited
Shares2,491
Max PriceS$1.44
BuyS$891,66708 Aug 19
PPM America, Inc
EntityCompany
Shares590,000
Max PriceS$1.51
BuyS$4,572,72824 Jun 19
PPM America, Inc
EntityCompany
Shares2,972,200
Max PriceS$1.54
BuyS$2,954,33721 Jun 19
PPM America, Inc
EntityCompany
Shares1,918,400
Max PriceS$1.54
SellS$1,836,16006 May 19
PPM America, Inc
EntityCompany
Shares1,216,000
Max PriceS$1.51
SellS$836,00023 Apr 19
PPM America, Inc
EntityCompany
Shares550,000
Max PriceS$1.52
BuyS$163,13211 Apr 19
PPM America, Inc
EntityCompany
Shares107,600
Max PriceS$1.52
BuyS$780,80029 Mar 19
PPM America, Inc
EntityCompany
Shares500,000
Max PriceS$1.56
BuyS$2,250,32407 Feb 19
PPM America, Inc
EntityCompany
Shares1,511,400
Max PriceS$1.49
BuyS$745,25028 Dec 18
PPM America, Inc
EntityCompany
Shares550,000
Max PriceS$1.36

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 5%.


Management Team

  • Tze Wooi Tan (46yo)

    CEO & Executive Non-Independent Director of CapitaLand Retail China Trust Management Limited

    • Tenure: 2.6yrs
  • Nicole Chen

    Senior Manager of Investor Relations - CapitaLand Retail China Trust Management Limited

    • Tenure: 0yrs
  • Joanne Tan (40yo)

    Chief Financial Officer of CapitaLand Retail China Trust Management Ltd.

    • Tenure: 9.3yrs
  • Cher Chuo

    Company Secretary of CapitaLand Retail China Trust Management Limited

    • Tenure: 1.8yrs
  • Hong You

    Assistant VP of Investment & Asset Management - CapitaLand Retail China Trust Management Limited

    • Tenure: 0yrs

Board Members

  • Boo Fong Heng (69yo)

    Independent Non-Executive Director of CapitaLand Retail China Trust Management Limited

    • Tenure: 6.8yrs
    • Compensation: S$91.00k
  • Kim Soon Soh (73yo)

    Chairman of the Board of CapitaLand Retail China Trust Management Limited

    • Tenure: 2.6yrs
    • Compensation: S$129.00k
  • Poh Kiat Neo (68yo)

    Non-Executive Independent Director of CapitaLand Retail China Trust Management Limited

    • Tenure: 2.6yrs
    • Compensation: S$53.00k
  • Christopher Gee (50yo)

    Independent Non-Executive Director of CapitaLand Retail China Trust Management Limited

    • Tenure: 5.8yrs
    • Compensation: S$75.40k
  • Tze Wooi Tan (46yo)

    CEO & Executive Non-Independent Director of CapitaLand Retail China Trust Management Limited

    • Tenure: 2.6yrs
  • Kong Yam Tan (64yo)

    Non-Executive Independent Director of CapitaLand Retail China Trust Management Limited

    • Tenure: 5.1yrs
    • Compensation: S$72.00k
  • Lucas Ignatius Loh (52yo)

    Non-Executive Non-Independent Director of CapitaLand Retail China Trust Management Limited

    • Tenure: 0.3yrs
  • Andrew Geoffrey Lim (49yo)

    Non-Executive Non-Independent Director of CapitaLand Retail China Trust Management Limited

    • Tenure: 1.8yrs
  • Li Li Kuan (55yo)

    Non-Executive Independent Director of CapitaLand Retail China Trust Management Limited

    • Tenure: 1.8yrs
    • Compensation: S$51.00k

Company Information

CapitaLand Retail China Trust's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: CapitaLand Retail China Trust
  • Ticker: AU8U
  • Exchange: SGX
  • Founded: 2006
  • Industry: Retail REITs
  • Sector: Real Estate
  • Market Cap: S$1.862b
  • Shares outstanding: 1.21b
  • Website: https://www.crct.com.sg

Location

  • CapitaLand Retail China Trust
  • No. 30-01 Capital Tower
  • 168 Robinson Road
  • Singapore
  • 68912
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AU8USGX (Singapore Exchange)YesTrust UnitsSGSGDDec 2006

Biography

CapitaLand Retail China Trust (CRCT) is Singapore’s first and largest China shopping mall real estate investment trust (REIT), with a portfolio of 13 income-producing shopping malls. It was listed on the S ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/22 12:46
End of Day Share Price2019/11/22 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.