Singapore Strategy

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.

3 stocks to focus on now that the CFE report is out

SINGAPORE (Feb 10): CIMB Research is highlighting its most preferred stocks from various sectors which it thinks could benefit from the strategies set by the Singapore government for the long term, following yesterday’s release of the long-awaited Committed on the Future Economy (CFE) report.

(See also: Singapore charts path for growth as globalisation mood darkens)

Daiwa sees STI ending at 3,040

SINGAPORE (Jan 20): Daiwa Capital Markets is sticking to its year-end target of 3,040 for the benchmark Straits Times Index with limited upside.

Earnings are also expected to stage only a modest rebound in 2017 after declining at a faster than expected in 2016.

In its 2017 Singapore strategy report “Bracing for a correction”, lead analyst Ramakrishna Maruvada says the Singapore market looks fairly valued, following the recent rally.

As SIBOR rises, so do the earnings of this bank stock

SINGAPORE (Jan 9): RHB expects DBS’ share price performance, which was already strong since the US presidential election results, to surge even further from higher Singapore interest rates in the near-term.

As such, it is maintaining its “buy” call on DBS as its top pick in the banking sector with a target price of $18.38.

In a report on Tuesday, analyst Leng Seng Choon explains that DBS is a key beneficiary of the expected Singapore Interbank Offered Rate (SIBOR) rise as the market expects the Fed Funds rate to continue its incline in 2017.

Why analysts think ComfortDelGro investors can rest easy

SINGAPORE (Jan 6): UBS and RHB are reiterating their “buy” calls on ComfortDelGro with target prices of $3.43 and $3.24 respectively in anticipation of higher earnings growth over the next few years.

In a report on Tuesday, UBS analysts Rachel Tan and Cheryl Lee opine that the transport company’s recently-announced acquisition of CabCharge Australia’s remaining 49% stake in ComfortDelGro CabCharge Pty Ltd (CDC), should be funded without significant balance sheet strain.

What will hold this retail REIT steady amid a dismal outlook?

SINGAPORE (Jan 5): RHB is maintaining its “buy” call on Frasers Centrepoint Trust (FCT) with a target price of $2.22 despite foreseeing a challenging retail outlook for 2017, as the research house is confident in the REIT’s management as well as suburban mall portfolio.

Will 2017 be a bumper crop year for plantation stocks?

SINGAPORE (Jan 4): RHB is maintaining its “neutral” stance on the plantation sector with its top pick as Golden Agri for its diversified land bank, crude palm oil (CPO) price sensitivity and stock liquidity.

The stock has been given a target price of 46 cents.

In the research house’s Singapore Strategy report on Tuesday, RHB believes CPO prices could remain at high levels up to 1Q17 on the back of the strong US dollar as well as a still-weak CPO output due to the 24-month lagged impact of El Nino.

Why consumer staples will remain at the forefront of attention in 2017

SINGAPORE (Jan 4): In the opinion of RHB analyst Juliana Cai, consumer discretionary spending in Singapore is likely to continue being weighed down by persistent concerns over job security and stagnant wages – bringing consumer staples to the forefront of attention this year.

Singapore’s land transport sector is revving up for a smooth ride

SINGAPORE (Jan 3): RHB has given Singapore’s land transport sector an “overweight” rating amid regulatory tailwinds and improved growth prospects.

As the only publicly listed stock offering exposure to the sector, ComfortDelGro has been highlighted as one of RHB’s top “buy” recommendations with a target price of $3.24.

Here are the 2 biggest external risks to Singapore for 2017

SINGAPORE (Dec 13): Maybank Kim Eng foresees a tough year ahead for Singapore amid weak global growth and challenges buffeting its key financial services, property and energy-related sectors.

In a Tuesday report, Maybank analyst Neel Sinha has forecast a 1.8% gross domestic product growth for 2017, which is on the lower end of the 1% to 3% range forecast by the Ministry of Trade and Industry.

As it stands, retail sales have been hit by poor consumer sentiment and a slowdown in tourism growth. Fortunately, domestic liquidity remains healthy and unemployment is also low.

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