taxi

The worst looks over for taxis
SINGAPORE (Sept 27): Phillip Capital is keeping an “overweight” recommendation on the land transport sector due to positive industry restructuring following the exit of Uber and the worst being over for the taxi industry. The research house has also maintained its “accumulate” rating on ComfortDelGro with an unchanged target price of $2.78. This month marks the second ...
Grab vanquishes Uber with local strategy, billions from SoftBank
SINGAPORE (Mar 27): As Uber Technologies Inc. looked to conquer ride-sharing around the world, Grab was focused on serving the 620 million people that share its home in Southeast Asia. Helped by the deep pockets of SoftBank Group Corp., Grab emerged the winner on Monday when Uber agreed to swap its business in the region for a 27.5% stake. The deal is a vindication for co-founder ...
ComfortDelGro and Uber finally join forces
SINGAPORE (Dec 8): ComfortDelGro Corporation finally announced they will be entering into a joint venture (JV) with Uber Technologies. See: ComfortDelGro and Uber in exclusive talks over possible alliance According to the agreement, which is subject to regulatory approval, ComfortDelGro will be acquiring a 51% stake in Lion City Holdings, a car rental subsidiary that is wholly-owned by Uber ...
ComfortDelGro downgraded as taxi business slows
SINGAPORE (Nov 14): RHB Research is downgrading its call on ComfortDelGro (CDG) to “neutral” from “buy” with a lower target price of $2 from $2.60 previously, on expectations that the sequential decline in the group’s Singapore taxi fleet and hire-out rate will continue into 4Q17. The new target price implies a P/E multiple of 14.5 times 2018F estimates, which is close to its ...
Rail segment to keep ComfortDelGro’s earnings in its comfort zone
SINGAPORE (May 15): OCBC continues to rate ComfortDelGro (CDG) at “buy” with a lower fair value estimate of $2.88 from $2.95 previously, following the release of the land transport group’s 1Q results on Friday. (See also: ComfortDelGro 1Q earnings up 12% to $82.5 mil on one-off gain) In a Monday report, lead analyst Eugene Chua says the 2.4% on-year decline in the group’s revenue, ...
Competition for drivers to intensify as ComforDelGro gives dynamic pricing the cold shoulder
SINGAPORE (March 30): UOB Kay Hian is keeping its “hold” rating on land transport group ComfortDelGro (CDG) at a target price of $2.47, due to the lack of strong catalysts as the local taxi industry continues to undergo structural shifts with the recent rollout of a dynamic pricing fare structure. To recap, the Land Transport Association (LTA) recently passed approval for taxi operators to ...
What does 2017 hold for transport companies?
SINGAPORE (Dec 8): CIMB is maintaining its lacklustre view of Singapore’s transport and air services companies amid stiff competition and other headwinds from foreign exchange and oil price volatility. The only bright spark from the sector is ComfortDelgro Corporation, which has become the only remaining proxy to the local land transport sector following SMRT’s privatisation. According ...
Fare cuts aren't too close for Comfort
SINGAPORE (Nov 14): ComfortDelgro’s share price fell more than 12% over the past month, in what Maybank Kim Eng considers an “overreaction” to the announcement of a 4.2% fare cut on Oct 27 from lower energy prices. Maybank Kim Eng’s analysts Derrick Heng and John Cheong noted that the Public Transport Council has guided for an $8.9 million impact on SBS Transit’s rail operations, ...
ComfortDelgro’s 3Q earnings rise 2.5% to $87.3 mil on lower expenditure
SINGAPORE (Nov 11): Transport group ComfortDelgro posted $87.3 million in earnings for 3Q16, 2.5% higher from $85.2 million in the same quarter a year ago on the back of lower expenditure, bringing earnings per share (EPS) in 3Q to 4.05 cents compared to 3.97 cents in 3Q15. Group operating costs fell 3.3% to $888.2 million, as an increase of $12.4 million in actual operating costs was offset ...
ComfortDelgro kept at ‘buy’ by UOB; special dividend expected
SINGAPORE (July 1): UOB Kay Hian has maintained its “buy” recommendation and target price of $3.16 for ComfortDelgro (CD), adding that it expects limited impact from Brexit on its UK transport operations. According to UOB’s estimates, CD’s UK business account for 25% of group revenue, and 19% of operating profit. Within the UK business, about 88% to 90% of revenue and 97% to 98% of ...