Phillip Securities analyst Yik Ban Chong has maintained their bullish stance on OU8 stock, giving a Buy rating on August 11.
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Yik Ban Chong’s rating is based on several positive developments within Centurion Corporation Limited’s operations. The company’s revenue and adjusted PATMI for the first half of 2025 were in line with expectations, driven by strong performance in its Singapore purpose-built worker accommodations, which have maintained a high occupancy rate of 99% for six consecutive quarters. Additionally, the company’s purpose-built student accommodations in the UK and Australia are benefiting from positive rental revisions due to a persistent shortage of beds.
Moreover, Centurion Corporation’s strategic initiatives, such as the compliance of its Westlite Ubi dormitory with Singapore’s new dormitory standards, position it favorably in the market. The analyst also notes the potential for further rental increases, supported by high occupancy rates and strong demand driven by large-scale construction projects in Singapore and increasing international student numbers in the UK and Australia. These factors, combined with a projected dividend yield of approximately 6% following the spin-off of Centurion Accommodation REIT, underpin the Buy rating.
In another report released on August 11, CGS-CIMB also reiterated a Buy rating on the stock with a S$2.05 price target.