Far East Hospitality Trust (Q5T) AI Stock Analysis

• Market Cap: S$1.11B
• Dividend Yield: 5.89%
• Average Volume (3M): 1.23M
• Price to Earnings (P/E): 23.7
• Beta (1Y): 0.60
• Revenue Growth: 0.84%
• EPS Growth: -64.42%
• Country: SG
• Employees: 9
• Sector: Real Estate
• Sector Strength: 81
• Industry: REIT - Diversified
• EPS (TTM): 0.02
• Shares Outstanding: 2,021,648,200
• 10 Day Avg. Volume: 804,110
• 30 Day Avg. Volume: 1,230,676
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• 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$0.71
• Price Target Upside: 29.09% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

Far East Hospitality Trust shows stability in its financial structure with controlled leverage and strong cash flow. However, declining profitability metrics and a high P/E ratio pose concerns. While the technical indicators show a neutral trend, the attractive dividend yield provides some offsetting value for income-focused investors.

Positive Factors

Acquisition Impact

The acquisition of Four Points Nagoya is expected to contribute from the second quarter onwards, enhancing future performance.

Interest Savings

Interest savings are expected to continue as a result of lower interest rates for Japanese yen borrowings and base rates for SG$ loans.

Occupancy Rates

Management expects largely stable RevPAR performance and occupancy above 80% based on forward bookings.

Negative Factors

Revenue Decrease

Far East Hospitality Trust reported a decrease in gross revenue and net property income due to lower contributions from hotels and serviced residences.

Supply Headwinds

There are concerns about lingering supply headwinds and potential tariff-led cuts in corporate travel.

Far East Hospitality Trust Business Overview & Revenue Model

Company Description

Far East Hospitality Trust (Q5T) is a Singapore-based real estate investment trust (REIT) that focuses on the hospitality sector. It primarily invests in income-producing real estate assets used predominantly for hospitality and/or hospitality-related purposes. The trust's portfolio includes hotels and serviced residences located in prime areas of Singapore, catering to both business and leisure travelers. Managed by FEO Hospitality Asset Management Pte. Ltd., the trust aims to provide stable and growing distributions to its unitholders through its diversified hospitality assets.

How the Company Makes Money

Far East Hospitality Trust generates revenue primarily through leasing its portfolio of hotels and serviced residences to its master lessees, who are responsible for the management and operations of the properties. The income is derived from fixed rent components, providing stable cash flow, and variable rent components, which are tied to the performance of the underlying properties. The trust may also earn income from other related hospitality services. Key partnerships with established hospitality operators and brands contribute significantly to its earnings by ensuring high occupancy rates and competitive room rates. Additionally, the strategic location of its properties in Singapore enhances its attractiveness to international and domestic visitors, further bolstering revenue potential.

Far East Hospitality Trust Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
108.71M	106.81M	83.58M	83.25M	83.25M
	Gross Profit
88.43M	87.96M	67.59M	65.41M	62.41M
	EBIT
0.00	86.98M	209.00M	138.72M	-63.51M
	EBITDA
77.32M	77.87M	209.00M	138.72M	-63.51M
	Net Income Common Stockholders
46.70M	130.31M	203.75M	131.01M	-93.40M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
19.66M	63.09M	49.77M	11.69M	10.92M
	Total Assets
2.59B	2.62B	2.56B	2.66B	2.58B
	Total Debt
716.49M	736.75M	737.82M	947.64M	989.20M
	Net Debt
696.83M	731.86M	688.04M	935.95M	978.28M
	Total Liabilities
734.72M	755.75M	755.30M	1.02B	1.02B
	Stockholders Equity
1.85B	1.87B	1.80B	1.65B	1.56B
Cash Flow		Free Cash Flow
90.18M	92.88M	64.64M	68.33M	71.89M
	Operating Cash Flow
93.63M	97.26M	71.87M	69.28M	76.44M
	Investing Cash Flow
-349.00K	15.58M	255.50M	42.98M	-4.55M
	Financing Cash Flow
-136.71M	-99.52M	-289.30M	-111.48M	-66.81M

Far East Hospitality Trust Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.55
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:Q5T, the sentiment is Negative. The current price of 0.55 is above the 20-day moving average (MA) of 0.54, above the 50-day MA of 0.55, and below the 200-day MA of 0.58, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 50.52 is Neutral, neither overbought nor oversold. The STOCH value of 56.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SG:Q5T.

Far East Hospitality Trust Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HMN	78 Outperform	S$3.24B	14.19	5.22%	6.95%	3.18%	-0.50%
AW9U	70 Outperform	$545.68M	15.48	5.74%	9.28%	-7.43%	-43.62%
T82U	70 Neutral	S$3.35B	29.46	1.86%	5.25%	-1.16%	-34.74%
M44U	61 Neutral	$5.67B	30.96	2.74%	6.64%	-0.97%	-40.20%
Sector *	60 Neutral	$2.81B	11.04	0.20%	8508.34%	6.12%	-16.66%
Q5T	57 Neutral	S$1.11B	23.71	2.51%	5.89%	0.84%	-64.42%

Far East Hospitality Trust Corporate Events

Far East Hospitality Trust Secures Sustainability-Linked Facility

Far East Hospitality Trust has entered into a JPY 2.4 billion sustainability-linked facility agreement with an institutional bank, which includes conditions related to the shareholding interests of its controlling stapled securityholders. These conditions also impose restrictions on changes in the management and ownership of the REIT Manager. A potential Change of Control Event could impact approximately S$746.9 million in facilities, although no breaches have occurred as of the announcement date.

Far East Hospitality Trust Announces Leadership Transition

Far East Hospitality Trust has announced a change in its board leadership, with Mr. Wee Kheng Jin retiring as Chairman on April 30, 2025, after over 13 years of service. He will be succeeded by Mr. Quek See Tiat, who brings extensive experience in accountancy, audit, and corporate governance. Under Mr. Wee’s leadership, the Trust achieved significant milestones, including improved corporate governance and strategic acquisitions. Mr. Quek aims to continue this trajectory of success and deliver long-term value to stakeholders.

Far East Hospitality Trust Expands Investment Strategies

Far East Hospitality Trust has announced an expansion of its investment strategies for both its Real Estate Investment Trust and Business Trust. The expanded strategies include investing in a diversified portfolio of income-producing real estate, used for hospitality and related purposes, both in Singapore and globally. This strategic move aims to enhance the Trust’s market position by diversifying its investment portfolio and increasing its global footprint, while maintaining a strong focus on its domestic market.