One of SoilbuildReit’s top tenants that accounts for 5.8% of Soilbuild’s revenue has defaulted. See https://www.theedgesingapore.com/uncertainty-soilbuild-reit-master-lease-tenant-arrears?
Price has dropped about 4%. With a lower DPU, what price should aim to buy?
According to a popular online blogger ASSI, “if the asset remains vacant, with a hypothetical half year DPU of $0.0264, if we demand at least an 8% distribution yield, we would only be buyers at $0.66 a unit”.
$0.66 also happens to be a strong support according to conventional charting theory. The weekly slow stochastics will also be deeply oversold by then to indicate that I will be buying low.
- I'm a remisier with Maybank Kim Eng, and as a bonds and REITs investor myself, I guide my clients to build resilient bonds and REITs portfolios. If you like to be guided, please contact me regarding how to become my client; It's free!
- WealthLions is my blog where I journal my trading ideas and share my opinions about the markets. If you like to be kept posted of my new blog posts and events, please subscribe to my mailing list. No spam, I promise.