CapitaLand

CapitaLand: DMG notes, the takeup for CapitaLand's long-awaited launch of residential project Sky Habitat was somewhat below expectations given its good location, while ASP are at the low-end of market expectations of around $1,700-1,800 psf.
Notes the project site was acquired at a previous new high land price of ~$869 psf for a suburban condo site, with press reports saying about 125 units, or about 25% of the project, sold over the weekend at ASPs of about $1,642-$1,747 psf.
Expects the news to weigh the stock.
Says, while continue to like the longer term asset recycling story, believe near term catalysts are lacking and advocate buying only on weakness for long term investors.
Rates the stock at Neutral with TP $3.03 .
The stock is down 0.7% at $2.93 vs a flat STI.