What is in the news?
Investment Action
Trading at a yield of 5.6% (lower than post GFC average of 5.75%) and Price/NAV of close to 1x, we think FCT is trading at fair valuations, given the structural challenges facing the retail industry, that is the increasing adoption of ecommerce. We maintain our NEUTRAL call, with an increased DDM-derived target price of $2.04 as a result of downward revised finance costs.