CHARTER HALL SOCIAL INFRASTRUCTURE REIT (CQE)
Share Price Analysis and Chart

09/09/2026

1

Buy

$3.00

20.48%

In light of the prospect for the RBA's cash rate to remain at 4.6% indefinitely, Ord Minnett has reviewed its property sector coverage.

There are two impacts: one from a further rise in interest rate costs, which has scope to lower earnings forecasts, and the negative impact on property values and thus target prices.

The broker flags an expected rise in cap rates by around 50bps over the next 12 months, with the office sector most "vulnerable", where cap rates are forecast to expand by some 90bps.

Target price for Charter Hall Social Infrastructure REIT falls to $3 from $3.05 with a Buy retained. EPS forecast for FY28 slips by -1.9%.

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06/08/2026

1

Buy

$3.58

43.78%

Moelis maintains a Buy rating for Charter Hall Social Infrastructure REIT with its target price increased to $3.58 from $3.55 following an accretive capital recycling program.

During FY26, the portfolio divested $137m in lower-yielding early learning assets at a 4.4% yield and acquired $292m in social infrastructure assets at a 6.2% yield, driving earnings per unit to 17.3c.

Despite challenging tenant conditions in the childcare sector evidenced by select operator suspensions, portfolio occupancy remained robust at 99.7% alongside 4.2% like-for-like net property income growth.

The analyst views the trust's -30% discount to net tangible assets and an implied 6.7% capitalisation rate as an attractive entry point for investors.

Strong market rent reviews and resilient average daily fee increases support upbeat FY27 earnings guidance of 18.1c per unit, prompting minor upward revisions to the broker's estimates across the medium term.

FORECAST
Moelis forecasts a full year FY27 dividend of 18.00 cents and EPS of 18.10 cents.
Moelis forecasts a full year FY28 dividend of 18.20 cents and EPS of 18.50 cents.

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