At the time of writing, Ascendas Real Estate Investment Trust‘s (SGX: A17U) share price (technically known as unit price for REITs) is at S$3.01.
At that unit price, Ascendas REIT is valued at a price-to-book (PB) ratio of 1.4 and a distribution yield of 5.3%.
Would I buy Ascendas REIT at the current price and valuation?
Let’s explore using my 10-step guide to pick the best Singapore REITs.
As a summary, here are the 10 steps I use to pick the best Singapore REITs:
Growth in Gross Revenue and Net Property Income Growth in Distribution Per Unit Property Yield of Between 5% and 9% Gearing Ratio of Below 40% Interest Coverage Ratio of Above 5x Healthy Portfolio Occupancy Rate Positive Rental Reversions Presence of Growth Prospects Acceptable Price-to-Book Ratio Distribution Yield of Above 5% Business Background
Before we dive into analysing Ascendas REIT, let’s take a quick look at