Champion Real Estate Investment Trust
HKEX:2778

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Champion Real Estate Investment Trust
HKEX:2778
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Price: 2.33 HKD -2.1% Market Closed
Market Cap: HK$14.3B

EV/IC

0.5
Current
21%
More Expensive
vs 3-y average of 0.4

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
0.5
=
Enterprise Value
HK$25.5B
/
Invested Capital
HK$54.6B

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
0.5
=
Enterprise Value
HK$25.5B
/
Invested Capital
HK$54.6B

Valuation Scenarios

Champion Real Estate Investment Trust is trading above its 3-year average

If EV/IC returns to its 3-Year Average (0.4), the stock would be worth HK$1.92 (18% downside from current price).

Statistics
Positive Scenarios
1/4
Maximum Downside
-24%
Maximum Upside
+11%
Average Downside
9%
Scenario EV/IC Value Implied Price Upside/Downside
Current Multiple 0.5 HK$2.33
0%
3-Year Average 0.4 HK$1.92
-18%
5-Year Average 0.4 HK$2.17
-7%
Industry Average 0.3 HK$1.76
-24%
Country Average 0.5 HK$2.59
+11%

Forward EV/IC
Today’s price vs future invested capital

Not enough data available to calculate forward EV/IC

Peer Comparison

All Multiples
EV/IC
P/E
All Countries
Close
P/E Multiple
Earnings Growth PEG
HK
Champion Real Estate Investment Trust
HKEX:2778
Average P/E: 32.3
Negative Multiple: -4.4
N/A N/A
US
Boston Properties Inc
NYSE:BXP
29.6
9%
3.3
FR
Covivio SA
PAR:COV
8.4
-7%
N/A
JP
Nippon Building Fund Inc
TSE:8951
26.4
4%
6.6
US
COPT Defense Properties
NYSE:CDP
44.8
3%
14.9
US
Alexandria Real Estate Equities Inc
NYSE:ARE
Negative Multiple: -4.9 N/A N/A
US
Vornado Realty Trust
NYSE:VNO
6.8
-56%
N/A
JP
Japan Real Estate Investment Corp
TSE:8952
23
2%
11.5
AU
Dexus
ASX:DXS
13.1
64%
0.2
SG
Keppel REIT
SGX:K71U
Not Available
-21%
N/A
US
Cousins Properties Inc
NYSE:CUZ
106.2
20%
5.3

Market Distribution

In line with most companies in Hong Kong
Percentile
47th
Based on 1 589 companies
47th percentile
0.5
Low
0 — 0.3
Typical Range
0.3 — 0.9
High
0.9 —
Distribution Statistics
Hong Kong
Min 0
30th Percentile 0.3
Median 0.5
70th Percentile 0.9
Max 59 382.5

Champion Real Estate Investment Trust
Glance View

Market Cap
14.3B HKD
Industry
Real Estate

Champion Real Estate Investment Trust (REIT) is a significant player in the world of real estate investment, strategically operating in the bustling landscapes of Hong Kong’s commercial property market. The company’s lifeblood is a well-curated portfolio that includes some of the most recognized commercial properties in Hong Kong. Among its crown jewels are Three Garden Road, a notable office property in Central, Hong Kong, and Langham Place, a well-known commercial complex. Champion REIT generates revenue primarily through leasing office and retail space to a diversified range of tenants, ensuring the steady inflow of rental income. This income offers not only a stable cash flow to investors but also a return on investment that tends to appreciate over time as property values increase in this densely populated metropolis. Champion REIT's operational strategy emphasizes enhancing property values and tenant experiences through strategic property management and continuous improvement initiatives. By investing in property upgrades and maintaining high standards of service, the trust ensures high occupancy rates while attracting a robust mix of local and international tenants. This proactive approach helps it remain competitive in an ever-evolving market. Additionally, the trust can capitalize on the economic ebbs and flows of Hong Kong's property market and broader economic conditions, leveraging its properties' prime locations to command premium rent levels. Therefore, Champion REIT functions as a conduit for investors to tap into the lucrative real estate market in Hong Kong, offering a blend of income stability and potential for long-term capital growth.

Intrinsic Value
2.36 HKD
Undervaluation 1%
Intrinsic Value
Price HK$2.33
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