The uncertainties of City Developments' board and its leadership, as well as the lengthiness of a potential court case, could be a share price overhang in the short term, according to Citi Research analyst Brandon Lee.

The Singapore-listed company has temporarily suspended trading, due to disagreement within the board, he writes, noting that the potential impact of the uncertainties is hard to quantify.

Citi believes that City Developments is "under-owned by investors," and that any positive resolution would be a major share price catalyst in the longer term, he adds.

Lee notes that Citi views the company's valuations as undemanding, noting its buy rating on the stock and target price of S$9.51. Shares last closed at S$5.12.