GLP

GLP: rises 5.1% to $1.87, leading gainers on the STI and extending its 4.1% gain Friday, on above-expectations 2Q results Thursday. The group, which owns logistics facilities in Japan and China, said 2Q net profit more than doubled on-year to US$200.7 m, largely due to revaluation gains on its portfolio, while revenue rose 20% to US$139 m.

DBSV, which has a Buy and $2.29 target, says "looking ahead, demand on the ground remains healthy...while supply of modern logistics space remains tight. This will continue to underpin rental growth in China." Adds, contributions from new acquisitions made in previous quarters are likely to kick-in in the coming quarters, thus "forward earnings visibility remains strong with 2m sm of land held for future development and 8.85m sm of land reserve." Adds, GLP's balance sheet remains healthy with US$1.7b gross cash on hand and a net debt-to-asset ratio of 23%.