Hiap Hoe

DMG report today raised its RNAV from $1.22 to $1.36 based on higher value per key for its 2 hotels - $600,000 for Ramada; $500,000 for Days.
 
It also said that the gross development value of the whole Zhongshan Park project is more than $600 million.
 
Maintained buy call but raised target price from 61ct to 68ct - 50% discount to RNAV.
 
Days Hotel to TOP this month, retail shops in December. Tenants of mall include NTUC Finest, Guardian, Toast Box, Crystal Jade.
 
Skyline, The Beverly and Treasure at Balmoral all going to TOP over the next 2 months - means lots of cash coming in for first 2 projects.

DMG report is excellent! It is now available at www.remisiers.org/cms_images/research/Se...-_MorningMatters.pdf

Repost ...link to DMG report here.

Hi Jasmine, You are welcome. My stable of stocks consist of mostly property developers, as it's a sector that I understand well and which, at the moment, is what I am most comfortable with in terms of value and risk. Many stocks in this sector are trading at or above 50% discount to RNAV (and hence give me more peace of mind, compared with stocks with pure earnings stories, which can shock on the downside). Apart from Hiap Hoe, I also like and own Superbowl, Chip Eng Seng, Roxy-Pac, Heeton, Ho Bee, HPL, Bt Semb and Wheelock, each for their specific reasons, but in general because most of their discount to RNAV attraction.

DMG fair value is at too big a discount to RNAV. Hiap Hoe shouldnot be at 50% discount to RNAV. Anyway, one step at a time. Now the stock +2.5 cents = 58 cents. Need to climb over 60-cent wall, then we talk again ....

The gross development value of the whole Zhongshan Park project is more than $600 million, then Superbowl's 50% shares is 92 cts/share. Superbowl is very much undervalue as compare to Hiap Hoe.