Broker: CGS International
Date of Report: April 28, 2026
Excerpt from CGS International report.
Report Summary
- Stock: CapitaLand Ascendas REIT (CLAR SP)
- Recommendation: Add (Buy)
- Target Price: S\$3.12
- Current Price: S\$2.54
- Up/Downside: 23.0%
- Key Actionable Insight: The broker maintains an “Add” rating on CapitaLand Ascendas REIT, with a revised DDM-based target price of S\$3.12. This implies a significant upside potential for investors.
- Highlights:
- Portfolio occupancy fell slightly to 90.5%, mainly due to Singapore and Australia.
- Rental reversion was strong at +10.6% in 1Q26; management guides for mid-single digit rental reversion for FY26.
- Aggregate leverage is expected to decrease from 42% to 37.3% after equity fundraising.
- Asset enhancement initiatives (AEI) and redevelopment projects are scheduled to be completed between 2Q26F and 2H28F, which should boost future income.
- Dividend yield is attractive at ~6%.
- Implications: Investors are encouraged to consider buying CLAR for its diversified portfolio, resilient performance, and upcoming enhancement projects. Risks include a prolonged economic downturn affecting rent pricing.
- Ticker: CLAR SP
above is an excerpt from a report by CGS International. Clients of CGS International can be the first to access the full report from the CGS International website : https://www.cgs-cimb.com
