Good detailed info from idunwork. But do you know why klcc, sunreit, ytlreit and others share prices still up and stable if compare with hektar's share price?
IGBREIT, KLCC = both have prime locations, with high occupancy rates, DPU has increased consistently Y-o-Y. SUNREIT = has diversified income sources, DPU generally increasing Y-o-Y. Strong sponsor in Sunway, with regular asset transfers over the years. YTLREIT = purely hotel assets. Has international assets & forex earnings to weather a weaker ringgit.
HEKTAR = drop in DPU since 2016, rights issue in 2017, Subang Parade dealing with lower occupancy rates, negative rental reversions & undergoing asset enhancement this year. Note that Subang Parade contributed about 35% to Net Property Income in 2018.
People tend to overpay for the popular stocks because of herd instinct. In share market, only those who are able to detect real values can earn money, long term.
In short, Hektar income can be view as this: 1/3 from Subang Mall, 1/3 from Malaka Mall, other 1/3 from 4 Other Malls. SM and MM have rental reversion problem for the past few years due to competition and now also. Hektar share price will fly only if SM & MM have good rental reversion rate. As for OM, so far so good and stable, due to diversify bases and less competition in suburb town.
17-May-2019 Insider HEKTAR BLACK SDN BHD (a substantial shareholder) disposed 550,000 shares on 14-May-2019. 15-May-2019 Insider HEKTAR BLACK SDN BHD (a substantial shareholder) disposed 100,000 shares on 13-May-2019. 15-May-2019 Insider HEKTAR BLACK SDN BHD (a substantial shareholder) disposed 500,000 shares on 09-May-2019.
Hektar kinda overpriced. The share keep dropping but then yields seem attractive. It is on downwards trend. The REIT dependent on Subang parade which is a large portion of revenue. However, they don't seem to improve the mall. It's kinda sad. Don't be attracted by the high dividend yield as you will have capital losses when you dispose eventually.
14-Jun-2019 Insider HEKTAR BLACK SDN BHD (a substantial shareholder) disposed 200,000 shares on 12-Jun-2019. 14-Jun-2019 Insider HEKTAR BLACK SDN BHD (a substantial shareholder) disposed 200,000 shares on 11-Jun-2019.
19-Jun-2019 Insider HEKTAR BLACK SDN BHD (a substantial shareholder) disposed 200,100 shares on 17-Jun-2019. 18-Jun-2019 Insider HEKTAR BLACK SDN BHD (a substantial shareholder) disposed 250,000 shares on 14-Jun-2019. 14-Jun-2019 Insider HEKTAR BLACK SDN BHD (a substantial shareholder) disposed 200,000 shares on 12-Jun-2019. 14-Jun-2019 Insider HEKTAR BLACK SDN BHD (a substantial shareholder) disposed 200,000 shares on 11-Jun-2019.
Just visited 1 of their malls recently. Found suddenly 10 shop lots just closed. No wonder Hektar Black non-stop disposed. June'19 QR even worse coming?
Hektar Reit Unit price at the end 2009 was RM 1.12, Managers fees were 3,790,195 and DPU was 10.5 Cents. Unit price at the end 2019 was RM 1.11, Managers fees were 8,443,864 and DPU had dropped significantly to 9.01 Cents. Managers fees have risen in all but one year since 2009, however DPU stayed flat at 10.5 cents each year till 2017, then it started to drop. Despite DPU dropping, the mangers fees continues to climb. It seems to me that the Managers are focused on their fees rather than Unit holder DPU! Isn't it time to ask the managers to drop their fees to below 2009 fees as the DPU has dropped below that level? REIT Managers are ever keen to acquire more and more properties which increases their fees, but hurts the DPU. I think they should be forced to focus on DPU rather than their fee. Time to get real! Year DPU cents Manage fee 31 Dec price 2009 10.30 3,790,195 1.12 2010 10.30 5,507,311 1.35 2011 10.50 5,760,257 1.32 2012 10.50 6,500,653 1.46 2013 10.50 7,582,051 1.50 2014 10.50 7,634,898 1.49 2015 10.50 7,927,254 1.52 2016 10.50 7,791,596 1.56 2017 9.60 7,905,354 1.30 2018 9.01 8,443,864 1.11
if counting included the inflation rate , the DPU is not flat but decrease , manage fee increase significantly , they only care for their pocket .... like that who will invest in this reits ?
Going by the last distribution 1Q of only 1.93, we are heading for a 2019 DPU of (1.93 x 4) = 7.72 cents. I my view the facts are not being fairly reflected in Managers glowing report. Seems to me their statements in their report are misleading investors to believe their REIT is doing well, when in fact clearly the DPU is tanking. If not for the huge increases in Managers fees which increase amount to over 4.6 million (.11c per Unit) at least they could have maintained DPU above 10c. How do they justify their 8.5 millions in fees when clearly they are performing so badly?
04-Jul-2019 Insider HEKTAR BLACK SDN BHD (a substantial shareholder) disposed 257,000 shares on 28-Jun-2019. 04-Jul-2019 Insider HEKTAR BLACK SDN BHD (a substantial shareholder) disposed 552,300 shares on 27-Jun-2019. 04-Jul-2019 Insider HEKTAR BLACK SDN BHD (a substantial shareholder) disposed 173,300 shares on 26-Jun-2019. 04-Jul-2019 Insider HEKTAR BLACK SDN BHD (a substantial shareholder) disposed 122,400 shares on 25-Jun-2019.
Why Hektar Black keeps on disposing in open market.? Cash-strapped becoz some of its property projects failed? Better directly disposed to Fraserpoint Commercial Trust and let them runs the show with better management. This will sure up the price.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
newbie4444
1,264 posts
Posted by newbie4444 > 2019-03-03 13:22 | Report Abuse
Court case, loss QR why can up? Idiots buying?