- Yield = 8.38%
- Price-to-book Ratio = 1.025
- Assets per unit = $0.708
- Debt per unit = $0.396 (including current liabilities and perpetual securities)
- Gearing = 55.9%
- Occupancy = 94%
LippoMalls Indonesian Trust is one which is probably the worst performing REIT that I have seen. In my last analysis, I was thinking whether to offload them but did not do it. Thus, I regret my decision or indecision that I have made. Let's take a look at the statistics now.
Yield is at 8.38% which is still quite high compared to other REITs. However, with the recent pull-back, there are REITs which are trading at similar yields. Their valuation is also still low so price-to-book ratio is at 1.025 which means we are buying at a slight premium to their valuation. Gearing, if you include perpetual securities apart from debt, is quite high at 55.9%.
One thing about LMIR is that we are subject to Indonesian regulations and also currency risk, both which work against us this round and it will take a while for LMIR to turn it around. As I have said earlier, I regret not selling earlier and I am holding just to hope that it will continue to hold and move back up. However, looking at the statistics, I still think it is fairly valued and probably there is only value in holding on. I am vested with 30,000 shares, and I am still observing whether I should unload and switch to another counter. I just hope that I am right this time.
Yield is at 8.38% which is still quite high compared to other REITs. However, with the recent pull-back, there are REITs which are trading at similar yields. Their valuation is also still low so price-to-book ratio is at 1.025 which means we are buying at a slight premium to their valuation. Gearing, if you include perpetual securities apart from debt, is quite high at 55.9%.
One thing about LMIR is that we are subject to Indonesian regulations and also currency risk, both which work against us this round and it will take a while for LMIR to turn it around. As I have said earlier, I regret not selling earlier and I am holding just to hope that it will continue to hold and move back up. However, looking at the statistics, I still think it is fairly valued and probably there is only value in holding on. I am vested with 30,000 shares, and I am still observing whether I should unload and switch to another counter. I just hope that I am right this time.
I have vested 20,000 shares with average price at 0.41….dun know if it would keep dropping…me as well, I just hope that I am right this time.
ReplyDeletehi hi. I am checking for comments on lippomall and came across your blog. I am also vested at 40lot and regret regret my decision not to cut loss earlier. R u still vested? may I know what is your insight on this counter. I have lost half of my investment as I went in at quite a high price then. thank you so much for your attention. Aminmin
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