UBS raises Singapore Post (S08.SG) target price to $1.27 from $1.15, maintains Buy call on stock, according to Dow Jones.

UBS expect company’s revenue to be strong in coming quarters due to booming domestic economy.

“Historically SingPost’s revenue has correlated strongly with GDP growth, albeit with a three to six month lag,” says UBS.

Follows much stronger-than-expected 2Q GDP data released earlier this week. Stock price last down 0.9% at $1.14.