Dear all,

S&P500 hit a near intra-day record high at 3,027 on 25 Oct 2019 (one-point shy of its intra-day record high 3,028 on 26 Jul 2019). However, such optimism and risk on sentiment cannot be felt on this SGX listed stock Eagle Hospitality Trust (“EHT”). It fell 16% last Friday to close $0.545. This is an all-time low price since its IPO (IPO offer price US$0.780) on 24 May 2019.

Let’s take a look why this EHT has under-performed and why it has caught my attention this week.

 

Reasons why EHT has underperformed till date

The below list of likely reasons is not exhaustive. It is just based on my personal view what may have caused EHT’s under-performance.

1) Under-subscribed for its IPO

Based on my memory, it is one of the extremely rare reits which is under-subscribed. This may be due to a myriad of reasons such