SGX:O5RU

Stock Analysis Report

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Executive Summary

Managed by the Manager, AA REIT was established with the principal investment objective of owning and investing in a diversified portfolio of income-producing industrial, logistics and business park real estate, located throughout the Asia Pacific region. More Details


Snowflake Analysis

Solid track record, good value and pays a dividend.

Share Price & News

How has AIMS APAC REIT's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: O5RU has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

O5RU

-0.5%

SG REITs

-0.5%

SG Market


1 Year Return

-12.4%

O5RU

-11.8%

SG REITs

-20.7%

SG Market

Return vs Industry: O5RU matched the SG REITs industry which returned -11.6% over the past year.

Return vs Market: O5RU exceeded the SG Market which returned -20.2% over the past year.


Shareholder returns

O5RUIndustryMarket
7 Day0%-0.5%-0.5%
30 Day0.8%-3.2%0.9%
90 Day-1.6%-0.5%-3.2%
1 Year-6.2%-12.4%-7.6%-11.8%-16.4%-20.7%
3 Year2.4%-17.5%17.7%-0.7%-19.5%-29.3%
5 Year24.9%-14.3%48.3%9.3%-6.6%-23.6%

Price Volatility Vs. Market

How volatile is AIMS APAC REIT's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is AIMS APAC REIT undervalued compared to its fair value and its price relative to the market?

43.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: O5RU (SGD1.2) is trading below our estimate of fair value (SGD2.13)

Significantly Below Fair Value: O5RU is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: O5RU is good value based on its PE Ratio (10.4x) compared to the SG REITs industry average (17.1x).

PE vs Market: O5RU is good value based on its PE Ratio (10.4x) compared to the SG market (13.1x).


Price to Earnings Growth Ratio

PEG Ratio: O5RU's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: O5RU's PB Ratio (0.9x) is in line with the SG REITs industry average.


Next Steps

Future Growth

How is AIMS APAC REIT forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

-0.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: O5RU's earnings are forecast to decline over the next 3 years (-0.8% per year).

Earnings vs Market: O5RU's earnings are forecast to decline over the next 3 years (-0.8% per year).

High Growth Earnings: O5RU's earnings are forecast to decline over the next 3 years.

Revenue vs Market: O5RU's revenue (3.2% per year) is forecast to grow slower than the SG market (6.7% per year).

High Growth Revenue: O5RU's revenue (3.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: O5RU's Return on Equity is forecast to be low in 3 years time (6.5%).


Next Steps

Past Performance

How has AIMS APAC REIT performed over the past 5 years?

5.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: O5RU has high quality earnings.

Growing Profit Margin: O5RU's current net profit margins (69.7%) are higher than last year (41.2%).


Past Earnings Growth Analysis

Earnings Trend: O5RU's earnings have grown by 5.7% per year over the past 5 years.

Accelerating Growth: O5RU's earnings growth over the past year (63.3%) exceeds its 5-year average (5.7% per year).

Earnings vs Industry: O5RU earnings growth over the past year (63.3%) exceeded the REITs industry -10.3%.


Return on Equity

High ROE: O5RU's Return on Equity (8.4%) is considered low.


Next Steps

Financial Health

How is AIMS APAC REIT's financial position?


Financial Position Analysis

Short Term Liabilities: O5RU's short term assets (SGD25.5M) do not cover its short term liabilities (SGD199.3M).

Long Term Liabilities: O5RU's short term assets (SGD25.5M) do not cover its long term liabilities (SGD527.3M).


Debt to Equity History and Analysis

Debt Level: O5RU's debt to equity ratio (59.2%) is considered high.

Reducing Debt: O5RU's debt to equity ratio has increased from 47.1% to 59.2% over the past 5 years.

Debt Coverage: O5RU's debt is not well covered by operating cash flow (14%).

Interest Coverage: O5RU's interest payments on its debt are well covered by EBIT (3.5x coverage).


Balance Sheet


Next Steps

Dividend

What is AIMS APAC REIT current dividend yield, its reliability and sustainability?

7.92%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: O5RU's dividend (7.92%) is higher than the bottom 25% of dividend payers in the SG market (2.52%).

High Dividend: O5RU's dividend (7.92%) is in the top 25% of dividend payers in the SG market (5.3%)


Stability and Growth of Payments

Stable Dividend: O5RU's dividend payments have been volatile in the past 10 years.

Growing Dividend: O5RU's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (65.4%), O5RU's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: O5RU's dividends in 3 years are forecast to be covered by earnings (99.8% payout ratio).


Next Steps

Management

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

6.8yrs

Average management tenure


CEO

Wee Lih Koh (47 yo)

6.75yrs

Tenure

Mr. Wee Lih Koh, MBA, MSc, BSc, has been the Chief Executive Officer and Executive Director of AIMS APAC REIT Management Limited (formerly known as AIMS AMP Capital Industrial REIT Management Limited) the ...


Leadership Team

NamePositionTenureCompensationOwnership
Wee Lih Koh
CEO & Executive Director of AIMS APAC REIT Management Limited6.75yrsno datano data
Shuk Phin Yeak
Head of Finance & Company Secretary of AIMS APAC REIT Management Limited3.42yrsno datano data
Terence Lim
Head of Investment & Investor Relations of AIMS APAC REIT Management Limitedno datano datano data
Lay Toh
Head of Asset Management of AIMS APAC REIT Management Limitedno datano datano data
Khiam Yeong Heng
Head of Development & Facility Management of AIMS APAC REIT Management Limitedno datano datano data
Li-Phing Loh
Assistant Fund Manager9yrsno datano data

6.8yrs

Average Tenure

Experienced Management: O5RU's management team is seasoned and experienced (6.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Wee Lih Koh
CEO & Executive Director of AIMS APAC REIT Management Limited6.75yrsno datano data
Kheng Ko
Non-Executive Lead Independent Director of AIMS APAC REIT Management Limited1.58yrsS$70.00kno data
Teck Sin Chong
Non Executive Independent Director of AIMS APAC REIT Management Limited2yrsS$72.50kno data
George Wang
Non-Executive Non-Independent Chairman of AIMS APAC REIT Management Limited6.75yrsno datano data
Peter Heng
Non-Executive Independent Director of AIMS APAC REIT Management Limited3.58yrsS$65.00kno data

3.6yrs

Average Tenure

61.5yo

Average Age

Experienced Board: O5RU's board of directors are considered experienced (3.6 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

AIMS APAC REIT's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: AIMS APAC REIT
  • Ticker: O5RU
  • Exchange: SGX
  • Founded: 2006
  • Industry: Industrial REITs
  • Sector: Real Estate
  • Market Cap: S$869.195m
  • Shares outstanding: 706.66m
  • Website: https://www.aimsapacreit.com

Number of Employees


Location

  • AIMS APAC REIT
  • No. 23-03, One George Street
  • Singapore
  • 49145
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
O5RUSGX (Singapore Exchange)YesTrust UnitsSGSGDApr 2007

Biography

Managed by the Manager, AA REIT was established with the principal investment objective of owning and investing in a diversified portfolio of income-producing industrial, logistics and business park real e ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/19 12:51
End of Day Share Price2020/10/19 00:00
Earnings2020/06/30
Annual Earnings2020/03/31


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.