Broker Name: Maybank Research Pte Ltd
Date of Report: November 7, 2025
Excerpt from Maybank Research Pte Ltd report.
Report Summary
- AIMS APAC REIT’s 2Q26 distribution per unit (DPU) rose 7.0% QoQ and 1.4% YoY, supported by positive rental reversion and lower financing costs, despite a slight dip in portfolio occupancy.
- The REIT’s gearing increased to 35% after perpetual bonds were refinanced with bank loans, but the cost of debt fell and is expected to decline further. An upcoming acquisition is set to provide 2.5% DPU accretion.
- Maybank upgraded the stock to BUY, raised the target price to SGD1.44, and views the attractive 6.7% forward yield as adequate compensation for higher gearing and a premium to NTA.
- Key risks include refinancing challenges, potential vacancies, dilutive actions, and sponsor-related strategies, but the REIT’s diversified portfolio, sound balance sheet, and proactive asset management provide resilience.
Above is an excerpt from a report by Maybank Research Pte Ltd. Clients of Maybank Research Pte Ltd can be the first to access the full report from the Maybank Research Pte Ltd website: https://www.maybank-keresearch.com
