Tuesday, May 22, 2012

AmanahRaya REIT: Downgrade to Hold - Expect A Subdued Quarter

Downgrade to HOLD. ARREIT's 1Q12 results, which will be released by Wednesday, are likely to be subdued with an expected YoY decline in earnings mainly due to the loss of rental income at Wisma UEP since Jul 2011 and higher refurbishment costs. Near-term catalysts could come from: 1) the sale of the Wisma UEP building in Subang Jaya and 2) new acquisitions. We maintain our forecasts and MYR0.95 TP for now. ARREIT is fairly valued at the current price (7.9% gross yield).

Click here for full report

Source: Maybank Research - 22 May 2012

No comments:

Post a Comment