- Yield = 12.62%
- Price-to-book Ratio = 0.622
- Assets per unit = $1.943
- Debt per unit = $1.116 (including current liabilities)
- Gearing = 57.4%
Asian Pay Television Trust recently release an investor update presentation slides which prompt me to review my investments in APTT. Here are the statistics.
With 12.62% yield, this is probably the highest yieldings trust you can find in the market. It is at least three percentage points higher than the next highest which is Dasin Retail Trust. However, it comes with a price and risk. Its gearing is at 57.4% which is extremely high, although it is trading at 38% discount to NAV. It seems to be trading at a level which is similar to levels during a crisis, although they are not going through one.
In my opinion, the high yield comes with a high risk and their assets are not brick and mortar like REITs which means it is not as reliable as valuing properties. However, I will still be holding on to my 200,000 shares, enjoying the dividends even though it has fallen 8 cents since my last analysis.
With 12.62% yield, this is probably the highest yieldings trust you can find in the market. It is at least three percentage points higher than the next highest which is Dasin Retail Trust. However, it comes with a price and risk. Its gearing is at 57.4% which is extremely high, although it is trading at 38% discount to NAV. It seems to be trading at a level which is similar to levels during a crisis, although they are not going through one.
In my opinion, the high yield comes with a high risk and their assets are not brick and mortar like REITs which means it is not as reliable as valuing properties. However, I will still be holding on to my 200,000 shares, enjoying the dividends even though it has fallen 8 cents since my last analysis.
Have you looked at EC World REIT ? It yields 8.1%, and trades at 81% of NAV. And debt is low at only 28% of assets (composed of bank loans from DBS China in CNY, and Bank of China Singapore in SGD).
ReplyDeleteProperties are in China, I know. But it already has 3 years of track record on the SGX, with a flawless records of great dividends, and a good level of transparency.
So, I really don't think it's a scam, with fraudulent accounts and properties in ghost cities.
Looks legit, and is therefore a great bargain at these levels.
Or am I missing something ?
Their NAV is made up of intangibles.
ReplyDeleteAnd by its nature, I do think the trust needs to renew and upgrade its infrastructure once in a while?
And these upgrades are not deducted in the current DPU