Technical Analysis
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The price chart reflects a clear uptrend channel in recent months following a bottom earlier this year, highlighted with consistent higher highs and higher lows.
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Previous resistance at around S$0.93–0.94 has turned into support, and the price is currently trading above this zone, indicating ongoing bullish momentum.
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Multiple moving averages are converging below the current price, giving further confirmation of upward price movement.
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The next key resistance level on the chart is S$1.00; a breakout above this level could indicate further upside potential.
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Technical risks are mainly a breakdown from the uptrend channel or a reversal below the S$0.93–0.94 support area.
Fundamental Analysis
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Asset Class & Portfolio: FLCT owns a diversified portfolio of 114 properties valued at around S$6.8 billion, primarily in logistics/industrial (around two-thirds by value) and commercial/business park assets.
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Geographical Exposure: Main markets include Australia (largest), Germany, the Netherlands, Singapore, and the UK. As of March 2025, Australian assets make up about 45% of portfolio value, with Europe and Singapore comprising most of the rest.
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Yield: The annualized distribution yield is about 6.5%–6.7% based on the last 12 months' DPU of S$0.06–0.07 and recent traded prices, placing FLCT among the higher-yielding blue-chip REITs.
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P/NAV (Price to Net Asset Value): NAV per unit was S$1.08 as of March 2025; with the share price near S$0.955, FLCT trades at a P/NAV of roughly 0.88x, reflecting a discount to book value.
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Gearing: The gearing (leverage) ratio stood at approximately 36.8% as of June 2025, comfortably below the regulatory ceiling of 50%, giving FLCT substantial debt headroom for future acquisitions or development.
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Occupancy & DPU: Portfolio occupancy was 92.5% as of June 2025, slightly lower year-on-year, but expected to recover after strategic divestments. DPU for 1HFY25 was 3.00 Singapore cents, 13.8% lower due to higher interest costs, but overall income stability remains robust.
Source: REITsavvy.com
Summary
Frasers Logistics & Commercial Trust is fundamentally supported by a resilient portfolio of high-quality logistics and commercial assets in developed countries, with stable long-term leases, a consistent yield above 6.5%, and prudent capital management. Technically, the REIT is trading in an uptrend channel above key moving averages, with further upside potential if resistance at S$0.999 is surpassed. FLCT’s discounted price-to-NAV, reasonable gearing, and management’s proactive asset enhancement strategy continue to make it an attractive REIT for defensively minded yield investors.
Source: REITsavvy.com
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