by winston » Wed Nov 14, 2018 9:49 am
not vested
UOL Group: Don’t worry, there’s still time
UOL’s 3Q18 results met our expectations, with core PATMI growing 4.9% YoY to S$92.8m.
While UOL highlighted that the recent property cooling measures had negatively affected sentiment, it remains comfortable at the current run-rate of close to 70% and 30% sales for its Amber45 (six months after launch) and The Tre Ver projects (four months after launch), respectively.
Looking ahead, UOL plans to launch two projects in 2Q19, with its Silat Avenue project a potential beneficiary of the government’s upcoming Greater Southern Waterfront project.
UOL’s hotels RevPAR performance and retail rental reversions were mixed, but its office portfolio performance was more robust, with healthy leasing momentum and occupancy rates.
It would seek to grow its recurring income streams, including in Australia, given the residential headwinds in Singapore.
After adjustments, our fair value estimate for UOL moves from S$8.48 to S$8.41.
Maintain BUY with a fair value estimate of S$8.41.
Source: OCBC
It's all about "how much you made when you were right" & "how little you lost when you were wrong"