Asked on 15 Jul 2020
Discuss anything about SGX: ESR-REIT (SGX: J91U) share price, dividend yield, ratios, fundamentals, and if you would buy or sell this REIT on the SGX Singapore market. Do take note that the answers given by our members are just their opinions, so please do your own due diligence before making an investment in ESR-REIT (SGX: J91U).
Maisul, Youtuber at Google (Channel : Say Do Invest)
Answered on 16 Aug 2020
I think you can use the valuation method to value a REIT.
Using the dividend valuation method.
Fair value = Dividend (next year dividend) + Price ( Price we plan to sell the stock at next year) / (1 + r , required rate of return)
A price-to-book ratio of 1 theoretically indicates a perfect fair value as price and asset values are evenly matched
Hope the above helps!