Ascott Residence (HMN) AI Stock Analysis

• Market Cap: S$3.75B
• Dividend Yield: 6.46%
• Average Volume (3M): 7.53M
• Price to Earnings (P/E): 12.1
• Beta (1Y): 0.58
• Revenue Growth: 1.47%
• EPS Growth: -7.50%
• Country: SG
• Employees: 40,000
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): 0.06
• Shares Outstanding: 3,831,130,600
• 10 Day Avg. Volume: 6,052,780
• 30 Day Avg. Volume: 7,530,943
• PEG Ratio: 0.33
• Price to Book (P/B): 0.81
• Price to Sales (P/S): 4.09
• P/FCF Ratio: 26.59
• 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$1.19
• Price Target Upside: 20.57% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Outperform
• Price Target: S$1.00 ▲(1.01% Upside)

The score is primarily driven by solid profitability and an attractive valuation (moderate P/E and high dividend yield). Technicals are supportive with price above key moving averages and positive momentum indicators. Offsetting these positives are balance-sheet leverage and weaker, less reliable free cash flow generation in 2025.

Positive Factors

Revenue Growth

The significant revenue growth indicates strong demand for Ascott's serviced apartments, enhancing its market position and supporting long-term profitability.

Profit Margins

Sustained high profit margins reflect operational efficiency and pricing power, which are crucial for long-term financial health and competitive advantage.

Cash Flow Growth

Improved cash generation capabilities enhance financial flexibility, enabling strategic investments and debt management, supporting sustainable growth.

Negative Factors

Debt Management

Rising debt levels may strain financial resources, limiting the company's ability to invest in growth opportunities and impacting long-term stability.

Cash Flow Efficiency

Moderate cash flow efficiency could hinder the company's ability to convert earnings into cash, affecting liquidity and financial flexibility.

Leadership Changes

Frequent leadership changes can disrupt strategic continuity and may impact the company's ability to execute long-term plans effectively.

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 generates revenue primarily through the leasing and management of its serviced apartments. Key revenue streams include rental income from guests who stay for short or long durations, management fees from property owners for managing their serviced apartments, and franchise fees from partners who operate under the Ascott brand. Additionally, the company benefits from strategic partnerships with corporations and travel agencies that provide a steady stream of business clients. The demand for flexible accommodation options, especially in urban centers, further enhances its earnings potential.

Ascott Residence Financial Statement Overview

Summary

Strong and improving profitability with consistent revenue growth and expanded 2025 margins, but the profile is tempered by higher leverage (debt-to-equity rising in 2025) and notably weaker, more volatile cash generation (free cash flow down sharply year over year).

Income Statement

Profitability is strong and improving: revenue rose consistently from 2022–2025 (2025: 891.6M; +8.5% growth), while margins expanded meaningfully in 2025 (gross margin ~57%, net margin ~35%). Earnings recovered sharply after the 2020 loss and have remained solid (2025 net income: 310.4M). A key watchout is volatility in profitability across years (e.g., unusually high 2021 margins and negative 2020), suggesting results can be influenced by non-recurring items or cyclical conditions.

Balance Sheet

The balance sheet is adequate but leverage is a constraint. Debt remains high and has generally trended up since 2020 (2025 total debt: 3.41B), and leverage increased in 2025 with debt-to-equity rising to ~0.90 from ~0.72 in 2024. Equity is still sizable (2025: 4.47B) and returns on equity improved in 2025 (~6.9%), but the higher leverage reduces flexibility if operating conditions soften.

Cash Flow

Cash generation is positive but inconsistent. Operating cash flow fell in 2025 to 245.6M (from 317.2M in 2024), and free cash flow dropped sharply to 137.1M (down ~52% year over year). Cash conversion also weakened versus 2024, with free cash flow covering a smaller portion of net income (~56% in 2025 vs. ~90% in 2024). The company still produces positive free cash flow, but the volatility lowers confidence in near-term cash durability.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	821.60M	891.64M	809.52M	744.56M	621.24M	394.41M
Gross Profit	344.10M	511.92M	370.95M	304.03M	282.82M	173.29M
EBITDA	341.29M	367.45M	450.74M	466.88M	233.86M	157.37M
Net Income	240.54M	310.41M	241.18M	231.25M	223.31M	309.32M
Balance Sheet
Total Assets	8.78B	8.95B	8.82B	8.73B	8.02B	7.73B
Cash, Cash Equivalents and Short-Term Investments	504.73M	614.13M	644.05M	432.81M	363.63M	346.33M
Total Debt	3.50B	3.41B	3.41B	3.32B	3.15B	3.01B
Total Liabilities	4.03B	4.41B	3.98B	3.90B	3.58B	3.37B
Stockholders Equity	4.68B	4.47B	4.77B	4.75B	4.36B	4.29B
Cash Flow
Free Cash Flow	283.13M	137.12M	286.98M	138.57M	233.79M	38.75M
Operating Cash Flow	313.31M	245.64M	317.15M	300.65M	282.32M	145.63M
Investing Cash Flow	-155.29M	-65.89M	176.45M	-296.68M	-308.82M	-538.55M
Financing Cash Flow	-113.75M	-310.68M	-260.28M	64.49M	71.17M	258.63M

Ascott Residence Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.99
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• 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 0.99 is above the 20-day moving average (MA) of 0.97, above the 50-day MA of 0.95, and above the 200-day MA of 0.90, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 67.19 is Neutral, neither overbought nor oversold. The STOCH value of 93.33 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	70 Outperform	S$3.75B	12.05	5.16%	6.46%	1.47%	-7.50%
JYEU	70 Neutral	S$1.87B	29.03	2.88%	8.01%	-6.64%	-12.15%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
Q5T	65 Neutral	S$1.24B	34.38	1.92%	7.16%	-3.65%	-69.86%
J85	57 Neutral	S$1.11B	-37.55	-0.10%	5.84%	-2.96%	-101.38%
TS0U	57 Neutral	S$1.99B	75.00	-2.15%	6.03%	-11.65%	-137.98%

Ascott Residence Corporate Events

CapitaLand Ascott REIT Tightens Loan Terms Linking S$70 Million Facility to Manager Stability

CapitaLand Ascott Trust Management Limited, as manager of CapitaLand Ascott Real Estate Investment Trust, has amended and restated an existing revolving credit facility agreement with United Overseas Bank Limited for up to S$70 million. Under the revised terms, the lender has imposed conditions requiring the REIT manager to remain a wholly owned subsidiary of CapitaLand Investment Limited and restricting any change of the manager, effectively tying the financing to the current management and ownership structure; the REIT reported that there has been no breach of these conditions as of the announcement date, signaling continued lender confidence and operational stability.

The most recent analyst rating on (SG:HMN) stock is a Buy with a S$1.15 price target. To see the full list of analyst forecasts on Ascott Residence stock, see the SG:HMN Stock Forecast page.

CapitaLand Ascott Trust Secures S$46.97 Million Green Loan with Manager Continuity Conditions

CapitaLand Ascott Trust has entered into a new green term loan facility agreement of up to S$46.97 million with DBS Bank, with DBS Trustee Limited (as trustee of the REIT) as borrower. Under the terms of the facility, the REIT is subject to conditions requiring the REIT manager, CapitaLand Ascott Trust Management Limited, to remain a wholly owned subsidiary of CapitaLand Investment Limited and restricting any change of the REIT manager, reinforcing sponsor alignment and management continuity. The trust reported that, as of the date of the announcement, there has been no breach of these conditions, signalling stable governance arrangements tied to its new green financing.

The most recent analyst rating on (SG:HMN) stock is a Buy with a S$1.15 price target. To see the full list of analyst forecasts on Ascott Residence stock, see the SG:HMN Stock Forecast page.

CapitaLand Ascott Trust Extends Hotel Management Term for The Cavendish London by Five Years

CapitaLand Ascott Trust has extended the initial term of its hotel management agreement for The Cavendish London with Ascott Hospitality Management (UK) Limited by an additional five years, following the completion of its 100% acquisition of the property. The extension strengthens CLAS’s long-term operational visibility and income stability from this key London asset, reinforcing its position in the UK hospitality market and supporting its broader strategy of expanding and deepening its portfolio of income-generating lodging properties in major gateway cities.

The most recent analyst rating on (SG:HMN) stock is a Buy with a S$1.15 price target. To see the full list of analyst forecasts on Ascott Residence stock, see the SG:HMN Stock Forecast page.

CapitaLand Ascott Trust Announces Tax Ruling on Perpetual Securities

CapitaLand Ascott Trust Management Limited, managing CapitaLand Ascott Real Estate Investment Trust and CapitaLand Ascott Business Trust, announced a tax ruling related to their S$260 million 4.20% subordinated perpetual securities issued under their S$2 billion multicurrency debt issuance programme. This announcement highlights the company’s ongoing financial strategies and its impact on their investment portfolio, potentially influencing stakeholders and market positioning.

The most recent analyst rating on (SG:HMN) stock is a Buy with a S$1.56 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 Fee Payment

CapitaLand Ascott Trust has announced the issuance of 5,008,177 stapled securities as partial payment of management fees for the period from July 1, 2025, to September 30, 2025. These securities were issued to Somerset Capital Pte Ltd, a subsidiary of CapitaLand Investment Limited, reflecting a strategic move to manage financial obligations and maintain liquidity within the trust.

The most recent analyst rating on (SG:HMN) stock is a Buy with a S$1.56 price target. To see the full list of analyst forecasts on Ascott Residence stock, see the SG:HMN Stock Forecast page.