Mapletree Industrial Trust (MINT): A Resilient Performer

Mapletree Industrial Trust (MINT) reported strong performance in its 3Q/9MFY25 results, showcasing revenue growth of 2% year-on-year (yoy) to S\$177.3 million and net property income (NPI) rising by 2.6% yoy to S\$133.2 million. These results were driven by contributions from its Osaka data center, a newly acquired Tokyo mixed-use facility, and new and renewal leases in Singapore and the US. The distribution per unit (DPU) for 3QFY25 stands at 3.41 Singapore cents (+1.5% yoy), bringing the cumulative 9MFY25 DPU to 10.21 cents.

Despite a slight dip in overall portfolio occupancy from 92.9% to 92.1%, MINT achieved positive rental reversions of 9.8% across all property segments in Singapore, with rental uplifts ranging from 5.4% to 14.4%. The weighted average lease expiry (WALE) was extended from 4.4 years to 4.5 years due to a significant lease extension in the US portfolio.

MINT’s gearing increased to 39.8% following the acquisition of a Tokyo property in October 2024, with an all-in funding cost of 3.1%. The REIT maintains a healthy interest coverage ratio of 4.3x. The management remains committed to proactive capital management, tenant retention, and exploring accretive acquisitions and divestments.

Recommendation: Add. Target Price: S\$2.82. Projected FY25F Dividend Yield: 6.3%.

CapitaLand Ascott Trust (CLAS): A Hospitality Leader

CapitaLand Ascott Trust (CLAS) continues to assert dominance in the hospitality REIT sector with a current price of S\$0.88 and a target price of S\$1.18. The trust boasts a substantial market capitalization of US\$2,455 million and a dividend yield forecast of 7.0% for FY24F, increasing to 7.8% by FY26F. With a gearing ratio of 38.3%, CLAS balances its growth strategy with prudent financial management.

Recommendation: Add.

CDL Hospitality Trust (CDREIT): Steady Growth in Hospitality

CDL Hospitality Trust (CDREIT) maintains its position as a strong player in the hospitality sector. With a current price of S\$0.87 and a target price of S\$1.16, CDREIT offers attractive dividend yields of 6.2% for FY24F, rising to 7.2% by FY26F. The trust has a market capitalization of US\$804 million and a gearing ratio of 38.8%.

Recommendation: Add.

Far East Hospitality Trust (FEHT): Stable Performance

Far East Hospitality Trust (FEHT) offers consistent returns with a current price of S\$0.61 and a target price of S\$0.78. The trust projects stable dividend yields of 6.9% across FY24F to FY26F, backed by its market capitalization of US\$908 million and a gearing ratio of 30.8%.

Recommendation: Add.

Frasers Hospitality Trust (FHT): A Niche Player

Frasers Hospitality Trust (FHT) stands out with a gearing ratio of 39.3% and a dividend yield forecast of 4.1% for FY24F, climbing to 4.8% by FY26F. With a market capitalization of US\$773 million, FHT remains a niche option for investors seeking exposure to the hospitality sector.

Recommendation: Not Rated.

Industrial Sector REITs: A Mixed Bag

AIMS AMP Capital Industrial REIT

AIMS AMP REIT projects strong dividend yields of 7.4% for FY24F, supported by a market capitalization of US\$754 million and a gearing ratio of 33.4%.

Recommendation: Not Rated.

CapitaLand Ascendas REIT (CLAR)

CLAR exhibits steady growth with a target price of S\$3.23 and a dividend yield forecast of 6.0% for FY24F. The REIT boasts a market capitalization of US\$8,391 million and a gearing ratio of 38.9%.

Recommendation: Add.

ESR-REIT

ESR-REIT offers the highest dividend yields among industrial REITs at 8.6% across FY24F to FY26F, with a market capitalization of US\$1,547 million and a gearing ratio of 38.9%.

Recommendation: Add.

Frasers Logistics & Commercial Trust (FLT)

FLT has a target price of S\$1.35 and dividend yields of 7.7% for FY24F, increasing to 7.8% by FY26F. Its market capitalization stands at US\$2,447 million with a gearing ratio of 36.0%.

Recommendation: Add.

Keppel DC REIT

Keppel DC REIT focuses on data centers, targeting a price of S\$2.48 and dividend yields of 4.1% for FY24F, increasing to 4.7% in FY26F. It has a market capitalization of US\$3,625 million and a gearing ratio of 33.0%.

Recommendation: Add.

Mapletree Logistics Trust (MLT)

MLT offers dividend yields of 7.1% for FY24F, declining slightly to 6.0% for FY26F. With a market capitalization of US\$4,710 million and a gearing ratio of 40.3%, MLT remains a solid industrial REIT choice.

Recommendation: Add.

Retail Sector REITs: Consistent Performers

CapitaLand Integrated Commercial Trust (CICT)

CICT targets a price of S\$2.45 with dividend yields of 5.6% for FY24F, increasing to 6.2% for FY26F. It has a market capitalization of US\$10,465 million and a gearing ratio of 39.4%.

Recommendation: Add.

Frasers Centrepoint Trust (FCT)

FCT targets a price of S\$2.68 with steady dividend yields of 5.7% for FY24F to FY26F. It has a market capitalization of US\$2,848 million and a gearing ratio of 39.3%.

Recommendation: Add.

Mapletree Pan Asia Commercial Trust (MPACT)

MPACT targets a price of S\$1.53 and dividend yields of 7.5% for FY24F, stabilizing at 7.0% for FY26F. It has a market capitalization of US\$4,630 million and a gearing ratio of 38.2%.

Recommendation: Add.