The last time I blogged about this REIT was on 28 April and I was so negative about it that some readers divested their shares in the REIT straightaway. Read blog post here.
In a reply to a reader, OT, I mentioned that I would wait to see if I could divest my investment at 52c just to close a chapter (again). Even with mediocre investments, there could be a better time to sell.
Fundamentally, with a 2Q DPU of 1.036c, it translates to an annualised distribution yield of just 7.97% at the unit price of 52c.
Gearing at 32.7% and interest cover ratio at 5x are similar to AIMS AMP Capital Industrial REIT's.
The difference? AIMS AMP Capital Industrial REIT has an estimated distribution yield of 9.09% at the unit price of 22c. Money should go to where it is treated best.
Technically, the resistance as provided by the 200dMA at 51.5c was taken out convincingly today as price closed at 52c, forming a long white candle in the process.
A breakout? It seems to be the case and we could see price test 53c in the near future. I have entered my sell order.
See presentation slides here.