SGX:K2LU

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ARA LOGOS Logistics Trust

Executive Summary

Listed on the Singapore Exchange on 12 April 2010, ARA LOGOS Logistics Trust (“ALOG”) is a real estate investment trust (“REIT”) that invests in quality income-producing industrial real estate used for logistics purposes, as well as real estate-related assets in the Asia Pacific. More Details


Snowflake Analysis

Fair value second-rate dividend payer.


Similar Companies

Share Price & News

How has ARA LOGOS Logistics Trust's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: K2LU is not significantly more volatile than the rest of SG stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: K2LU's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-2.1%

K2LU

-0.2%

SG REITs

1.3%

SG Market


1 Year Return

8.6%

K2LU

-13.0%

SG REITs

-1.6%

SG Market

Return vs Industry: K2LU exceeded the SG REITs industry which returned -13% over the past year.

Return vs Market: K2LU exceeded the SG Market which returned -1.6% over the past year.


Shareholder returns

K2LUIndustryMarket
7 Day-2.1%-0.2%1.3%
30 Day-4.1%-3.6%2.2%
90 Day16.8%-0.2%6.6%
1 Year18.4%8.6%-8.4%-13.0%3.5%-1.6%
3 Year5.2%-17.3%17.3%-2.3%-7.2%-18.6%
5 Year29.1%-17.3%45.6%7.6%17.0%-4.4%

Long-Term Price Volatility Vs. Market

How volatile is ARA LOGOS Logistics Trust's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is ARA LOGOS Logistics Trust undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: K2LU (SGD0.7) is trading below our estimate of fair value (SGD1.41)

Significantly Below Fair Value: K2LU is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: K2LU is good value based on its PE Ratio (19.7x) compared to the SG REITs industry average (22.1x).

PE vs Market: K2LU is poor value based on its PE Ratio (19.7x) compared to the SG market (15.1x).


Price to Earnings Growth Ratio

PEG Ratio: K2LU is poor value based on its PEG Ratio (1.1x)


Price to Book Ratio

PB vs Industry: K2LU is overvalued based on its PB Ratio (1.1x) compared to the SG REITs industry average (0.9x).


Next Steps

Future Growth

How is ARA LOGOS Logistics Trust forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

18.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: K2LU's forecast earnings growth (18.2% per year) is above the savings rate (2%).

Earnings vs Market: K2LU's earnings (18.2% per year) are forecast to grow slower than the SG market (25.7% per year).

High Growth Earnings: K2LU's earnings are forecast to grow, but not significantly.

Revenue vs Market: K2LU's revenue (4.8% per year) is forecast to grow slower than the SG market (9.1% per year).

High Growth Revenue: K2LU's revenue (4.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: K2LU's Return on Equity is forecast to be low in 3 years time (8.3%).


Next Steps

Past Performance

How has ARA LOGOS Logistics Trust performed over the past 5 years?

30.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: K2LU has a large one-off loss of SGD17.0M impacting its December 31 2020 financial results.

Growing Profit Margin: K2LU became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: K2LU has become profitable over the past 5 years, growing earnings by 30.8% per year.

Accelerating Growth: K2LU has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: K2LU has become profitable in the last year, making it difficult to compare its past year earnings growth to the REITs industry (-29.3%).


Return on Equity

High ROE: K2LU's Return on Equity (5.7%) is considered low.


Next Steps

Financial Health

How is ARA LOGOS Logistics Trust's financial position?


Financial Position Analysis

Short Term Liabilities: K2LU's short term assets (SGD56.1M) do not cover its short term liabilities (SGD95.9M).

Long Term Liabilities: K2LU's short term assets (SGD56.1M) do not cover its long term liabilities (SGD536.5M).


Debt to Equity History and Analysis

Debt Level: K2LU's debt to equity ratio (66.5%) is considered high.

Reducing Debt: K2LU's debt to equity ratio has reduced from 66.6% to 66.5% over the past 5 years.

Debt Coverage: K2LU's debt is not well covered by operating cash flow (16.1%).

Interest Coverage: K2LU's interest payments on its debt are well covered by EBIT (4x coverage).


Balance Sheet


Next Steps

Dividend

What is ARA LOGOS Logistics Trust current dividend yield, its reliability and sustainability?

6.62%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: K2LU's dividend (6.62%) is higher than the bottom 25% of dividend payers in the SG market (1.88%).

High Dividend: K2LU's dividend (6.62%) is in the top 25% of dividend payers in the SG market (4.82%)


Stability and Growth of Payments

Stable Dividend: K2LU's dividend payments have been volatile in the past 10 years.

Growing Dividend: K2LU's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (82.2%), K2LU's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: K2LU's dividends in 3 years are not forecast to be well covered by earnings (100.6% payout ratio).


Next Steps

Management

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

2.0yrs

Average management tenure


CEO

Karen Lee

0.58

Tenure

Ms. Kiah Ling Lee, also known as Karen, serves as Chief Executive Officer of ARA LOGOS Logistics Trust Management Limited at ARA LOGOS Logistics Trust since August 15, 2020. She has vast experience in the ...


Leadership Team

NamePositionTenureCompensationOwnership
Kiah Ling Lee
Chief Executive Officer of ARA LOGOS Logistics Trust Management Limited0.58yrno datano data
Boon Hua Ng
Assistant Director of Finance of ARA-CWT Trust Management (Cache) Limited1.42yrsno datano data
Jiann Ching Ho
Director & Head of Investment Management at ARA Trust Management (Cache) Limitedno datano datano data
Cassandra Seet
Manager of Investor Relations of ARA Trust Management (Cache) Limited2yrsno datano data
Kar Choo Yeoh
Secretary of ARA Trust Management (Cache) Limited5.42yrsno datano data
Wai Chiang
Secretary of ARA Trust Management (Cache) Limited5.42yrsno datano data

2.0yrs

Average Tenure

Experienced Management: K2LU's management team is considered experienced (2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Stephen George Hawkins
Non-Executive Director of ARA LOGOS Logistics Trust Management Limited1yrno datano data
How Teck Lim
Chairman of the Board of ARA LOGOS Logistics Trust Management Limited11yrsS$90.00k0.15%
SGD 1.4m
Poh Choo Low
Non-Executive Director of ARA LOGOS Logistics Trust Management Limited0.083yrno datano data
Kong Puay Lim
Independent Non-Executive Director of ARA LOGOS Logistics Trust Management Limited5.17yrsS$65.00kno data
Nam Toon Chia
Non-Executive Director of ARA LOGOS Logistics Trust Management Limited2.67yrsno datano data
Eng Lock Oh
Independent Non-Executive Director of ARA LOGOS Logistics Trust Management Limited2yrsS$52.00k0.0020%
SGD 17.9k

2.3yrs

Average Tenure

62yo

Average Age

Experienced Board: K2LU's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.


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 been diluted in the past year, with total shares outstanding growing by 17.7%.


Top Shareholders

Company Information

ARA LOGOS Logistics Trust's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: ARA LOGOS Logistics Trust
  • Ticker: K2LU
  • Exchange: SGX
  • Founded: 2010
  • Industry: Industrial REITs
  • Sector: Real Estate
  • Market Cap: S$894.655m
  • Shares outstanding: 1.28b
  • Website: https://www.aralogos-reit.com

Location

  • ARA LOGOS Logistics Trust
  • 5 Temasek Boulevard #12-01
  • Suntec Tower Five
  • Singapore
  • 38985
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
K2LUSGX (Singapore Exchange)YesTrust UnitsSGSGDApr 2010
A6CDB (Deutsche Boerse AG)YesTrust UnitsDEEURApr 2010

Biography

Listed on the Singapore Exchange on 12 April 2010, ARA LOGOS Logistics Trust (“ALOG”) is a real estate investment trust (“REIT”) that invests in quality income-producing industrial real estate used for log...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/08 11:02
End of Day Share Price2021/03/08 00:00
Earnings2020/12/31
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.