UOB, OCBC to benefit from mortgage rate hikes this year, says DBS

SINGAPORE (Apr 2): DBS Vickers Securities is remaining bullish on Singapore’s banks as a dividend yield play, while highlighting rising mortgage rates as the sector’s bright spot amid higher cost of funds this year.  

In a Tuesday report, analyst Lim Rui Wen says UOB will benefiting from hikes in mortgage rates in 1Q19, as it was the first to increase it Singdollar fixed deposit rates during February this year.

According to UOB, its mortgages based on fixed deposit rates may grow up to 70 basis points.

Singapore offers buffet of attractive yield plays amid the easing policy environment, says UOB

SINGAPORE (April 1): UOB Kay Hian is recommending a wide variety of yield plays offered by Singapore ranging from aviation and banks, to developers and REITs as central banks around the world continue to ease their monetary policies.   

In a particular, the research house is expecting dovish dispositions at both the Federal Reserve (Fed) and the European Central Bank (ECB) to rekindle general investor interest in yield plays, as an abundance of liquidity make their recurrent dividends more attractive.

This is the year for office REITs to shine: OCBC

SINGAPORE (Jan 8): OCBC Bank is expecting Singapore office REITs to strengthen further in the near-term this year – and possibly, in the process, demand higher rents to bring about positive rental reversion.

In a Tuesday report, OCBC’s credit research team highlights office REITs as a bright spot among Singapore REITs (S-REITs), with the recent trend of strong new office supply looking to reverse in 2019.

Singaporeans love their banks but remains wary of other asset managers, finds survey

SINGAPORE (Sept 20): While a majority of Singaporeans view the city state’s financial services sector as more trustworthy than a decade ago, many are cautious towards less familiar sub-industries and new & emerging digital financial services companies.

This is according to the inaugural 2018 Financial Services Reputation Index, launched today by MHP Communications and ORC International, which surveyed over 4,000 adults across China, Hong Kong, India and Singapore in August this year.

This 'interesting' 2Q earnings season could be UOB's chance to shine: DBS

SINGAPORE (July 19): DBS Vickers Securities expects an “interesting” 2Q18 earnings season with diverging trends across Singapore’s banks as they continue to spend on improving technology infrastructure, with some potential for slight upticks in personnel costs for salary revisions.

While the research house has rated both UOB and OCBC at “hold” with target prices of $28.30 and $12.20, respectively, it prefers the former as a more attractive dividend play on expectations of at least a 40-cent interim dividend to be declared for the quarter.

Overseas investors like Singapore banks and tech firm Venture: CGS-CIMB

SINGAPORE (June 11): CGS-CIMB Securities is reiterating a number of its top stock picks across various sectors following its recent marketing trip to Tokyo and Hong Kong.

There, the research house found that investors in indexed funds were generally “overweight” on Singapore banks and technology, mainly Venture Corp. The tech manufacturer is rated “add” by CGS-CIMB with a target price of $25.64, and valued at 15.4 times the 11-year average P/E.

Launch of Raffles Medical's China hospitals a step closer to reality

SINGAPORE (May 3): OCBC is reiterating its “buy” recommendation on Raffles Medical with a fair value estimate of $1.26.

This came on the back of the group announcing that its 1Q18 earnings increased by 1.7% to $15.8 million compared to $15.5 million a year ago.

Revenue was 4.6% higher at $120.2 million from $144.9 million last year, as revenue from its Healthcare Services division and its Hospital Services division grew by 6.8% and 4.2%, respectively.

Is it too early to go into Raffles Medical?

SINGAPORE (May 2): RHB is downgrading its call on Raffles Medical Group (RMG) to “sell” from “neutral” with an unchanged $1.02 target price.

The move comes on a number of factors including RMG’s recent share price run-up since the group’s release of its 4Q17 results, as well as expectations of potential headwinds such as start-up losses from its China operations.

Steady start to FY18 keeps Sheng Siong firmly at 'buy'

SINGAPORE (Apr 30): RHB, OCBC and DBS are maintaining their “buy” calls on Sheng Siong Group with target prices of $1.18, $1.06 and $1.21, respectively, after the supermarket operator posted a set of 1Q18 results which came in line with all three research houses’ expectations.

See: Sheng Siong posts 6.6% rise in 1Q earnings to $18.3 mil

Can Suntec REIT count on improving retail revenue to drive its earnings up?

SINGAPORE (Apr 26): RHB and Maybank Kim Eng are maintaining their "hold” calls on Suntec REIT with target prices of $1.75 and $1.94 respectively, a day after the release of its latest 1Q18 results.

In contrast, DBS is maintaining its “buy” on the REIT with a target of $2.30 while OCBC is upgrading its call to “hold” from “sell" with a fair value of $1.84 and CIMB is upgrading the REIT to “add” from “hold” with $2.12 target.

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