Current Price on 8th Feb 2013 = $0.52
- Current Yield = 5.64%
- Price-to-book Ratio = 0.928
- Assets per unit = $0.887
- Debt per unit = $0.321 (including current liabilities)
- Gearing = 36.2%
LMIR has delivered their results just before CNY. Its indicators are still not very strong with only a yield of 5.64%. Current price-to-book ratio is at 0.928 which is also not strong considering that its properties are based in Indonesia. One more thing to note is that Rupiah has been declining, therefore eroding NAV to a significant extent.
I believe that there is room for improvement in its yield to about 6% but that still does not fulfil my requirements of at least 8%. The only good thing about LMIR is that its manager is actively looking for acquisitions for growth and it has been able to buy at discounts to NAV, therefore boosting its NAV value of the REIT.
Nevertheless, it might be time to realize the profit of LMIR and look for other opportunities closer to home (especially when it also commands the same yield).
It would be helpful if you could share what price you purchased the share so that there is a reference.ReplyDelete
I bought mine at $0.345 in late 2011.