Broker: Lim & Tan Securities
Date of Report: 21 July 2026
Excerpt from Lim & Tan Securities report.
Report Summary
- Metro Holdings Limited (S\$0.46):
- Metro announced a strategic repositioning of its retail business to move away from large-format department stores towards flexible, multi-concept retail formats. The new strategy aims to enhance customer engagement, operational agility, and capture new retail opportunities.
- Metro will not operate its current Metro Paragon and Metro Causeway Point stores after lease expiry and is in discussions for new store locations.
- At S\$0.46, Metro trades at a 4.4% dividend yield, price-to-book of 0.4x, and is currently loss-making. Bloomberg consensus target price is S\$0.70, implying 52.2% upside.
- No immediate material impact is expected for FY2027 earnings per share or net tangible assets. Investors should monitor for further developments before taking action.
- Frasers Centrepoint Trust (FCT) (S\$2.27):
- FCT won a bid (via consortium) for a prime mixed-use site at Bayshore Drive for S\$2.1 billion. FCT will own 50% of a new suburban retail mall, targeting a 5% yield on cost, completion by end-2030.
- This project strengthens FCT’s position as Singapore’s largest suburban retail mall owner and introduces a development-led growth engine.
- FCT trades at 18.5x forward PE, 1x PB, and a 5.4% dividend yield. Consensus target price is S\$2.60, offering 14.5% upside.
- Recommendation: Accumulate on weakness due to strong yield and fundamentals.
above is an excerpt from a report by Lim & Tan Securities. Clients of Lim & Tan Securities can be the first to access the full report from the Lim & Tan Securities website : https://www.limtan.com.sg
