Wednesday, November 26, 2014
MGCCT: in general, the REITS sector is performing well today. No company specific news, but we have liked MGCCT for its 6.6% annualized yield against its closest Singapore peer, Suntec 4.8%) and HK peers which offer between 3.6% and 6% yield. Technically, a close above $0.96 bodes well for the counter as a bullish breakout play . A re-rating to a more reasonable 5.5% yield would translate to a fair value of $1.16 for MGCCT.