Centurion Corporation's stock surged 3.36% during Thursday's intraday trading session, reflecting strong investor confidence in the company's growth strategy.
The rally follows a bullish report from RHB Research, which highlighted Centurion's focus on strategic acquisitions, including potential deals in the Middle East, and its role as the sponsor of Centurion Accommodation REIT. RHB maintained a buy rating on the stock and raised its target price to S$1.88 from S$1.86, citing higher market valuation expectations for the REIT. The firm also noted that Centurion is expected to generate additional growth through third-party REIT management fees.
Broader market trends, such as declining interest rates, are also supporting dividend-paying stocks like Centurion. Lower borrowing costs are expected to enhance profitability and cash flow, further strengthening the company's financial position.