SGX:UD1U

Stock Analysis Report

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Executive Summary

IREIT Global (SGX-UD1U) which was listed on 13 August 2014, is the first Singapore-listed real estate investment trust with the investment strategy of principally investing, directly or indirectly, in a portfolio of income-producing real estate in Europe which is used primarily for office, retail and industrial (including logistics) purposes, as well as real estate-related assets.


Snowflake Analysis

Good value average dividend payer.

Share Price & News

How has IREIT Global's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: UD1U's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-2.2%

UD1U

1.0%

SG REITs

-1.5%

SG Market


1 Year Return

-10.0%

UD1U

-11.5%

SG REITs

-22.1%

SG Market

Return vs Industry: UD1U exceeded the SG REITs industry which returned -12.7% over the past year.

Return vs Market: UD1U exceeded the SG Market which returned -22.6% over the past year.


Shareholder returns

UD1UIndustryMarket
7 Day-2.2%1.0%-1.5%
30 Day5.5%7.6%-0.3%
90 Day-16.1%-17.5%-19.8%
1 Year-3.5%-10.0%-6.9%-11.5%-18.4%-22.1%
3 Year12.0%-10.0%17.2%-1.9%-16.3%-25.8%
5 Year41.7%-16.1%29.4%-5.8%-13.5%-28.6%

Price Volatility Vs. Market

How volatile is IREIT Global's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is IREIT Global 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: UD1U (SGD0.68) is trading below our estimate of fair value (SGD1.93)

Significantly Below Fair Value: UD1U is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: UD1U is good value based on its PE Ratio (4x) compared to the REITs industry average (12.5x).

PE vs Market: UD1U is good value based on its PE Ratio (4x) compared to the SG market (11.2x).


Price to Earnings Growth Ratio

PEG Ratio: UD1U's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: UD1U is overvalued based on its PB Ratio (0.8x) compared to the SG REITs industry average (0.8x).


Next Steps

Future Growth

How is IREIT Global forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

-30.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: UD1U's earnings are forecast to decline over the next 3 years (-30.3% per year).

Earnings vs Market: UD1U's earnings are forecast to decline over the next 3 years (-30.3% per year).

High Growth Earnings: UD1U's earnings are forecast to decline over the next 3 years.

Revenue vs Market: UD1U's revenue (1.8% per year) is forecast to grow slower than the SG market (3.8% per year).

High Growth Revenue: UD1U's revenue (1.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: UD1U's Return on Equity is forecast to be low in 3 years time (6.3%).


Next Steps

Past Performance

How has IREIT Global performed over the past 5 years?

35.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: UD1U has a large one-off gain of €68.7M impacting its December 31 2019 financial results.

Growing Profit Margin: UD1U's current net profit margins are higher than last year .


Past Earnings Growth Analysis

Earnings Trend: UD1U has become profitable over the past 5 years, growing earnings by 35.1% per year.

Accelerating Growth: UD1U's earnings growth over the past year (20.8%) is below its 5-year average (35.1% per year).

Earnings vs Industry: UD1U earnings growth over the past year (20.8%) exceeded the REITs industry 1.1%.


Return on Equity

High ROE: UD1U's Return on Equity (19.4%) is considered low.


Next Steps

Financial Health

How is IREIT Global's financial position?


Financial Position Analysis

Short Term Liabilities: UD1U's short term assets (€27.6M) exceed its short term liabilities (€17.5M).

Long Term Liabilities: UD1U's short term assets (€27.6M) do not cover its long term liabilities (€264.6M).


Debt to Equity History and Analysis

Debt Level: UD1U's debt to equity ratio (65.3%) is considered high.

Reducing Debt: UD1U's debt to equity ratio has increased from 47.8% to 65.3% over the past 5 years.

Debt Coverage: UD1U's debt is not well covered by operating cash flow (12.6%).

Interest Coverage: UD1U's interest payments on its debt are well covered by EBIT (7.8x coverage).


Balance Sheet


Next Steps

Dividend

What is IREIT Global's current dividend yield, its reliability and sustainability?

8.19%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: UD1U's dividend (8.19%) is higher than the bottom 25% of dividend payers in the SG market (2.79%).

High Dividend: UD1U's dividend (8.19%) is in the top 25% of dividend payers in the SG market (6.61%)


Stability and Growth of Payments

Stable Dividend: UD1U has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: UD1U's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (78.1%), UD1U's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: UD1U's dividends in 3 years are forecast to be covered by earnings (96.6% payout ratio).


Next Steps

Management

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

4.7yrs

Average board tenure


CEO

Louis d'Estienne d'Orves

no data

Tenure

Mr. Louis d'Estienne d'Orves serves as Chief Executive Officer of IREIT Global. 


Board Members

NamePositionTenureCompensationOwnership
Shao-Hong Khoo
Non-Executive Director of IREIT Global Group Pte Ltd1.08yrs€25.00kno data
Kok Min Lim
Independent Chairman of the Board of IREIT Global Group Pte Ltdno data€95.00k0.045% 195.8k
Wee Peng Tan
Independent Non-Executive Director of IREIT Global Group Pte Ltd5.83yrs€80.00k0.047% 202.5k
De Geis De Guyon Bruno Alfred Mari de Pampelonne
Non-Executive Director of IREIT Global Group Pte Ltd3.5yrs€25.00k0.031% 135.0k
Nir Ellenbogen
Independent Non-Executive Director of IREIT Global Group Pte Ltd6.42yrs€72.50k0.023% 97.9k

4.7yrs

Average Tenure

58yo

Average Age

Experienced Board: UD1U's board of directors are considered experienced (4.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: UD1U insiders have sold more shares than they have bought 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

IREIT Global's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: IREIT Global
  • Ticker: UD1U
  • Exchange: SGX
  • Founded:
  • Industry: Office REITs
  • Sector: Real Estate
  • Market Cap: S$430.896m
  • Shares outstanding: 638.36m
  • Website: https://www.ireitglobal.com

Location

  • IREIT Global
  • 8 Marina View
  • #15-07A Asia Square Tower 1
  • Singapore
  • 18960
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
UD1USGX (Singapore Exchange)YesUnitsSGSGDAug 2014

Biography

IREIT Global (SGX-UD1U) which was listed on 13 August 2014, is the first Singapore-listed real estate investment trust with the investment strategy of principally investing, directly or indirectly, in a portfolio of income-producing real estate in Europe which is used primarily for office, retail and industrial (including logistics) purposes, as well as real estate-related assets. IREIT Global’s current portfolio comprises five freehold office properties in Germany, located in Berlin, Bonn, Darmstadt, Münster and Munich and four freehold office properties in Spain, located in Madrid and Barcelona. IREIT Global is managed by IREIT Global Group Pte. Ltd. (the Manager), which is jointly owned by Tikehau Capital and City Developments Limited (CDL). Tikehau Capital is an asset management and investment group listed in France, while CDL is a leading real estate operating company listed in Singapore. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/26 13:33
End of Day Share Price2020/05/26 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.