After hints of US Federal Reserves scaling back the Quantitative Easing (QE) stimulus measures, Singapore REITs have headed south, in general. To some investors, Singapore REITS are now pretty attractive in terms of valuation. So, how attractive are these? To answer this question, we have to look at the different categories of Singapore REITS and compare their price-to-book or more commonly known as the PB ratios as the PB ratio is often a good indicator of how undervalued a stock can be.
According to an investment analyst report, currently, we have for the Singapore Reits the following PB ratios: 1.35 (Hospitality Reits); 1.11 (Industrial Reits); 1.02 (Retail Reits); 0.93 (Hospitality Reits), 0.82 (Office Reits) and (0.72) Residence Reits. On average, the PB ratio of Singapore Reits is 1.00. The low PB ratios seem to be quite attractive but I believe many investors including ......
