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Tower Real Estate Investment Trust (5111) Fair Value & Analysis

Real Estate · MY · Market cap 152M MYR

TR Tower Real Estate Investment Trust 5111 · KLSE
Price0.3000 MYR
Fair Value0.2500 MYR
Upside-16.7%
Quality54/100
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Mixed Growth
Highly profitable · 23.4% net margin
Low debt · generates free cash flow
Ranks above peers (10/13)
Moderate moat 60/100
Evidence: High Range 0.1900 MYR – 0.3100 MYR Share as image

Fair value as of: Jul 17, 2026

From 8 valuation models · updated 24 days ago

A solid business, but screening 17% overvalued on our models.

What matters now

  • Solid but not exceptional quality (54/100) and above fair value, neither a clear bargain nor a standout compounder.
  • As a real-estate business, asset- and dividend-based methods carry more weight here than a standard DCF.
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Price vs Fair Value (5 years)

0.7048 MYR 0.2452 MYR Fair Value 0.2500 MYR Aug 2019 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 17, 2026.

How to read this chart

60‑month range 0.2452 MYR – 0.7048 MYR · fair‑value band 0.1900 MYR – 0.3100 MYR · the 0.3000 MYR price screens above the 0.2500 MYR fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 17, 2026.

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Analysis

Tower Real Estate Investment Trust (5111) currently trades at 0.3000 MYR, while our model-based Fair Value estimate is 0.2500 MYR, implying the stock looks roughly 16.7% overvalued today. The Quality Score stands at 54/100 (solid quality), in the Real Estate sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Tower Real Estate Investment Trust generated revenue of 30.6M MYR at a net margin of 23.4%. Revenue declined 7.8% year over year. It earns a return on equity of 1.3%. Net debt stands at 206M MYR. Fundamentals as of Jul 17, 2026

Our scenario range runs from 0.1900 MYR (bear case) to 0.3100 MYR (bull case); at 0.3000 MYR, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 3% below its 52-week high and 18% above its 52-week low, currently above its 200-day average. For context, the median of 10 Real Estate peers we cover trades at -20% fair-value upside, at -17%, 5111 screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Growth DCF 0.0100 MYR 80
Residual Income 0.7200 MYR 0.6700 MYR 0.4300 MYR 76
Gordon GGM 0.1100 MYR 0.1500 MYR 0.1800 MYR 70
All 8 models by family
DCF Models
FCF DCF 0.0200 MYR 38
Dividend Discount
Gordon GGM 0.1100 MYR 0.1500 MYR 0.1800 MYR 70
DDM Multi-Stage 0.1100 MYR 0.1400 MYR 0.1700 MYR 61
Multiples
P/S Multiple 0.1900 MYR 0.2500 MYR 0.3100 MYR 58
P/B Multiple 0.1900 MYR 0.2500 MYR 0.3100 MYR 55
Asset-Based
NCAV (Graham) 0.5800 MYR 0.7800 MYR 1.16 MYR 50
Growth DCF
Growth DCF 0.0100 MYR 80
Economic Profit
Residual Income 0.7200 MYR 0.6700 MYR 0.4300 MYR 76

Widest divergence: Asset-Based (0.7800 MYR) versus Dividend Discount (0.1400 MYR). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) 30.6M MYR
Revenue growth (YoY) -7.8%
Net margin 23.4%
Return on equity 1.3%
Free cash flow 17.9M MYR FY2024
P/E ratio 14.8
More key figures
Operating margin 43.4%
EPS (TTM) 0.0200 MYR
EPS growth (YoY) +4.9%
Net debt 206M MYR FY2024

Figures from reported company fundamentals · as of Jul 17, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 54/100

Of which business quality 54 · Market factors (momentum, volatility) 63

Profitability 25
Margins and returns on capital today
Quality Growth 41
Are margins and returns improving?
Cashflow 95
Earnings quality: real cash, not paper profit
Fin. Strength 49
Balance sheet, leverage, solvency risk
Investment 79
Disciplined investing over empire-building
Low Volatility 72
Calm price path (market factor)
Momentum 53
Price trend over the last 3–12 months (market factor)
52W Momentum 70
Distance to the 52-week high (market factor)
Net Issuance 40
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Tower Real Estate Investment Trust was constituted under the Deed dated. (As amended and restated by the restated deed dated 29 May 2014 and the second restated deed dated 23 October 2019) entered between the Manager and MTrustee Berhad, acting as the Trustee of Tower REIT, and listed on the Main Market of Bursa Malaysia Securities Berhad on 12 April 2006.

Full company description

Tower Real Estate Investment Trust was constituted under the Deed dated. (As amended and restated by the restated deed dated 29 May 2014 and the second restated deed dated 23 October 2019) entered between the Manager and MTrustee Berhad, acting as the Trustee of Tower REIT, and listed on the Main Market of Bursa Malaysia Securities Berhad on 12 April 2006. Tower Real Estate Investment Trust was incorporated in 2006 in Malaysia.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2020 – FY2024 · reported fiscal years

Tower Real Estate Investment Trust reported revenue of 38.9M MYR in FY2024 versus 31.8M MYR in FY2020, a compound +5.1%/yr. Reported net income was 7.2M MYR in FY2024.

Growth Quality 84/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2024)
38.9M MYR
Latest YoY
+5.1%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+6.1%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+12.5%
Avg. growth/yr (12Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−2.8%
Revenue +5.1%/yr
FY20 31.8M MYR
FY21 32.6M MYR
FY22 33.9M MYR
FY23 37.0M MYR
FY24 38.9M MYR
Net income
FY20 −4.9M MYR
FY21 5.9M MYR
FY22 −17.6M MYR
FY23 5.7M MYR
FY24 7.2M MYR

5111 screens 17% overvalued. Compare with MERLIN Properties SOCIMI, S.A →

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Cite: Fair Value Calculator (2026). "Tower Real Estate Investment Trust Fair Value". https://www.fairvalue-calculator.com/stock/5111

Peer Group

REIT - Office · 75 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 56 · Above median
Fair Value upside −17% · Below median
Return on equity (TTM) 1% · Above median
Return on assets 2% · Below median
Net margin (TTM) 23% · Above median
Operating margin (TTM) 43% · Above median
Revenue growth -8% · Bottom 25%
Debt / equity 0.41× · Lower than 75% of peers

Valuation Multiples vs REIT - Office median · lower = cheaper

P/E (TTM) 15.5× · Cheaper than median
P/B 0.07× · Cheaper than 75% of peers
P/S (TTM) 1.22× · Cheaper than 75% of peers
P/FCF 2.1× · Cheaper than 75% of peers
EV/EBITDA 11.6× · Cheaper than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 11 · sector 33
FUTURE 0 · sector 0
PAST 5 · sector 5
HEALTH 80 · sector 64
DIVIDEND 0 · sector 100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more REIT - Office stocks, each showing price versus our Fair Value estimate (as of Jul 17, 2026).

Stock Price Fair Value vs Fair Value
MERLIN Properties SOCIMI, S.A MRL €15.23 €6.46 -58%
BXP, Inc BXP $69.11 $53.27 -23%
Vornado Realty Trust VNORP $51.75 $41.59 -20%
Alexandria Real Estate Equities, Inc ARE $50.12 $59.48 +19%
Hudson Pacific Properties, Inc HPP $15.38 $4.60 -70%
Mapletree Pan Asia Commercial Trust N2IU 1.28 SGD 1.14 SGD -11%
Cousins Properties Incorporated CUZ $32.15 $17.62 -45%
Kilroy Realty Corporation KRC $39.42 $40.37 +2%
Keppel DC REIT AJBU 2.20 SGD 1.68 SGD -24%
DEXUS DXS A$5.64 A$4.49 -20%

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Frequently asked questions

Is Tower Real Estate Investment Trust (5111) overvalued or undervalued?
As of Jul 17, 2026, our model estimates a fair value of 0.2500 MYR versus a price of 0.3000 MYR, about −17% (overvalued).
What is the fair value of 5111?
Our model-based fair value for Tower Real Estate Investment Trust is 0.2500 MYR (as of Jul 17, 2026), built from audited fundamentals. The current price is 0.3000 MYR.
What is the quality score of 5111?
Tower Real Estate Investment Trust has a Quality Score of 54/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Tower Real Estate Investment Trust (5111)?
Tower Real Estate Investment Trust reported trailing-twelve-month revenue of about 30.6M MYR (latest available figure, as of Jul 17, 2026).
What is the net profit margin of 5111?
The net profit margin of Tower Real Estate Investment Trust is about 23.4%, meaning it keeps roughly 23.4% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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