Ascott Residence (HMN) AI Stock Analysis

• Market Cap: $3.32B
• Dividend Yield: 6.79%
• Average Volume (3M): 3.29M
• Price to Earnings (P/E): 14.5
• Beta (1Y): 0.61
• Revenue Growth: 3.18%
• EPS Growth: -0.50%
• Country: SG
• Employees: 40,000
• Sector: Real Estate
• Sector Strength: 62
• Industry: REIT - Diversified
• EPS (TTM): 0.06
• Shares Outstanding: 3,819,578,900
• 10 Day Avg. Volume: 4,162,400
• 30 Day Avg. Volume: 3,293,140
• PEG Ratio: -1.75
• Price to Book (P/B): 0.75
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 49.88
• 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: $1.11
• Price Target Upside: 27.21% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 74 Outperform
• Price Target: S$1.00 ▲(14.94%Upside)

Ascott Residence's strong financial performance is the primary driver of its stock score, bolstered by robust revenue growth and efficient cash flow management. Although technical analysis suggests neutral trends, the company's fair valuation and attractive dividend yield provide additional support to the stock's overall appeal.

Positive Factors

Financial Performance

Gross profit increased by 4% year-over-year, driven by occupancy growth and acquisitions, which offset the impact of divestments.

Investment Opportunities

The acquisition of properties in Japan is priced below the latest asset valuations, indicating a potentially good investment opportunity.

Revenue Growth

Management expects mid-single-digit RevPAU growth to be maintained, indicating stability in revenue performance.

Negative Factors

Cost Concerns

High operating costs and increased year-on-year interest costs are identified as key risks.

Expense Risks

Management is cautious of potentially higher expenses due to ongoing tariff disputes, which could impact profit margins.

Financial Risk

The gearing ratio is expected to increase to a high level, which could imply higher financial risk.

Ascott Residence Business Overview & Revenue Model

Company Description

Ascott Residence Trust (ART) is the largest hospitality trust in Asia Pacific with an asset value of S$7.2 billion as at 31 December 2020. Having listed on the Singapore Exchange Securities Trading Limited (SGX-ST) since March 2006, ART's objective is to invest primarily in incomeproducing real estate and real estate-related assets which are used or predominantly used as serviced residences, hotels, rental housing properties and other hospitality assets in any country in the world. Ascott Real Estate Investment Trust's investment mandate will include student accommodation to be effected on 27 February 2021. ART is a constituent of the FTSE EPRA Nareit Global Real Estate Index Series (Global Developed Index). ART's international portfolio comprises 86 properties with more than 16,000 units in 38 cities across 15 countries in Asia Pacific, Europe and the United States of America as at 31 December 2020. ART's properties are mostly operated under the Ascott The Residence, Somerset, Quest and Citadines brands. They are mainly located in key gateway cities such as Barcelona, Berlin, Brussels, Hanoi, Ho Chi Minh City, Jakarta, Kuala Lumpur, London, Manila, Melbourne, Munich, New York, Paris, Perth, Seoul, Shanghai, Singapore and Tokyo. ART is a stapled group comprising Ascott Real Estate Investment Trust (Ascott Reit) and Ascott Business Trust (Ascott BT). ART is managed by Ascott Residence Trust Management Limited (as manager of Ascott Reit) and Ascott Business Trust Management Pte. Ltd. (as trustee-manager of Ascott BT), both of which are wholly-owned subsidiaries of Singapore-listed CapitaLand Limited, one of Asia's largest diversified real estate groups.

How the Company Makes Money

Ascott Residence Trust generates revenue primarily through leasing its properties as serviced apartments and rental accommodations to both short-term and long-term guests. The trust benefits from its strategic locations in major cities and its diverse portfolio, which attracts a wide range of customers including business travelers, expatriates, and tourists. Revenue is also driven by the trust's active asset management strategies, which include refurbishments and value-enhancing initiatives to maximize returns. Additionally, Ascott REIT leverages strategic partnerships with global hospitality brands and operators, ensuring high occupancy rates and strong brand recognition, which further contribute to its revenue streams.

Ascott Residence Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
1.01B	744.56M	621.24M	394.41M	369.87M	514.96M
	Gross Profit
478.53M	304.03M	282.82M	173.29M	149.60M	252.61M
	EBIT
400.69M	293.03M	322.83M	272.78M	-292.45M	331.45M
	EBITDA
316.82M	466.88M	358.60M	305.42M	105.34M	343.95M
	Net Income Common Stockholders
326.51M	231.25M	223.31M	309.32M	-222.55M	196.52M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
55.19M	432.81M	363.63M	346.33M	486.70M	275.50M
	Total Assets
1.65B	8.73B	8.02B	7.73B	7.16B	7.42B
	Total Debt
665.16M	3.32B	3.15B	3.01B	2.75B	2.65B
	Net Debt
609.98M	2.88B	2.78B	2.66B	2.26B	2.37B
	Total Liabilities
764.28M	3.90B	3.58B	3.37B	3.12B	3.08B
	Stockholders Equity
816.58M	4.75B	4.36B	4.29B	3.96B	4.26B
Cash Flow		Free Cash Flow
146.44M	138.57M	233.79M	38.75M	42.76M	197.34M
	Operating Cash Flow
330.41M	300.65M	282.32M	145.63M	74.09M	229.00M
	Investing Cash Flow
-170.43M	-300.98M	-308.82M	-538.55M	296.10M	258.66M
	Financing Cash Flow
-79.20M	165.47M	71.17M	258.63M	-166.47M	-439.78M

Ascott Residence Technical Analysis

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:HMN, 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 0.85, and above the 200-day MA of 0.87, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 58.61 is Neutral, neither overbought nor oversold. The STOCH value of 83.33 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:HMN.

Ascott Residence Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HMN	74 Outperform	$3.32B	14.52	5.22%	6.79%	3.18%	-0.50%
Sector *	61 Neutral	$2.83B	10.91	0.42%	8438.90%	5.74%	-20.95%
GIGNF		$6.60B	15.97	7.03%	5.22%	―	―
TBVPF		$9.17B	11.95	15.42%	5.05%	―	―

Ascott Residence Corporate Events

CapitaLand Ascott Trust Prices S$260 Million Perpetual Securities

CapitaLand Ascott Trust Management Limited, managing CapitaLand Ascott Real Estate Investment Trust and CapitaLand Ascott Business Trust, announced the pricing of S$260 million 4.20% subordinated perpetual securities under its S$2 billion multicurrency debt issuance programme. This financial move is expected to enhance the company’s capital structure and provide flexibility for future growth, potentially impacting its market positioning and offering opportunities for stakeholders.

The most recent analyst rating on (SG:HMN) stock is a Buy with a S$1.13 price target. To see the full list of analyst forecasts on Ascott Residence stock, see the SG:HMN Stock Forecast page.

CapitaLand Ascott Trust Issues Stapled Securities for Acquisition

CapitaLand Ascott Trust Management Limited has issued 3,007,741 stapled securities to pay the acquisition fee for lyf Funan Singapore. This issuance increases the total number of stapled securities to over 3.8 billion, with the REIT Manager holding a small percentage, reflecting its strategic growth in the hospitality sector.

The most recent analyst rating on (SG:HMN) stock is a Buy with a S$1.13 price target. To see the full list of analyst forecasts on Ascott Residence stock, see the SG:HMN Stock Forecast page.

CapitaLand Ascott Trust Issues Stapled Securities for Management Fees

CapitaLand Ascott Trust has announced the issuance of 5,182,200 stapled securities as payment for management fees for the period from January 1, 2025, to March 31, 2025. The issuance is directed to Somerset Capital Pte Ltd, a subsidiary of CapitaLand Investment Limited, as part of a strategic move to manage financial operations efficiently, potentially impacting the trust’s financial structure and stakeholder interests.

CapitaLand Ascott Trust Hosts Annual General Meeting

CapitaLand Ascott Trust held its Annual General Meeting on April 17, 2025, at the Marina Bay Sands Expo and Convention Centre in Singapore. The meeting was attended by stapled securityholders, proxies, and directors of the management companies. Key figures such as the Chairman and CEO were present, indicating the importance of the meeting in discussing the company’s operations and strategic direction.