Mapletree Commercial (N2IU) AI Stock Analysis

• Market Cap: $6.27B
• Dividend Yield: 6.46%
• Average Volume (3M): 7.58M
• Price to Earnings (P/E): 10.7
• Beta (1Y): 1.05
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: SG
• Employees: 429
• Sector: Real Estate
• Sector Strength: 62
• Industry: REIT - Retail
• EPS (TTM): 0.07
• Shares Outstanding: 5,271,107,000
• 10 Day Avg. Volume: 6,626,850
• 30 Day Avg. Volume: 7,580,446
• PEG Ratio: 0.36
• Price to Book (P/B): 0.65
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 10.69
• 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: $1.56
• Price Target Upside: 30.85% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 67 Neutral
• Price Target: S$1.50 ▲(26.05%Upside)

Mapletree Commercial's overall stock score reflects strong financial performance, particularly in profitability and cash flow, alongside reasonable valuation. However, technical indicators suggest caution, and the earnings call revealed challenges with declining revenues and overseas market issues. The attractive dividend yield is a positive aspect, but investors should be mindful of potential revenue headwinds.

Positive Factors

Interest Rates

The REIT remains one of the prime beneficiaries of an interest rate cut, especially when benchmark rates in HK and SG remain on a declining trend.

Rental Performance

VivoCity registered stellar double-digit positive rental reversion of 16.8% and maintained high occupancy of 99.3%.

Valuation

Valuations surprised on upside with valuation uplift of 15% at VivoCity which saw a 10 bps cap rate compression.

Negative Factors

Currency Impact

Overseas contributions were affected by persistent SGD strength.

Market Recovery

Key risks include slower-than-expected recovery from Hong Kong and China which may impact retail spending and slow demand for office.

Revenue Decline

Gross revenue and NPI declined 6.8% and 7.4% yoy respectively in 4QFY25 due to the divestment of Mapletree Anson.

Mapletree Commercial Business Overview & Revenue Model

Company Description

Mapletree Commercial Trust, listed as Mapletree Commercial (N2IU) on the Singapore Exchange, is a Singapore-focused real estate investment trust (REIT) that invests primarily in commercial properties. The trust's portfolio comprises a diversified range of assets, including retail, office, and business park properties located in key business districts within Singapore. Its core properties include well-known developments such as VivoCity, Mapletree Business City, and mTower, providing a mix of retail and office spaces catering to a variety of tenants.

How the Company Makes Money

Mapletree Commercial Trust generates revenue primarily through leasing its property portfolio to a wide range of tenants. The trust earns rental income from long-term leases in its retail, office, and business park spaces, which form the core of its revenue stream. Additionally, the trust may benefit from asset enhancement initiatives that can increase rental rates or occupancy levels. Strategic partnerships and acquisitions of high-quality properties further contribute to its earnings by expanding the portfolio and enhancing its value proposition. The trust also manages its properties to optimize operational efficiency, which can lead to cost savings and improved profitability.

Mapletree Commercial Financial Statement Overview

Summary

Mapletree Commercial shows strong financial performance with robust profitability and cash generation. The balance sheet indicates a stable financial structure with manageable leverage levels. However, recent revenue fluctuations and high total debt compared to previous years are areas to watch.

Income Statement

Mapletree Commercial's income statement shows strong profitability with a high gross profit margin and a solid net profit margin. The company has maintained consistent revenue growth over the years, though there was a slight decline in revenue in the most recent report. EBIT and EBITDA margins are robust, indicating efficient operations. However, the slight decline in revenue in the latest period could be a point of concern if it continues.

Balance Sheet

The balance sheet reflects a stable financial structure with a moderate debt-to-equity ratio, indicating manageable leverage levels. The equity ratio is healthy, showing that the company is well-capitalized. Return on equity is impressive, highlighting efficient use of equity capital to generate profits. The overall stability is commendable, but the high total debt compared to previous years should be monitored.

Cash Flow

Cash flow analysis reveals strong operating cash flows, which comfortably cover net income, indicating effective cash generation from operations. The free cash flow position is robust and has shown positive growth. This provides the company with flexibility for future investments and debt repayments. The consistency in free cash flow growth supports a positive outlook.

Breakdown
Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
844.72M	964.47M	776.33M	475.50M	462.67M
	Gross Profit
572.65M	689.31M	531.81M	325.90M	322.09M
	EBIT
633.25M	683.55M	618.56M	348.49M	337.27M
	EBITDA
802.31M	679.78M	619.39M	348.64M	332.94M
	Net Income Common Stockholders
584.18M	577.94M	482.60M	347.02M	68.61M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
171.40M	157.24M	216.15M	124.17M	192.54M
	Total Assets
16.14B	16.66B	16.83B	8.98B	8.95B
	Total Debt
6.00B	6.65B	6.78B	3.00B	3.03B
	Net Debt
5.83B	6.49B	6.57B	2.88B	2.84B
	Total Liabilities
6.52B	7.19B	7.35B	3.19B	3.24B
	Stockholders Equity
9.61B	9.46B	9.47B	5.79B	5.71B
Cash Flow		Free Cash Flow
632.98M	724.71M	604.85M	363.58M	355.35M
	Operating Cash Flow
634.03M	725.03M	605.31M	363.63M	355.44M
	Investing Cash Flow
711.41M	-56.30M	-2.29B	-18.84M	-13.74M
	Financing Cash Flow
-1.32B	-719.88M	1.77B	-413.16M	-215.01M

Mapletree Commercial Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.19
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:N2IU, the sentiment is Neutral. The current price of 1.19 is above the 20-day moving average (MA) of 1.18, below the 50-day MA of 1.19, and below the 200-day MA of 1.23, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 48.23 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SG:N2IU.

Mapletree Commercial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
C38U	73 Outperform	S$15.44B	15.51	6.32%	4.82%	1.54%	4.48%
J69U	69 Neutral	$4.38B	19.06	5.08%	5.13%	1.49%	5.99%
N2IU	67 Neutral	$6.27B	10.72	6.29%	6.46%	―	―
T82U	66 Neutral	S$3.32B	29.20	1.86%	5.31%	-1.16%	-34.74%
ME8U	62 Neutral	$5.50B	16.33	6.85%	6.90%	1.34%	195.50%
Sector *	61 Neutral	$2.83B	10.91	0.42%	8438.90%	5.74%	-20.95%
M44U	58 Neutral	S$5.63B	30.41	2.74%	6.43%	-0.97%	-40.20%

Mapletree Commercial Corporate Events

MPACT Secures S$150 Million Facility with Key Conditions

MPACT Management Ltd. has announced a new S$150 million facility agreement guaranteed by DBS Trustee Limited for Mapletree Pan Asia Commercial Trust. This facility includes conditions that could trigger mandatory prepayment if certain management changes occur without lender consent, potentially affecting MPACT’s borrowings of approximately S$5.928 billion.

The most recent analyst rating on (SG:N2IU) stock is a Buy with a S$1.40 price target. To see the full list of analyst forecasts on Mapletree Commercial stock, see the SG:N2IU Stock Forecast page.

MPACT Issues New Units for Management Fee Payment

MPACT Management Ltd. has announced the issuance of 3,526,678 new units in Mapletree Pan Asia Commercial Trust as partial payment of management fees for the first quarter of 2025. This strategic move, which involves paying 40% of the base fee in units, aligns with the company’s operational strategy and reflects its commitment to maintaining a balanced financial structure. The issuance increases the total number of units to over 5.27 billion, potentially impacting the company’s market positioning and stakeholder interests.

MPACT Secures HK$600 Million Facility to Refinance Borrowings

MPACT Management Ltd., the manager of Mapletree Pan Asia Commercial Trust (MPACT), announced a new HK$600 million facility agreement guaranteed by DBS Trustee Limited. This agreement includes conditions that could trigger a mandatory prepayment event if specific managerial changes occur without lender consent, potentially impacting MPACT’s borrowings of approximately S$6,077.1 million. The facility aims to refinance and reduce existing borrowings, which could stabilize MPACT’s financial structure and influence its market positioning.

MPACT Management Secures Major Facility Agreements for Strategic Refinancing

MPACT Management Ltd., managing Mapletree Pan Asia Commercial Trust, has entered into two significant facility agreements totaling S$70 million and HK$1 billion. These agreements, guaranteed by DBS Trustee Limited, include conditions that could trigger mandatory prepayment events, potentially affecting borrowings of approximately S$6.135 billion. The move is aimed at refinancing and reducing existing borrowings, highlighting MPACT’s strategic financial management and its implications for stakeholders.