Shares & Derivatives
Ascott Residence Trust – What really matters in a REIT
By FinancialVeracity  •  October 5, 2016

should you just purchase since it’s a big company/well known?

Listed on SGX 2006 (10 Yrs) | 4.9 Billion Asset | Property around the world

  1. IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED.

    • Price to Earning Ratio : 10.216 (Under Performing – 20 is the mean)
    • Price to Book Ratio : 0.73 ( 27% Discount)
  2. LEARN ABOUT THEIR NUMBERS

    • Gearing : 74.42% ( High dependency on debt to finance growth)
    • Wale : 3
    • Current Ratio : 0.953 (Poor)
    • Growth Rate : -13.3%
    • Cash Flow Per Share : 0.3162  (The “value” of one share you hold through their earnings – Is calculated after tax)
    • Poor management ability ( Decreasing dividend payout | Net income growing (good thing) – But debt is an issue )
It’s not a buy for me due to it’s conflicting management strategy that I can’t really grasp. Additionally, with such a Growth rate and Current ratio…….. Even Suntec looks better

Would you buy?

“+1 Knowledge point”

 ...
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By FinancialVeracity
24 and on a constant lookout to improve my financial literacy in order to achieve “Financial Independence”. The sole purpose of writing this blog is to give whatever little financial knowledge I have to everyone.
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