I know that a lot has been written about $Eagle HTrust USD(LIW.SI) both online and offline. I initiated a small position in it last week at 0.555. I outlined my 3 reasons in doing so:
1) Belief that the repairs for Queen Mary is closer to US$mil compared to US230mil
2) Sufficient cash reserves to fund the cost of repairs in the next 2 years
3) Sufficient margin of safety even if Queen Mary is written off. I think 42.5% gearing, 9.2% DPU and 0.62X Net book value are fair for an overseas hospitality REIT.
I am mindful that this is extremely volatile so I am instituting a stop-loss once share price dips 15% below my purchase price.
Why I Embarked On Eagle Hospitality Trust’s The Queen Mary • Heartland Boy
After analysing 3 factors, here is his review of Eagle Hospitality Trust and why he decided to embark on EHT's The Queen Mary at share price of US$0.555