Suntec Real Estate Investment (T82U) AI Stock Analysis

• Market Cap: $3.88B
• Dividend Yield: 4.78%
• Average Volume (3M): 7.72M
• Price to Earnings (P/E): 30.2
• Beta (1Y): 0.72
• Revenue Growth: 0.01%
• EPS Growth: -110.22%
• Country: SG
• Employees: 1,300
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): -0.02
• Shares Outstanding: 2,941,902,300
• 10 Day Avg. Volume: 8,679,119
• 30 Day Avg. Volume: 7,722,536
• PEG Ratio: 0.00
• Price to Book (P/B): 0.53
• Price to Sales (P/S): 7.31
• P/FCF Ratio: 13.98
• Enterprise Value/Market Cap: 1.99
• Enterprise Value/Revenue: 13.92
• Enterprise Value/Gross Profit: 22.31
• Enterprise Value/Ebitda: 23.15
• 1Y Price Target: $1.34
• Price Target Upside: 1.31% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4

• Rating: 63 Neutral
• Price Target: S$1.50 ▲(13.64% Upside)

The overall stock score reflects strong revenue growth and cash flow generation, offset by challenges in profitability and a negative P/E ratio. The technical analysis suggests a mixed outlook with potential for long-term growth, while the attractive dividend yield provides some support for valuation.

Positive Factors

Cash Flow Generation

Strong cash flow generation enhances financial stability, allowing Suntec REIT to reinvest in properties and manage debt effectively.

Revenue Growth

High revenue growth reflects strong demand for Suntec REIT's properties, indicating successful tenant acquisition and retention strategies.

Balance Sheet Health

A stable balance sheet with a reasonable debt-to-equity ratio supports long-term financial health and operational resilience.

Negative Factors

Profitability Challenges

Challenges in profitability may limit Suntec REIT's ability to reinvest in growth opportunities and affect shareholder returns.

Rising Operational Costs

Increasing operational costs can erode margins, impacting the company's ability to maintain profitability despite revenue growth.

Negative Return on Equity

A negative return on equity indicates inefficiencies in generating returns from shareholder investments, potentially affecting investor confidence.

Suntec Real Estate Investment Business Overview & Revenue Model

Company Description

Listed on 9 December 2004, Suntec REIT holds properties in Suntec City, Singapore's largest integrated commercial development (including one of Singapore's largest shopping Mall), a 66.3% interest in Suntec Singapore Convention & Exhibition Centre, a one-third interest in One Raffles Quay, a one-third interest in Marina Bay Financial Centre Towers 1 and 2 and the Marina Bay Link Mall, and a 30.0% interest in 9 Penang Road. Suntec REIT holds a 100% interest in a commercial building located at 177 Pacific Highway, Sydney, a 100% interest in a commercial building located at 21 Harris Street, Pyrmont, Sydney, a 50.0% interest in Southgate Complex, Melbourne, a 50.0% interest in a commercial building located at Olderfleet 477 Collins Street, Melbourne and a 100% interest in a commercial building located at 55 Currie Street, Adelaide, Australia. Suntec REIT also holds a 50.0% interest in Nova Properties located in London, United Kingdom. Its aim is to invest in income-producing real estate which is primarily used for office and/or retail purposes. Suntec REIT is managed by an external manager, ARA Trust Management (Suntec) Limited.

How the Company Makes Money

Suntec REIT generates revenue primarily through rental income from its portfolio of commercial properties, which includes office spaces and retail units. The trust leases these properties to a diverse mix of tenants, securing long-term, stable cash flows. Additionally, Suntec REIT may engage in property management services and redevelopment projects to enhance the value of its assets, potentially increasing rental yields. Strategic partnerships and joint ventures in international markets further diversify its revenue streams and contribute to its earnings.

Suntec Real Estate Investment Financial Statement Overview

Summary

Suntec Real Estate Investment demonstrates solid financial health with stable profitability and efficient cash generation. The balance sheet reflects a well-managed capital structure with moderate leverage. Revenue fluctuations pose a risk, but overall, the company maintains a strong financial position suitable for navigating industry dynamics.

Income Statement

Suntec Real Estate Investment has demonstrated robust profitability, showing a stable gross profit margin with an increase in net profit margin due to consistent net income figures. However, revenue growth has been inconsistent, with a decline noted in the most recent year. The EBIT margin dropped significantly due to zero EBIT reported in the latest year, but EBITDA margin remains healthy, reflecting operational efficiency.

Balance Sheet

The company maintains a strong equity base, with a moderate debt-to-equity ratio, suggesting manageable leverage. Return on Equity (ROE) is solid, although slightly impacted by the static net income. The equity ratio is stable, indicating a strong asset base supported by equity financing, reducing financial risk.

Cash Flow

Cash flow from operations remains strong, supporting stable free cash flow. The free cash flow to net income ratio indicates efficient conversion of earnings into cash. The operating cash flow to net income ratio is favorable, showcasing effective cash generation relative to net earnings. Free cash flow growth is steady, although not significantly expansive.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	554.35M	462.74M	498.74M	467.33M	396.00M	348.94M
Gross Profit	345.96M	303.90M	294.11M	407.39M	302.48M	202.30M
EBITDA	333.46M	366.46M	210.81M	347.06M	279.08M	162.72M
Net Income	-5.00M	185.38M	185.38M	476.81M	476.44M	-71.36M
Balance Sheet
Total Assets	11.02B	10.95B	11.13B	11.71B	11.69B	11.23B
Cash, Cash Equivalents and Short-Term Investments	373.35M	231.34M	217.93M	269.61M	268.31M	227.47M
Total Debt	4.05B	4.21B	4.26B	4.84B	4.92B	4.83B
Total Liabilities	4.43B	4.47B	4.55B	5.13B	5.19B	5.12B
Stockholders Equity	6.45B	6.35B	6.46B	6.46B	6.40B	6.03B
Cash Flow
Free Cash Flow	256.10M	241.99M	250.56M	270.09M	235.42M	-27.82M
Operating Cash Flow	258.62M	254.58M	252.02M	284.18M	243.73M	212.08M
Investing Cash Flow	216.56M	174.73M	698.15M	114.77M	-82.68M	-1.15B
Financing Cash Flow	-286.39M	-414.21M	-1.00B	-383.59M	-116.94M	991.44M

Suntec Real Estate Investment Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.32
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:T82U, the sentiment is Positive. The current price of 1.32 is above the 20-day moving average (MA) of 1.31, above the 50-day MA of 1.29, and above the 200-day MA of 1.17, indicating a bullish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 55.09 is Neutral, neither overbought nor oversold. The STOCH value of 61.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:T82U.

Suntec Real Estate Investment Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BUOU	70 Outperform	$3.63B	26.89	3.21%	7.60%	11.98%	―
ME8U	70 Outperform	$6.10B	17.97	6.88%	6.30%	0.24%	193.35%
TQ5	68 Neutral	S$4.20B	15.97	2.80%	4.21%	19.82%	―
K71U	67 Neutral	$3.89B	24.39	3.21%	5.52%	4.22%	25.77%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
T82U	63 Neutral	$3.88B	30.23	-0.32%	4.78%	0.01%	-110.22%

Suntec Real Estate Investment Corporate Events

Suntec REIT Announces Company Secretary Resignation

Suntec REIT announced the resignation of Ms. Ha Mui Ling as Company Secretary, effective June 30, 2025. Ms. Low Mei Mei, Maureen will continue in her role as Company Secretary. The Board expressed gratitude for Ms. Ha’s contributions, indicating a smooth transition in the company’s administrative functions.

Suntec REIT Issues S$250 Million Perpetual Securities for Strategic Financial Management

Suntec REIT has announced the issuance of S$250,000,000 fixed rate subordinated perpetual securities under its U.S.$2,000,000,000 Euro Medium Term Securities Programme. The proceeds from this issuance will be used for refinancing existing borrowings and meeting general working capital and capital expenditure needs. The securities are offered to institutional and accredited investors in Singapore and have received approval in-principle for listing on the Singapore Exchange Securities Trading Limited, which could enhance Suntec REIT’s financial flexibility and market positioning.

Suntec REIT Prices S$250 Million Perpetual Securities to Bolster Financial Flexibility

Suntec REIT has announced the pricing of S$250,000,000 in fixed rate subordinated perpetual securities under its U.S.$2,000,000,000 Euro Medium Term Securities Programme. This strategic move, managed by DBS Bank Ltd. and Oversea-Chinese Banking Corporation Limited, is expected to enhance Suntec REIT’s financial flexibility and strengthen its capital structure, potentially impacting its market positioning and providing stakeholders with a stable distribution rate of 4.48% per annum until 2030.