Shares & Derivatives
Will you buy this high dividends and below book-price stock?
By Singapore Stocks Investing (SSI)  •  May 11, 2015
This stock is currently trading at a price-to-book ratio of just 0.789 and what’s more, this stock is giving annual dividends yields of 8.61% (all these statistics were from SGX’s website). Looking at these data, this stock is an excellent stock to buy. So what is this stock? Well it is none other than Sabana Reit, a Reit whose stock price has been heading south and south. For investors who are into Reits, Sabana Reits seems attractive now, as its price is now quite a good bargain off its IPO price. However as disciplined investors, we know that it is not sufficient to look at just the annual dividends yield and price-to-book ratio in fundamental analysis. For a start, the price-to-earnings ratio of Sabana Reit is a tad high to me at 16.15. Secondly, the distribution per unit of Sabana Reit has reduced. Thirdly, it has been ......
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By Singapore Stocks Investing (SSI)
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