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OUE Hospitality Trust

SGX:SK7
Snowflake Description

Second-rate dividend payer and slightly overvalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
SK7
SGX
SGD1B
Market Cap
  1. Home
  2. SG
  3. Real Estate
Company description

OUE Hospitality Trust is a stapled group comprising OUE Hospitality Real Estate Investment Trust (OUE H-REIT) and OUE Hospitality Business Trust (OUE H-BT), listed on the Mainboard of Singapore Exchange Securities Trading Limited. The last earnings update was 29 days ago. More info.


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SK7 Share Price and Events
7 Day Returns
-0.7%
SGX:SK7
0.5%
SG REITs
0.2%
SG Market
1 Year Returns
-11.7%
SGX:SK7
4%
SG REITs
-5.7%
SG Market
SK7 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
OUE Hospitality Trust (SK7) -0.7% -2.1% 3.6% -11.7% 2.1% -17.8%
SG REITs 0.5% 0.8% 4.7% 4% 15% 12.4%
SG Market 0.2% 4.1% 4.4% -5.7% 10.8% -2.6%
1 Year Return vs Industry and Market
  • SK7 underperformed the REITs industry which returned 4% over the past year.
  • SK7 underperformed the Market in Singapore which returned -5.7% over the past year.
Price Volatility
SK7
Industry
5yr Volatility vs Market

Value

 Is OUE Hospitality Trust 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 OUE Hospitality Trust 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 OUE Hospitality Trust.

SGX:SK7 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 7 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.6%
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:SK7
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))
= 0.537 (1 + (1- 17%) (66.35%))
0.888
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.89
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.3% + (0.888 * 5.96%)
7.6%

Discounted Cash Flow Calculation for SGX:SK7 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for OUE Hospitality Trust 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.

SGX:SK7 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (SGD, Millions) Source Present Value
Discounted (@ 7.6%)
2019 122.15 Analyst x3 113.52
2020 124.92 Analyst x3 107.90
2021 122.60 Analyst x1 98.42
2022 121.83 Est @ -0.62% 90.90
2023 122.14 Est @ 0.25% 84.69
2024 123.21 Est @ 0.87% 79.40
2025 124.81 Est @ 1.3% 74.75
2026 126.80 Est @ 1.6% 70.58
2027 129.10 Est @ 1.81% 66.79
2028 131.63 Est @ 1.96% 63.29
Present value of next 10 years cash flows SGD850.24
SGX:SK7 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= SGD131.63 × (1 + 2.3%) ÷ (7.6% – 2.3%)
SGD2,543.12
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= SGD2,543.12 ÷ (1 + 7.6%)10
SGD1,222.71
SGX:SK7 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= SGD850.24 + SGD1,222.71
SGD2,072.95
Equity Value per Share
(SGD)
= Total value / Shares Outstanding
= SGD2,072.95 / 1,829.78
SGD1.13
SGX:SK7 Discount to Share Price
Calculation Result
Value per share (SGD) From above. SGD1.13
Current discount Discount to share price of SGD0.72
= -1 x (SGD0.72 - SGD1.13) / SGD1.13
36.9%

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

Current Discount
Amount off the current price OUE Hospitality Trust is available for.
Intrinsic value
37%
Share price is SGD0.72 vs Future cash flow value of SGD1.13
Current Discount Checks
For OUE Hospitality Trust to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • OUE Hospitality Trust's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • OUE Hospitality Trust'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 OUE Hospitality Trust's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are OUE Hospitality Trust's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
SGX:SK7 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in SGD SGD0.04
SGX:SK7 Share Price ** SGX (2019-04-25) in SGD SGD0.72
Singapore REITs Industry PE Ratio Median Figure of 39 Publicly-Listed REITs Companies 13.69x
Singapore Market PE Ratio Median Figure of 328 Publicly-Listed Companies 13.19x

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

** Primary Listing of OUE Hospitality Trust.

SGX:SK7 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SGX:SK7 Share Price ÷ EPS (both in SGD)

= 0.72 ÷ 0.04

17.8x

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

  • OUE Hospitality Trust is overvalued based on earnings compared to the SG REITs industry average.
  • OUE Hospitality Trust is overvalued based on earnings compared to the Singapore market.
Price based on expected Growth
Does OUE Hospitality Trust's expected growth come at a high price?
Raw Data
SGX:SK7 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 17.8x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts
4%per year
Singapore REITs Industry PEG Ratio Median Figure of 37 Publicly-Listed REITs Companies 2.07x
Singapore Market PEG Ratio Median Figure of 120 Publicly-Listed Companies 1.58x

*Line of best fit is calculated by linear regression .

SGX:SK7 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 17.8x ÷ 4%

4.46x

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

  • OUE Hospitality Trust is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on OUE Hospitality Trust's assets?
Raw Data
SGX:SK7 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in SGD SGD0.75
SGX:SK7 Share Price * SGX (2019-04-25) in SGD SGD0.72
Singapore REITs Industry PB Ratio Median Figure of 41 Publicly-Listed REITs Companies 0.95x
Singapore Market PB Ratio Median Figure of 432 Publicly-Listed Companies 0.76x
SGX:SK7 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SGX:SK7 Share Price ÷ Book Value per Share (both in SGD)

= 0.72 ÷ 0.75

0.95x

* Primary Listing of OUE Hospitality Trust.

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

  • OUE Hospitality Trust is good value based on assets compared to the SG REITs industry average.
X
Value checks
We assess OUE Hospitality Trust'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. OUE Hospitality Trust has a total score of 2/6, 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.

Future Performance

 How is OUE Hospitality Trust expected to perform in the next 1 to 3 years based on estimates from 7 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
4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is OUE Hospitality Trust expected to grow at an attractive rate?
  • OUE Hospitality Trust's earnings growth is expected to exceed the low risk savings rate of 2.3%.
Growth vs Market Checks
  • OUE Hospitality Trust's earnings growth is positive but not above the Singapore market average.
  • OUE Hospitality Trust's revenue growth is positive but not above the Singapore market average.
Annual Growth Rates Comparison
Raw Data
SGX:SK7 Future Growth Rates Data Sources
Data Point Source Value (per year)
SGX:SK7 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts 4%
SGX:SK7 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 7 Analysts 2.5%
Singapore REITs Industry Earnings Growth Rate Market Cap Weighted Average -3.1%
Singapore REITs Industry Revenue Growth Rate Market Cap Weighted Average 3.4%
Singapore Market Earnings Growth Rate Market Cap Weighted Average 5.9%
Singapore Market Revenue Growth Rate Market Cap Weighted Average 4.7%

*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:SK7 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
All numbers in SGD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
SGX:SK7 Future Estimates Data
Date (Data in SGD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31
2021-12-31 139 109 79 4
2020-12-31 138 114 85 7
2019-12-31 134 107 83 7
SGX:SK7 Past Financials Data
Date (Data in SGD Millions) Revenue Cash Flow Net Income *
2018-12-31 130 111 73
2018-09-30 130 111 77
2018-06-30 131 119 77
2018-03-31 132 119 77
2017-12-31 131 117 76
2017-09-30 130 117 24
2017-06-30 129 103 23
2017-03-31 124 103 19
2016-12-31 122 99 17
2016-09-30 122 98 71
2016-06-30 123 96 72
2016-03-31 125 103 76

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • OUE Hospitality Trust's earnings are expected to grow by 4% yearly, however this is not considered high growth (20% yearly).
  • OUE Hospitality Trust's revenue is expected to grow by 2.5% 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:SK7 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below

All data from OUE Hospitality Trust Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SGX:SK7 Future Estimates Data
Date (Data in SGD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31
2021-12-31 0.04 0.04 0.04 2.00
2020-12-31 0.05 0.05 0.04 4.00
2019-12-31 0.04 0.04 0.04 4.00
SGX:SK7 Past Financials Data
Date (Data in SGD Millions) EPS *
2018-12-31 0.04
2018-09-30 0.04
2018-06-30 0.04
2018-03-31 0.04
2017-12-31 0.04
2017-09-30 0.01
2017-06-30 0.01
2017-03-31 0.01
2016-12-31 0.01
2016-09-30 0.04
2016-06-30 0.05
2016-03-31 0.05

*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.
  • OUE Hospitality Trust is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess OUE Hospitality Trust'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.
OUE Hospitality Trust has a total score of 1/6, 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.

Past Performance

  How has OUE Hospitality Trust 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 OUE Hospitality Trust'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.
  • OUE Hospitality Trust's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • OUE Hospitality Trust's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • OUE Hospitality Trust's 1-year earnings growth is negative, it can't be compared to the SG REITs industry average.
Earnings and Revenue History
OUE Hospitality Trust'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 OUE Hospitality Trust Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SGX:SK7 Past Revenue, Cash Flow and Net Income Data
Date (Data in SGD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 129.73 73.00 1.94
2018-09-30 130.47 76.76 1.90
2018-06-30 131.23 76.65 1.98
2018-03-31 131.66 76.56 1.72
2017-12-31 131.06 75.94 1.65
2017-09-30 130.48 23.84 1.77
2017-06-30 128.72 23.30 1.63
2017-03-31 124.43 19.28 1.65
2016-12-31 122.49 17.41 1.66
2016-09-30 122.25 71.25 1.45
2016-06-30 122.67 72.15 1.46
2016-03-31 125.40 76.08 1.42
2015-12-31 124.59 77.71 1.47
2015-09-30 121.97 76.17 1.53
2015-06-30 117.81 75.36 1.56
2015-03-31 116.50 77.43 1.59
2014-12-31 115.89 78.57 1.54
2014-03-31 123.56 195.40 1.87
2013-12-31 121.47 193.11 2.37
2013-03-31 107.68 82.62 3.51
2012-12-31 107.81 81.74 4.12

*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.
  • OUE Hospitality Trust has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • OUE Hospitality Trust used its assets less efficiently than the SG REITs industry average last year based on Return on Assets.
  • OUE Hospitality Trust's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess OUE Hospitality Trust'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.
OUE Hospitality Trust has a total score of 0/6, 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.

Health

 How is OUE Hospitality Trust'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 OUE Hospitality Trust's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • OUE Hospitality Trust is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • OUE Hospitality Trust's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of OUE Hospitality Trust'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 0x 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 OUE Hospitality Trust Company Filings, last reported 3 months ago.

SGX:SK7 Past Debt and Equity Data
Date (Data in SGD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 1,372.13 868.04 22.31
2018-09-30 1,382.49 867.50 21.21
2018-06-30 1,381.35 866.77 19.36
2018-03-31 1,381.25 866.04 26.05
2017-12-31 1,376.07 866.36 25.56
2017-09-30 1,372.74 861.89 28.72
2017-06-30 1,369.83 863.89 18.88
2017-03-31 1,376.43 860.67 25.90
2016-12-31 1,381.98 857.88 28.56
2016-09-30 1,428.04 862.31 27.23
2016-06-30 1,421.52 658.71 27.80
2016-03-31 1,192.11 884.04 25.51
2015-12-31 1,207.00 877.23 31.75
2015-09-30 1,202.30 876.65 31.92
2015-06-30 1,195.78 878.18 36.39
2015-03-31 1,199.95 875.91 34.06
2014-12-31 1,198.35 585.39 31.32
2014-03-31 1,195.85 586.88 56.29
2013-12-31 1,211.63 587.16 60.83
2013-03-31 1,181.16 581.13 10.25
2012-12-31 1,181.16 581.13 10.36
  • OUE Hospitality Trust's level of debt (63.3%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (48.5% vs 63.3% today).
  • Debt is not well covered by operating cash flow (12.8%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 4.2x coverage).
X
Financial health checks
We assess OUE Hospitality Trust'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. OUE Hospitality Trust 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.

Dividends

 What is OUE Hospitality Trust'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
6.98%
Current annual income from OUE Hospitality Trust dividends. Estimated to be 7.29% next year.
If you bought SGD2,000 of OUE Hospitality Trust shares you are expected to receive SGD140 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?
  • OUE Hospitality Trust's pays a higher dividend yield than the bottom 25% of dividend payers in Singapore (2.49%).
  • OUE Hospitality Trust's dividend is above the markets top 25% of dividend payers in Singapore (5.46%).
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:SK7 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 7 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:SK7 Future Dividends Estimate Data
Date (Data in SGD) Dividend per Share (annual) Avg. No. Analysts
2022-12-31 0.06 1.00
2021-12-31 0.05 5.00
2020-12-31 0.05 7.00
2019-12-31 0.05 7.00
SGX:SK7 Past Annualized Dividends Data
Date (Data in SGD) Dividend per share (annual) Avg. Yield (%)
2019-01-29 0.050 6.918
2018-03-27 0.051 6.957
2018-01-30 0.051 6.004
2017-03-28 0.046 5.968
2017-01-25 0.046 6.723
2016-03-15 0.066 9.709
2016-01-25 0.066 8.879
2015-01-27 0.067 7.792
2014-11-03 0.066 7.234
2014-07-31 0.066 7.275
2014-05-05 0.067 7.574
2014-03-31 0.058 6.712
2014-02-25 0.058 6.846

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

  • OUE Hospitality Trust has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • OUE Hospitality Trust has only been paying a dividend for 5 years, and since then dividends per share have fallen.
Current Payout to shareholders
What portion of OUE Hospitality Trust's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.2x coverage).
Future Payout to shareholders
  • Dividends after 3 years are not well covered by earnings (0.9x coverage).
X
Income/ dividend checks
We assess OUE Hospitality Trust'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 OUE Hospitality Trust afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. OUE Hospitality Trust 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.

Management

 What is the CEO of OUE Hospitality Trust'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
Isaac Chen
TENURE AS CEO 0.8 years
CEO Bio

Mr. Yi Chung Chen, also known as Isaac, is an Acting Chief Executive Officer of OUE Hospitality Trust; OUE Hospitality REIT Management Pte. Ltd. and OUE Hospitality REIT Pte. Ltd. since July 16, 2018. Mr. Chen was Deputy Chief Executive Officer of at OUE Hospitality Trust since January 1, 2018 until July 2018. He served as Vice President of Investments at OUE Hospitality REIT Management Pte. Ltd., (a Manager of OUE Hospitality Real Estate Investment Trust and a Trustee of OUE Hospitality Business Trust) until May 2018. Mr. Chen has more than 10 years of extensive experience in the real estate and real estate consulting industry in Singapore and internationally. Prior to joining the REIT Manager, Mr. Chen was with OUE Limited, the sponsor of OUE Hospitality Trust since November 2008, where his last held position was Vice President of Investments. From February 2008 to October 2008, he was with Lippo-Mapletree Indonesia Retail Trust Management Ltd, the manager for LMIR Trust, where his last held position was Manager, Projects. Mr. Chen holds a Bachelor’s degree in Business Administration from Fu Jen Catholic University in Taiwan, a Master’s degree in Computer Science from the University of Texas at Arlington and a Master’s degree in Business Administration from the University of Chicago, Booth School of Business.

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

Isaac Chen

TITLE
Acting Chief Executive Officer of REIT Manager
TENURE
0.8 yrs

Lionel Chua

TITLE
Chief Financial Officer of the REIT Manager
AGE
46

Delphine Sze

TITLE
Vice President of Investor Relations of the REIT Manager
TENURE
1.3 yrs

Thia Jackie

TITLE
Company Secretary
Board of Directors Tenure

Average tenure and age of the OUE Hospitality Trust board of directors in years:

5
Average Tenure
58.5
Average Age
  • The tenure for the OUE Hospitality Trust board of directors is about average.
Board of Directors

Yi Shyan Lee

TITLE
Chairman of the Board
AGE
56
TENURE
1.4 yrs

Sanjiv Misra

TITLE
Lead Independent Director
AGE
58
TENURE
4.3 yrs

Kian Min Ong

TITLE
Independent Director
AGE
55
TENURE
5.8 yrs

Christopher James Williams

TITLE
Non-Independent Non-Executive Director
AGE
59
TENURE
1.4 yrs

Boon Siong Neo

TITLE
Independent Director
AGE
61
TENURE
5.8 yrs

Chee Ming Liu

TITLE
Independent Director
AGE
67
TENURE
5.8 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)
X
Management checks
We assess OUE Hospitality Trust'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. OUE Hospitality Trust 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.

News

Simply Wall St News

What You Need To Know Before Investing In OUE Hospitality Trust (SGX:SK7)

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 … FFO is a cleaner and more representative figure of how much SK7 actually makes from its day-to-day operations, compared to net income, which can be affected by one-off activities or non-cash items such as depreciation

Simply Wall St -

Can OUE Hospitality Trust (SGX:SK7) Improve Its Returns?

Over the last twelve months OUE Hospitality Trust has recorded a ROE of 5.3%. … View our latest analysis for OUE Hospitality Trust? … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

What Should We Expect From OUE Hospitality Trust's (SGX:SK7) Earnings Over The Next Year?

Since OUE Hospitality Trust (SGX:SK7) released its earnings in December 2018,. … as a 9.9% increase in profits is expected in the upcoming year, … the past 5-year average growth rate of -25%

Simply Wall St -

One Factor To Consider Before Investing In OUE Hospitality Trust (SGX:SK7)

If you are currently a shareholder in OUE Hospitality Trust (SGX:SK7), or considering investing in the stock, you need to examine how the business generates cash, and how it is reinvested. … What is left after investment, determines the value of the stock since this cash flow technically belongs to investors of the company. … Free cash flow (FCF) is the amount of cash OUE Hospitality Trust has left after it pays off its expenses, including its net capital expenditures, which is what the company needs to spend each year to maintain or grow its business operations.

Simply Wall St -

What Kind Of Shareholders Own OUE Hospitality Trust (SGX:SK7)?

A look at the shareholders of OUE Hospitality Trust (SGX:SK7) can tell us which group is most powerful. … With a market capitalization of S$1.3b, OUE Hospitality Trust is a decent size, so it is probably on the radar of institutional investors. … Taking a look at the our data on the ownership groups (below), it's seems that.

Simply Wall St -

Is OUE Hospitality Trust (SGX:SK7) A Healthy REIT?

OUE Hospitality Trust is a S$1.2b. … real estate investment trust (REIT) based in Singapore, Singapore. … This term is very common in the REIT investing world as it provides a cleaner look at its cash flow from daily operations by excluding impact of one-off activities or non-cash items such as depreciation

Simply Wall St -

What OUE Hospitality Trust's (SGX:SK7) ROE Can Tell Us

By way of learning-by-doing, we'll look at ROE to gain a better understanding OUE Hospitality Trust (SGX:SK7). … OUE Hospitality Trust has a ROE of 5.6%, based on the last twelve months. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

How Should You Analyze REIT Stock OUE Hospitality Trust (SGX:SK7)?

OUE Hospitality Trust is a S$1.50b. … real estate investment trust (REIT) based in Singapore, Singapore. … REITs are basically a portfolio of income-producing real estate investments, which are owned and operated by management of that trust company.

Simply Wall St -

Will OUE Hospitality Trust (SGX:SK7) Continue To Underperform Its Industry?

and want to learn about Return on Equity using a real-life example. … OUE Hospitality Trust (SGX:SK7) performed in line with its hotel and resort reits industry on the basis of its ROE – producing a return of 5.54% relative to the peer average of 6.00% over the past 12 months. … But what is more interesting is whether SK7 can sustain or improve on this level of return.

Simply Wall St -

Is It The Right Time To Buy OUE Hospitality Trust (SGX:SK7)?

OUE Hospitality Trust (SGX:SK7), a reits company based in Singapore,. … Let’s take a look at OUE Hospitality Trust’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change … View out our latest analysis for OUE Hospitality Trust

Simply Wall St -

Company Info

Description

OUE Hospitality Trust is a stapled group comprising OUE Hospitality Real Estate Investment Trust (OUE H-REIT) and OUE Hospitality Business Trust (OUE H-BT), listed on the Mainboard of Singapore Exchange Securities Trading Limited. OUE H-REIT was established with the principal investment strategy of investing, directly or indirectly, in a portfolio of income-producing real estate which is used primarily for hospitality and/or hospitality-related purposes, whether wholly or partially, as well as real estate-related assets. OUE H-REIT’s asset portfolio comprising two hotels - the 1,077-room Mandarin Orchard Singapore and the 563-room Crowne Plaza Changi Airport, and a high-end retail mall - Mandarin Gallery, has a portfolio value of approximately S$2.2 billion as at 31 December 2018. OUE H-REIT is managed by OUE Hospitality REIT Management Pte. Ltd., which is wholly-owned by OUE Limited (OUE). OUE H-BT is managed by OUE Hospitality Trust Management Pte. Ltd., which is also wholly-owned by OUE.

Details
Name: OUE Hospitality Trust
SK7
Exchange: SGX
Founded: 2013
SGD1,308,292,404
1,829,779,587
Website: http://www.oueht.com
Address: OUE Hospitality Trust
333 Orchard Road, No.33-00,
Singapore,
238867,
Singapore
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SGX SK7 Stapled Securiies Singapore Exchange SG SGD 25. Jul 2013
OTCPK OSPQ.F Stapled Securiies Pink Sheets LLC US USD 25. Jul 2013
Number of employees
Current staff
Staff numbers
0
OUE Hospitality Trust employees.
Industry
Hotel and Resort REITs
Real Estate
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/25 13:48
End of day share price update: 2019/04/25 00:00
Last estimates confirmation: 2019/04/17
Last earnings filing: 2019/03/27
Last earnings reported: 2018/12/31
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.