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Keppel DC REIT (SG:AJBU)
SGX:AJBU
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Keppel DC REIT (AJBU) AI Stock Analysis

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SG:AJBU

Keppel DC REIT

(SGX:AJBU)

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Outperform 70 (OpenAI - 4o)
Rating:70Outperform
Price Target:
S$2.50
▲(5.04% Upside)
Keppel DC REIT's overall stock score is driven by its strong financial performance, though tempered by neutral technical signals and moderate valuation. The company's robust revenue growth and profitability are its greatest strengths. However, the lack of bullish technical indicators and a low dividend yield for a REIT weigh on its appeal.
Positive Factors
Negative Factors

Keppel DC REIT (AJBU) vs. iShares MSCI Singapore ETF (EWS)

Keppel DC REIT Business Overview & Revenue Model

Company DescriptionKeppel DC REIT (AJBU) is a Singapore-based real estate investment trust that specializes in owning and managing a portfolio of data center properties. The company focuses on providing high-quality data center facilities for colocation, managed services, and cloud service providers. Keppel DC REIT's portfolio is geographically diversified across key data center hubs in Asia Pacific and Europe, catering to a broad range of clients in industries such as telecommunications, IT services, and financial services.
How the Company Makes MoneyKeppel DC REIT generates revenue primarily through the leasing of space in its data centers to tenants, including enterprises, cloud service providers, and IT service companies. The company earns rental income from long-term leasing agreements, which are typically structured with fixed rental rates and built-in rental escalations. Additionally, Keppel DC REIT may derive income from ancillary services provided to tenants, such as power supply, cooling, and maintenance services. Strategic partnerships and joint ventures with other real estate and data center operators can also contribute to Keppel DC REIT's earnings by enhancing its service offerings and expanding its property portfolio.

Keppel DC REIT Financial Statement Overview

Summary
Keppel DC REIT shows strong financial health with significant revenue and profit margin growth, supported by a solid balance sheet. Cash flow management is efficient, though there is room for improving EBIT transparency and aligning operating cash flow with net income.
Income Statement
85
Very Positive
Keppel DC REIT has demonstrated strong revenue growth, with a 13.7% increase from the previous year. The gross profit margin is solid at 74.7%, and the net profit margin has significantly improved to 96.9%. EBITDA margin is impressive at 126.4%, indicating robust operational efficiency. However, the absence of EBIT data limits a full profitability assessment.
Balance Sheet
78
Positive
The company shows a healthy equity position with an equity ratio of 60.8%. The debt-to-equity ratio is moderate at 0.51, indicating manageable leverage levels. Return on equity is strong at 8.9%, showcasing effective use of equity capital. The balance sheet reflects stability, although there is room for improvement in reducing debt levels.
Cash Flow
80
Positive
Keppel DC REIT's free cash flow grew by 37.2%, highlighting robust cash generation capabilities. The operating cash flow to net income ratio is 0.74, and the free cash flow to net income ratio is 0.63, suggesting efficient cash flow management. While positive, improvements are possible in aligning operating cash flow more closely with net income.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue370.73M310.29M272.92M277.32M271.06M265.57M
Gross Profit288.12M231.94M209.32M225.68M223.90M222.07M
EBITDA107.39M392.32M239.68M235.83M369.85M217.75M
Net Income169.82M300.67M118.53M230.91M313.66M168.15M
Balance Sheet
Total Assets3.99B5.54B4.01B4.11B3.78B3.35B
Cash, Cash Equivalents and Short-Term Investments164.33M316.69M149.73M190.40M195.94M244.39M
Total Debt1.42B1.72B1.48B1.48B1.30B1.19B
Total Liabilities1.58B2.12B1.65B1.65B1.44B1.37B
Stockholders Equity2.37B3.37B2.31B2.41B2.29B1.94B
Cash Flow
Free Cash Flow227.03M188.33M137.34M178.87M113.93M175.43M
Operating Cash Flow253.46M223.74M163.77M218.29M191.50M234.98M
Investing Cash Flow53.38M-1.07B-15.44M-298.71M-374.38M-208.81M
Financing Cash Flow-283.87M1.00B-188.60M83.67M134.97M66.85M

Keppel DC REIT Technical Analysis

Technical Analysis Sentiment
Positive
Last Price2.38
Price Trends
50DMA
2.33
Positive
100DMA
2.25
Positive
200DMA
2.17
Positive
Market Momentum
MACD
0.02
Positive
RSI
54.00
Neutral
STOCH
39.74
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:AJBU, the sentiment is Positive. The current price of 2.38 is above the 20-day moving average (MA) of 2.36, above the 50-day MA of 2.33, and above the 200-day MA of 2.17, indicating a bullish trend. The MACD of 0.02 indicates Positive momentum. The RSI at 54.00 is Neutral, neither overbought nor oversold. The STOCH value of 39.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:AJBU.

Keppel DC REIT Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
71
Outperform
$638.96M3.2619.67%8.45%36.48%
70
Outperform
$5.35B14.4310.81%4.23%23.81%89.13%
70
Outperform
S$6.05B17.806.76%6.33%0.24%193.35%
61
Neutral
S$6.32B34.642.93%6.29%-1.47%-39.12%
61
Neutral
$240.22M-15.44-0.96%-1.55%78.22%
47
Neutral
$135.02M-0.56-27.66%-106.71%
65
Neutral
$2.17B12.193.79%4.94%3.15%1.96%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SG:AJBU
Keppel DC REIT
2.38
0.33
16.32%
SG:M44U
Mapletree Logistics
1.25
-0.12
-8.69%
SG:ME8U
Mapletree Industrial
2.12
-0.16
-7.06%
SG:DCRU
Digital Core REIT
0.48
-0.10
-17.24%
SG:CMOU
Keppel Pacific Oak US REIT
0.23
-0.04
-14.81%
SG:BTOU
Manulife US REIT
0.08
-0.04
-33.33%

Keppel DC REIT Corporate Events

Keppel DC REIT Updates Trustee’s Registered Address
Jun 12, 2025

Keppel DC REIT has announced a change in the registered address of its trustee, Perpetual (Asia) Limited, to a new location at 38 Beach Road, South Beach Tower, Singapore. This administrative update does not affect the office address of the trustee, which remains at 16 Collyer Quay, Singapore. The change is part of routine updates and does not have a direct impact on the operations or market positioning of Keppel DC REIT.

The most recent analyst rating on (SG:AJBU) stock is a Buy with a S$2.50 price target. To see the full list of analyst forecasts on Keppel DC REIT stock, see the SG:AJBU Stock Forecast page.

Keppel DC REIT Joins Straits Times Index, Boosting Investor Visibility
Jun 9, 2025

Keppel DC REIT will be included in the Straits Times Index (STI) from 23 June 2025, a move expected to enhance its visibility among investors. This inclusion reflects the REIT’s strong financial and operational performance, driven by the rising demand for data centers due to increased cloud adoption and digitalization. The REIT has delivered substantial returns to unitholders since its IPO, and its inclusion in the STI is likely to further solidify its position in the market.

The most recent analyst rating on (SG:AJBU) stock is a Buy with a S$2.50 price target. To see the full list of analyst forecasts on Keppel DC REIT stock, see the SG:AJBU Stock Forecast page.

Keppel DC REIT Reviews FY2024 Performance at AGM
May 15, 2025

Keppel DC REIT held its Annual General Meeting at the Suntec Singapore Convention and Exhibition Centre, where the CEO presented the portfolio performance for FY2024. The meeting included a review of financial statements and resolutions were voted on electronically, reflecting the company’s commitment to transparency and stakeholder engagement.

The most recent analyst rating on (SG:AJBU) stock is a Buy with a S$2.50 price target. To see the full list of analyst forecasts on Keppel DC REIT stock, see the SG:AJBU Stock Forecast page.

Keppel DC REIT Issues Units for Management Fees
May 7, 2025

Keppel DC REIT has issued 764,903 units at S$2.1774 per unit as payment for its management fees for the first quarter of 2025. This issuance covers fees for its interests in multiple data centers, reflecting the trust’s strategy to manage costs and align management incentives with shareholder interests.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 16, 2025