Frasers Logistics & Commercial Trust (BUOU) AI Stock Analysis

• Market Cap: S$3.28B
• Dividend Yield: 10.49%
• Average Volume (3M): 12.09M
• Price to Earnings (P/E): 24.4
• Beta (1Y): 0.88
• Revenue Growth: 11.98%
• EPS Growth: N/A
• Country: SG
• Employees: 22
• Sector: Real Estate
• Sector Strength: 64
• Industry: REIT - Industrial
• EPS (TTM): 0.02
• Shares Outstanding: 3,769,944,600
• 10 Day Avg. Volume: 13,236,545
• 30 Day Avg. Volume: 12,091,428
• PEG Ratio: -0.85
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 13.94
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: S$1.01
• Price Target Upside: 16.35% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 70 Outperform
• Price Target: S$1.00 ▲(14.94%Upside)

The overall stock score reflects a strong financial recovery and robust cash flow generation as key strengths. While the technical analysis suggests neutral momentum, the high dividend yield offsets concerns about a relatively high P/E ratio, making the stock appealing for income investors.

Positive Factors

Asset Management

The divestment of 357 Collins Street in Melbourne was completed at a premium to its latest valuations, showcasing effective asset management.

Financial Performance

Frasers Logistics & Commercial Trust reported a 7.5% increase in revenue, thanks to contributions from new property acquisitions.

Growth Potential

The REIT holds a substantial right of first refusal (ROFR) pipeline from its sponsor worth over S$5.0 billion, offering considerable growth potential.

Negative Factors

Cost of Debt

FLT cautioned that the cost of debt would continue to rise as loans are refinanced and interest rate swaps are rolled over at higher interest rates.

Currency Risk

There is exposure to currency risk due to the REIT's distributions being paid in SGD while operating in multiple foreign currencies, though measures are taken to hedge against this.

Occupancy Challenges

Occupancy for Alexandra Technopark slipped 7ppt qoq to 77.1% in 2QFY25 due to the lease expiry for Google’s tranche two space.

Frasers Logistics & Commercial Trust Business Overview & Revenue Model

Company Description

Frasers Logistics & Commercial Trust (FLCT) is a Singapore-listed real estate investment trust with a portfolio comprising 100 industrial and commercial properties, worth approximately S$6.2 billion, diversified across five major developed markets – Australia, Germany, Singapore, the United Kingdom and the Netherlands. FLCT was listed on the Mainboard of Singapore Exchange Securities Trading Limited (SGX-ST) on 20 June 2016 as Frasers Logistics & Industrial Trust and was subsequently renamed Frasers Logistics & Commercial Trust on 29 April 2020 following the completion of a merger with Frasers Commercial Trust. FLCT's investment strategy is to invest globally in a diversified portfolio of income-producing properties used predominantly for logistics or industrial purposes located globally, or commercial purposes (comprising primarily CBD office space) or business park purposes (comprising primarily non-CBD office space and/or research and development space) located in the Asia-Pacific region or in Europe (including the United Kingdom). FLCT is sponsored by Frasers Property Limited.

How the Company Makes Money

Frasers Logistics & Commercial Trust makes money primarily through the rental income it earns from its portfolio of logistics and commercial properties. The trust leases these properties to a diverse range of tenants, including logistics providers, manufacturers, and commercial businesses, generating steady cash flows. Additionally, the trust may engage in property development and asset enhancement initiatives to increase the value and rental potential of its properties. Strategic partnerships with local and international entities can also contribute to its earnings by facilitating access to new markets and investment opportunities. The trust aims to optimize its portfolio through active asset management, including periodic reviews of its property holdings to ensure high occupancy rates and competitive rental rates, thus maximizing its revenue potential.

Frasers Logistics & Commercial Trust Financial Statement Overview

Summary

Frasers Logistics & Commercial Trust has shown impressive recovery and growth, with a strong rebound in revenue and net income, leading to improved margins and profitability. The balance sheet is stable, though leverage is moderate. Cash flow generation is robust, which supports financial health and operational efficiency.

Income Statement

Frasers Logistics & Commercial Trust has demonstrated solid revenue growth over the past year, with a notable increase from 2023 to 2024. The gross profit margin remains robust at approximately 74.5% for 2024. However, the company experienced a negative EBIT and EBITDA in 2023, which has since recovered significantly in 2024. Net profit margin has improved to 29.9% after a negative result in 2023, indicating a strong turnaround.

Balance Sheet

The balance sheet shows a healthy equity ratio of 59.8% in 2024, indicating a strong asset base relative to liabilities. However, the debt-to-equity ratio stands at 56.5%, reflecting moderate leverage. The return on equity has improved from negative in 2023 to 3.5% in 2024, signaling a positive trend in profitability.

Cash Flow

The company has shown impressive growth in free cash flow, with a significant increase of 58.3% from 2023 to 2024. The operating cash flow to net income ratio is strong at 2.11, indicating efficient cash generation relative to net income. The free cash flow to net income ratio is also favorable at 1.51, highlighting effective cash utilization.

Breakdown	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	446.67M	420.78M	450.19M	469.33M	332.03M
Gross Profit	321.13M	314.13M	347.92M	365.82M	269.18M
EBITDA	281.62M	-24.95M	902.74M	922.08M	567.62M
Net Income	147.53M	-103.03M	728.64M	731.11M	454.72M
Balance Sheet
Total Assets	7.14B	6.94B	7.41B	7.68B	6.73B
Cash, Cash Equivalents and Short-Term Investments	133.57M	152.74M	220.73M	140.37M	168.65M
Total Debt	2.41B	2.16B	2.10B	2.68B	2.62B
Total Liabilities	2.81B	2.51B	2.52B	3.06B	2.93B
Stockholders Equity	4.27B	4.38B	4.84B	4.57B	3.77B
Cash Flow
Free Cash Flow	223.16M	140.99M	141.51M	231.37M	182.11M
Operating Cash Flow	311.37M	302.25M	269.13M	260.26M	182.16M
Investing Cash Flow	-263.66M	-128.31M	523.51M	-325.41M	-453.50M
Financing Cash Flow	-4.69M	-243.09M	-699.17M	36.81M	323.22M

Frasers Logistics & Commercial Trust Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.87
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:BUOU, the sentiment is Positive. The current price of 0.87 is above the 20-day moving average (MA) of 0.86, above the 50-day MA of 0.83, and above the 200-day MA of 0.87, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 58.65 is Neutral, neither overbought nor oversold. The STOCH value of 72.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:BUOU.

Frasers Logistics & Commercial Trust Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BUOU	70 Outperform	S$3.28B	24.37	3.21%	10.49%	11.98%	―
O5RU	67 Neutral	S$1.12B	34.00	3.17%	7.01%	5.21%	-25.46%
Sector *	64 Neutral	$6.88B	15.40	-1.98%	6.96%	4.49%	-24.05%
CGIUF	―	$1.62B	―	-6.38%	4.27%	―	―
MAPGF	―	$4.71B	32.64	2.72%	7.04%	―	―
MAPIF	―	$4.58B	17.89	6.85%	4.38%	―	―
DHLU	74 Outperform	S$402.18M	11.81	6.78%	7.39%	-7.68%	-20.20%

Frasers Logistics & Commercial Trust Corporate Events

Frasers Logistics & Commercial Trust Issues New Units for Divestment Fees

Frasers Logistics & Commercial Trust has issued 386,833 new units to its manager as payment for divestment fees related to the sale of minority interests in properties located in Germany. The divestment, completed in November 2024, involved transactions with Frasers Property Investments (Europe) B.V., FPI Netherlands B.V., and Stichting Coeval. These transactions are considered ‘interested party transactions,’ and the units issued as payment will not be sold for at least one year. This issuance increases the total number of units in FLCT to over 3.7 billion, with the manager holding a 0.51% stake.

The most recent analyst rating on (SG:BUOU) stock is a Buy with a S$1.11 price target. To see the full list of analyst forecasts on Frasers Logistics & Commercial Trust stock, see the SG:BUOU Stock Forecast page.

Frasers Logistics & Commercial Trust Issues New Units for Management Fees

Frasers Logistics & Commercial Trust announced the issuance of 7,356,212 new units to pay management fees for the first quarter of 2025. This strategic move reflects the company’s ongoing commitment to efficient financial management and may influence its market positioning by optimizing its asset management operations.

The most recent analyst rating on (SG:BUOU) stock is a Hold with a S$1.10 price target. To see the full list of analyst forecasts on Frasers Logistics & Commercial Trust stock, see the SG:BUOU Stock Forecast page.

Frasers Logistics & Commercial Trust Announces Board and Committee Changes

Frasers Logistics & Commercial Trust announced changes in its Board of Directors and committees, effective from May 25, 2025. Mr. Goh Yong Chian will retire as a Non-Executive and Independent Director, and Ms. Soh Onn Cheng Margaret Jane will replace him in the Audit, Risk, and Compliance Committee. These changes aim to maintain the independence and effectiveness of the board and its committees.