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<Research>Citi Slightly Cuts LINK REIT TP to $47.25, Maintains Buy Rating
Citi, in its report, kept LINK REIT (00823.HK) at Buy with target price slightly lowered from HK$47.82 to HK$47.25, considering the company’s approximately 6.5% dividend yiel...
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<Research>Citi Slightly Cuts LINK REIT TP to $47.25, Maintains Buy Rating
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Citi, in its report, kept LINK REIT (00823.HK)  +0.450 (+1.092%)    Short selling $106.28M; Ratio 23.006%   at Buy with target price slightly lowered from HK$47.82 to HK$47.25, considering the company’s approximately 6.5% dividend yield (200bps premium over the ten-year US Treasury yield, with a historical premium average of 190bps) and potential inclusion in the Southbound Stock Connect.

With fading tenant sales and challenges faced by some retailers (supermarkets, fresh markets, Chinese restaurants, etc.), the 3-5% decline in renewal rents recorded in the second half of the fiscal year ending March 2025 will persist into the current fiscal year ending March 2026.

Related NewsHSBC Research Adds LINK REIT (00823.HK) TP to $45, Expects DPU to Stay Resilient
Citi expected the company's DPU to subtract by 2.5% and 1.5% YoY for the fiscal years 2026-27, with Hong Kong retail renewal rents dropping by 3-5%; parking business growing by 1-2% YoY; and floating rate debt (HK$17.7 billion, accounting for 33%) benefiting from the decline in one-month HIBOR.
(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2025-05-30 16:25.)

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