OTCPK:PRKW.F

Stock Analysis Report

Parkway Life Real Estate Investment Trust

Executive Summary

Parkway Life Real Estate Investment Trust (“PLife REIT”) is one of Asia’s largest listed healthcare REITs by asset size.


Snowflake Analysis

Average dividend payer and slightly overvalued.

Share Price & News

How has Parkway Life Real Estate Investment Trust's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

PRKW.F

-4.7%

US REITs

-7.6%

US Market


1 Year Return

n/a

PRKW.F

11.6%

US REITs

10.2%

US Market

Return vs Industry: Insufficient data to determine how PRKW.F performed against the US REITs industry.

Return vs Market: Insufficient data to determine how PRKW.F performed against the US Market.


Shareholder returns

PRKW.FIndustryMarket
7 Day0%-4.7%-7.6%
30 Dayn/a-1.5%-4.5%
90 Dayn/a0.9%-0.6%
1 Yearn/a16.1%11.6%12.5%10.2%
3 Yearn/a31.7%15.3%37.1%28.3%
5 Year46.5%46.5%52.7%21.3%60.8%43.2%

Price Volatility Vs. Market

How volatile is Parkway Life Real Estate Investment Trust's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Parkway Life Real Estate Investment Trust undervalued compared to its fair value and its price relative to the market?

17.8x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: PRKW.F ($2.65) is trading above our estimate of fair value ($1.7)

Significantly Below Fair Value: PRKW.F is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: PRKW.F is good value based on its PE Ratio (17.8x) compared to the REITs industry average (36.3x).

PE vs Market: PRKW.F is poor value based on its PE Ratio (17.8x) compared to the US market (17.1x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: PRKW.F is good value based on its PB Ratio (1.9x) compared to the US REITs industry average (1.9x).


Next Steps

Future Growth

How is Parkway Life Real Estate Investment Trust forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

-14.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PRKW.F's earnings are forecast to decline over the next 3 years (-14.5% per year).

Earnings vs Market: PRKW.F's earnings are forecast to decline over the next 3 years (-14.5% per year).

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

Revenue vs Market: PRKW.F's revenue (1.5% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: PRKW.F's revenue (1.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PRKW.F's Return on Equity is forecast to be low in 3 years time (7%).


Next Steps

Past Performance

How has Parkway Life Real Estate Investment Trust performed over the past 5 years?

8.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PRKW.F has a large one-off gain of SGD43.0M impacting its December 31 2019 financial results.

Growing Profit Margin: PRKW.F's current net profit margins are lower than last year .


Past Earnings Growth Analysis

Earnings Trend: PRKW.F's earnings have grown by 8.4% per year over the past 5 years.

Accelerating Growth: PRKW.F's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: PRKW.F had negative earnings growth (-18.8%) over the past year, making it difficult to compare to the REITs industry average (5%).


Return on Equity

High ROE: PRKW.F's Return on Equity (10.4%) is considered low.


Next Steps

Financial Health

How is Parkway Life Real Estate Investment 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: PRKW.F has a high level of physical assets or inventory.

Debt Coverage by Assets: PRKW.F's debt is not covered by short term assets (assets are 0x debt).


Financial Institutions Analysis

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

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

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

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

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

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


Next Steps

Dividend

What is Parkway Life Real Estate Investment Trust's current dividend yield, its reliability and sustainability?

3.63%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: PRKW.F's dividend (3.63%) is higher than the bottom 25% of dividend payers in the US market (1.53%).

High Dividend: PRKW.F's dividend (3.63%) is low compared to the top 25% of dividend payers in the US market (3.96%).


Stability and Growth of Payments

Stable Dividend: PRKW.F's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (89%), PRKW.F's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PRKW.F's dividends in 3 years are not forecast to be well covered by earnings (102.2% payout ratio).


Next Steps

Management

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

9.0yrs

Average management tenure


CEO

Yean Chau Yong (53yo)

11.2yrs

Tenure

Mr. Yean Chau Yong has been Chief Executive Officer at Parkway Trust Management Limited, the manager of Parkway Life REIT since December 2008. Mr. Yong has been Executive Director at Parkway Trust Managem ...


Leadership Team

NamePositionTenureCompensationOwnership
Yean Chau Yong
CEO & Executive Director of Parkway Trust Management Limited11.2yrsno data0.12% SGD1.9m
Hock Leong Loo
CFO and Head of Corporate Services & Investor Relations of Parkway Trust Management Limited11.1yrsno datano data
Seak Tan
Chief Investment Officer of Parkway Trust Management Limited0yrsno datano data
Chin Teo
VP & Head of Projects of Parkway Trust Management Limited0yrsno datano data
Shawn Yap
VP & Head of Asset Management of Parkway Trust Management Limited0yrsno datano data
Patricia Ng
VP & Head of Finance of Parkway Trust Management Limited0yrsno datano data
Weng Lee
Assistant VP and Head of Investment & Special Project0.8yrsno datano data
Wan Mei Chan
Joint Company Secretary of Park way Trust Management Limited6.9yrsno datano data
Lai Chan
Joint Company Secretary of Park way Trust Management Limited0yrsno datano data
Chen Yin Liu
Chief Portfolio Officer of Parkway Trust Management Limited0yrsno datano data

9.0yrs

Average Tenure

50yo

Average Age

Experienced Management: PRKW.F's management team is seasoned and experienced (9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Yean Chau Yong
CEO & Executive Director of Parkway Trust Management Limited11.2yrsno data0.12% SGD1.9m
Soon Teck Low
Non-Executive Director of Parkway Trust Management Limited3yrsS$47.25kno data
Gek Lee
Independent Director of Parkway Trust Management Limited3.7yrsS$73.50kno data
Rossana Binti Ahmad Rashid
Non-Executive Director of Parkway Trust Management Limited4.3yrsS$47.25kno data
Sui Ling Cheah
Independent Director of Parkway Trust Management Limited2.8yrsS$73.50kno data
Heng Sim
Non-Executive Director of Parkway Trust Management Limited0.3yrsno datano data
Chi-Keon Loh
Non-Executive Director at Parkway Trust Management Limited1.1yrsno data0.020% SGD311.8k
Kian Guan Ho
Chairman of Parkway Trust Management Limited2.8yrsS$94.50kno data

2.9yrs

Average Tenure

53yo

Average Age

Experienced Board: PRKW.F's board of directors are not considered experienced ( 2.9 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Parkway Life Real Estate Investment Trust's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Parkway Life Real Estate Investment Trust
  • Ticker: PRKW.F
  • Exchange: OTCPK
  • Founded: 2007
  • Industry: Health Care REITs
  • Sector: Real Estate
  • Market Cap: S$2.196b
  • Listing Market Cap: S$1.572b
  • Shares outstanding: 605.00m
  • Website: https://www.plifereit.com

Location

  • Parkway Life Real Estate Investment Trust
  • 80 Robinson Road, No. 02-00
  • Singapore
  • 68898
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
C2PUSGX (Singapore Exchange)YesUNITSSGSGDAug 2007
3P51DB (Deutsche Boerse AG)YesUNITSDEEURAug 2007
PRKW.FOTCPK (Pink Sheets LLC)YesUNITSUSUSDAug 2007

Biography

Parkway Life Real Estate Investment Trust (“PLife REIT”) is one of Asia’s largest listed healthcare REITs by asset size. It invests in income-producing real estate and real estate related assets that are used primarily for healthcare and healthcare-related purposes (including but are not limited to, hospitals, healthcare facilities and real estate and/or real estate assets used in connection with healthcare research, education, and the manufacture or storage of drugs, medicine and other healthcare goods and devices). PLife REIT owns a well-diversified portfolio of 53 properties with a total portfolio size of approximately S$1.96 billion as at 31 December 2019. It owns the largest portfolio of strategically located private hospitals in Singapore comprising Mount Elizabeth Hospital, Gleneagles Hospital and Parkway East Hospital. In addition, it has 49 assets located in Japan, including one pharmaceutical product distributing and manufacturing facility in Chiba Prefecture as well as 48 high quality nursing home and care facility properties in various prefectures of Japan. It also owns strata-titled units/lots in MOB Specialist Clinics, Kuala Lumpur in Malaysia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/27 02:02
End of Day Share Price2020/02/19 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.