Why Does MIT DPU Drop 6.3% While NAV Trades at 21% Premium | MIT FY25/26 Results | 🦖EP1580

The Investing Iguana

Why Does MIT DPU Drop 6.3% While NAV Trades at 21% Premium | MIT FY25/26 Results | 🦖EP1580

The market sees a 6.33% “digital infra” yield, but the math sees a S$600M swap wall colliding with confirmed US non-renewals and a 37.5% gearing profile. MIT chose clean, fully organic DPU over another round of dilution, but that also means every vacancy and every hedge rollover now hits your S$50,000 position directly in the wallet. My stance is simple: the Singapore engine is still carrying its weight, but the North American portfolio has zero room for execution mistakes.

When a 6.33% headline yield only clears my 4.7% hurdle by a modest spread, and sits on top of a swap cliff plus 4.7% of rent already walking out the door, it stops being a comfort stock and starts being a live stress test for your capital preservation plan.

📺 YouTube: https://youtu.be/FRczeZPw1BA

📩 Substack: https://investingiguana.com/p/is-mits-633-yield-hiding-a-375-gearing

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MIT chose clean, fully organic DPU over another round of dilution, but that also means every vacancy and every hedge rollover now hits your S$50,000 position directly in the wallet. My stance is simple: the Singapore engine is still carrying its weight, but the North American portfolio has zero room for execution mistakes.</p>\n<p>When a 6.33% headline yield only clears my 4.7% hurdle by a modest spread, and sits on top of a swap cliff plus 4.7% of rent already walking out the door, it stops being a comfort stock and starts being a live stress test for your capital preservation plan.</p>\n<p>📺 YouTube: https://youtu.be/FRczeZPw1BA</p>\n<p>📩 Substack: https://investingiguana.com/p/is-mits-633-yield-hiding-a-375-gearing</p>\n<p></p></body></html>","text":"Why Does MIT DPU Drop 6.3% While NAV Trades at 21% Premium | MIT FY25/26 Results | 🦖EP1580 The market sees a 6.33% “digital infra” yield, but the math sees a S$600M swap wall colliding with confirmed US non-renewals and a 37.5% gearing profile. MIT chose clean, fully organic DPU over another round of dilution, but that also means every vacancy and every hedge rollover now hits your S$50,000 position directly in the wallet. My stance is simple: the Singapore engine is still carrying its weight, but the North American portfolio has zero room for execution mistakes. 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