Brokers' take

OUE Hospitality Trust | Buy Target price: S$0.95 April 4 close: S$0.785 RHB, April 4

OUEHT's share price has fallen by 7 per cent over the last month, underperforming Singapore Reits' and Straits Times Index's +1 per cent and and -2 per cent, respectively.

Our channel checks indicate that demand for hotel rooms remains strong, with good response for the Singapore Airshow and growing passenger traffic at Changi Airport. The former saw a 10 per cent jump in trade visitors versus 2016. We believe Crowne Plaza Changi Airport (CPCA), being the nearest hotel in the vicinity, would have seen a corresponding positive impact.