KUALA LUMPUR: RHB Research has upgraded its recommendation for Sunway Real Estate Investment Trust (Reit) from 'Neutral' to 'Buy' after its results for the June-month period met expectations.
The firm said Sunway Reit's nine-month earnings of RM349 million met 75 per cent of the firm's full-year forecast and 76 per cent of the consensus' estimates.
"Following its 20 per cent share price derating over the past six months, we see an attractive entry opportunity – backed by its proven asset enhancement initiative (AEI) track record and ability to unlock further growth through synergies across its integrated malls, hotels, and offices," it said in a note.
The firm sees improving medium-term growth prospects, supported by a pipeline of targeted AEIs and opportunities to enhance rental productivity across existing assets.
