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Far East Hospitality Trust (SG:Q5T)
SGX:Q5T
Singapore Market
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Far East Hospitality Trust (Q5T) AI Stock Analysis

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SG:Q5T

Far East Hospitality Trust

(SGX:Q5T)

Rating:65Neutral
Price Target:
S$0.50
▼(-15.25% Downside)
The overall stock score of 65 reflects a balance between stable financial performance and positive technical indicators. Despite some profitability challenges, the company's strong cash flow and attractive dividend yield support its valuation. The lack of recent earnings call data and corporate events limits further insights into future performance.
Positive Factors
Commercial Segment Performance
Commercial segment remains resilient with revenue rising 6.4% supported by near-full occupancy for office and robust rental reversions.
Interest Expense Savings
Finance expense is declining with further savings anticipated from interest expense.
Japan Asset Performance
Improved performance from the Japan asset with gross operating profit surging driven by more substantial F&B revenue and higher contributions from shared services.
Negative Factors
Corporate Travel Concerns
There are concerns about lingering supply headwinds and potential tariff-led cuts in corporate travel.
Gross Revenue Decline
Far East Hospitality Trust reported a decrease in gross revenue and net property income due to lower contributions from hotels and serviced residences.
Hospitality Segment Challenges
Lower contribution from the hospitality segment with Hotel RevPAR declining due to the absence of large-scale events and easing demand from leisure and corporate travellers.

Far East Hospitality Trust (Q5T) vs. iShares MSCI Singapore ETF (EWS)

Far East Hospitality Trust Business Overview & Revenue Model

Company DescriptionFar East Hospitality Trust (Q5T) is a Singapore-based real estate investment trust (REIT) that primarily invests in hospitality-related assets. It focuses on acquiring and managing a diversified portfolio of hotels and serviced residences, catering to both business and leisure travelers. The trust is managed by FEO Hospitality Asset Management Pte. Ltd., with its properties strategically located in prime areas of Singapore, offering a range of accommodations from upscale to mid-tier establishments.
How the Company Makes MoneyFar East Hospitality Trust generates revenue primarily through the leasing of its hotel and serviced residence properties to master lessees under long-term lease agreements. These agreements typically include fixed rent components, providing a stable income stream, as well as variable rent components that allow the trust to benefit from the operational performance of the properties. Additionally, the trust may derive income from any profit-sharing arrangements included in these agreements. Strategic partnerships with Far East Organization, one of Singapore's largest real estate developers, contribute to the trust's earnings by enhancing its property management capabilities and market reach.

Far East Hospitality Trust Financial Statement Overview

Summary
Far East Hospitality Trust exhibits a stable financial position with strong cash flow and equity ratios, though profitability metrics show a decline, particularly in net profit margin and return on equity. While revenue growth is modest, the company's leverage remains controlled, balancing its financial outlook.
Income Statement
55
Neutral
The revenue growth rate improved modestly by 1.78% from 2023 to 2024. The gross profit margin is strong at 81.34%, highlighting efficient operations, though the net profit margin decreased significantly to 42.96% compared to the previous year, indicating decreased profitability. The absence of EBIT suggests operational challenges.
Balance Sheet
68
Positive
The company maintains a solid equity base with an equity ratio of 71.61%, reflecting financial stability. The debt-to-equity ratio is moderate at 0.39, indicating manageable leverage. However, the return on equity decreased significantly to 2.52% in 2024, suggesting reduced profitability for shareholders.
Cash Flow
62
Positive
The free cash flow showed a slight decline of 2.91% in growth, suggesting stable cash generation capacity. The operating cash flow to net income ratio is strong at 2.00, indicating efficient cash conversion, while the free cash flow to net income ratio stands at 1.93, demonstrating robust cash flow relative to earnings.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue137.97M108.71M106.81M83.58M83.25M83.25M
Gross Profit112.73M88.43M87.96M67.59M65.41M62.41M
EBITDA40.57M77.32M77.87M209.00M138.72M-63.51M
Net Income160.32M46.70M130.31M203.75M131.01M-93.40M
Balance Sheet
Total Assets2.59B2.59B2.62B2.56B2.66B2.58B
Cash, Cash Equivalents and Short-Term Investments28.49M19.66M63.09M49.77M11.69M10.92M
Total Debt716.18M716.49M736.75M737.82M947.64M989.20M
Total Liabilities733.33M734.72M755.75M755.30M1.02B1.02B
Stockholders Equity1.86B1.85B1.87B1.80B1.65B1.56B
Cash Flow
Free Cash Flow105.72M90.18M92.88M64.64M68.33M71.89M
Operating Cash Flow110.11M93.63M97.26M71.87M69.28M76.44M
Investing Cash Flow-108.00K-349.00K15.58M255.50M42.98M-4.55M
Financing Cash Flow-146.34M-136.71M-99.52M-289.30M-111.48M-66.81M

Far East Hospitality Trust Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.59
Price Trends
50DMA
0.57
Positive
100DMA
0.55
Positive
200DMA
0.55
Positive
Market Momentum
MACD
<0.01
Positive
RSI
61.04
Neutral
STOCH
41.67
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:Q5T, the sentiment is Positive. The current price of 0.59 is above the 20-day moving average (MA) of 0.58, above the 50-day MA of 0.57, and above the 200-day MA of 0.55, indicating a bullish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 61.04 is Neutral, neither overbought nor oversold. The STOCH value of 41.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:Q5T.

Far East Hospitality Trust Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
65
Neutral
$2.10B17.394.00%4.99%3.59%4.16%
65
Neutral
S$1.21B33.521.92%6.54%-3.65%-69.86%
$785.41M77.03-0.10%5.73%
$975.73M11.146.62%6.91%
73
Outperform
S$1.47B27.652.88%5.99%-5.90%-12.15%
62
Neutral
S$1.36B75.001.45%3.11%7.02%-79.65%
57
Neutral
S$1.30B1,250.000.04%6.84%-8.59%-93.48%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SG:Q5T
Far East Hospitality Trust
0.59
0.00
0.00%
CDHSF
CDL Hospitality Trusts
0.62
-0.04
-6.06%
SGLMF
Starhill Global Real Estate Investment
0.40
0.05
14.29%
SG:ACV
Frasers Hospitality Trust
0.70
0.28
66.67%
SG:AU8U
CapitaLand China Trust
0.75
0.09
13.64%
SG:JYEU
Lendlease Global Commercial REIT
0.60
0.05
9.09%

Far East Hospitality Trust Corporate Events

Far East Hospitality Trust Announces Board Committee Restructuring
Aug 1, 2025

Far East Hospitality Trust has announced changes to its board committees effective August 1, 2025. The Nominating Committee and Remuneration Committee will be consolidated into a single Nominating and Remuneration Committee to enhance operational efficiency. Additionally, the role of Lead Independent Director will be discontinued as the Chairman of the Board is now independent, and the new committee compositions have been outlined.

The most recent analyst rating on (SG:Q5T) stock is a Buy with a S$0.70 price target. To see the full list of analyst forecasts on Far East Hospitality Trust stock, see the SG:Q5T Stock Forecast page.

Far East Hospitality Trust Issues Earn-Out Securities for Oasia Hotel Downtown Acquisition
Jul 30, 2025

Far East Hospitality Trust has announced the issuance of earn-out stapled securities related to its acquisition of Oasia Hotel Downtown. This move, in accordance with an earn-out agreement made during the acquisition’s completion in April 2018, involves issuing S$15 million worth of stapled securities, reflecting the company’s strategic efforts to optimize its investment portfolio and potentially enhance returns for stakeholders.

The most recent analyst rating on (SG:Q5T) stock is a Sell with a S$0.50 price target. To see the full list of analyst forecasts on Far East Hospitality Trust stock, see the SG:Q5T Stock Forecast page.

Far East Hospitality Trust’s 13th AGM Highlights Continued Stakeholder Engagement
May 22, 2025

Far East Hospitality Trust held its 13th Annual General Meeting at the Orchard Rendezvous Hotel in Singapore. The meeting was attended by key management, including the CEO and CFO, as well as directors and stakeholders, highlighting the company’s ongoing commitment to transparency and stakeholder engagement.

The most recent analyst rating on (SG:Q5T) stock is a Buy with a S$0.74 price target. To see the full list of analyst forecasts on Far East Hospitality Trust stock, see the SG:Q5T Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 04, 2025