BIZ BUZZ: Property pick

While the market has been buzzing lately because of gaming woes, another name is emerging as a potential investment recipient.

We’re talking about Megaworld Corp., on which First Metro Securities Brokerage Corp. and Singapore’s DBS Bank recently issued a “BUY” rating.

“We like [Megaworld] for its integrated township model, which is its core competitive advantage, enabling it to capture value across multiple real estate segments,” First Metro and DBS said in a July 18 report.

Their 12-month target price for the Andrew Tan-led developer is P2.80 per share, suggesting a 40-percent climb from its current price.

Megaworld is combating the condo glut in Metro Manila with strong foot traffic in its townships and office leasing operations, First Metro and DBS pointed out.

“Its township-led strategy and regional diversification allow it to tap into more resilient demand pools, particularly outside Metro Manila,” they said, noting that its inventory levels were the lowest among its peers at just 13 to 14 months.