ComfortDelGro raised to 'neutral' by RHB as valuations look stretch after STI outperformance

SINGAPORE (June 18): RHB Research has upgraded ComfortDelGro (CD) to ‘neutral’ as the stock looks fairly priced now although it remains confident over the company’s growth recovery.

“While we like the defensive nature of its earnings, investors should consider buying at a lower price (about $2.40),” says analyst Shekhar Jaiswal in a Tuesday report, adding that the stock is trading at 17.3 times 2019 earnings versus its five-year average of 15 times.

Analysts expect a more exciting performance from mm2 Asia in FY20

SINGAPORE (June 4): DBS Vickers Securities is upgrading its call on mm2 Asia from “hold” to “buy” while raising its target price by a cent to 34 cents, which is pegged to 16 times FY20F earnings for the core business, and in line with listed peers in Asia.

Meanwhile, CGS-CIMB Research maintains its “add” call on the stock with an unchanged target price of 37 cents.

China Aviation Oil poised to take off this year with compelling valuations, strong passenger traffic recovery: RHB

SINGAPORE (Mar 27): RHB Research is upgrading its call on China Aviation Oil (CAO) to “buy” from “hold”, while raising its target price on the stock by 10 cents to $1.60 to suggest 26% upside plus 3.6% yield.

This comes as the research house expects CAO to benefit from signs of a strong recovery in international passenger growth in China, in addition to the anticipated capacity constraints of its 33%-owned associate, Shanghai Pudong International Airport (SPIA).

RHB turns positive on Dairy Farm's valuations after selldown

SINGAPORE (Mar 20): RHB Research is upgrading its call on Dairy Farm from “neutral” to “buy” despite lowering its target price to US$8.25 from US$8.64 previously with the view that long-term investors may look to accumulate the stock at its current low.

Is Ascott Residence Trust's Raffles Place divestment a bane or a boon?

SINGAPORE (Jan 10): OCBC Investment Research is upgrading its call on Ascott Residence Trust (Ascott REIT) to “buy” from “hold” upon raising its fair value estimate for the REIT to $1.18.

The move comes after adjusting for its divestment of Ascott Raffles Place Singapore at 2 Finlayson Green for $353.3 million – representing a 64.3% premium to the property’s valuation of $215 million as at end-2018.

Manufacturing presence in Malaysia could benefit Venture amid trade war: CGS-CIMB

SINGAPORE (Nov 7): CGS-CIMB Securities is upgrading its call on Venture Corporation to “add” from “hold” previously as it rolls over to FY20F.

At the same time, the research house is lowering its target price from $17.83 to $17.44 after accounting for lower revenue growth expectations, which has led to a cut in FY18-20F core earnings per share (EPS) by 6.6-10.9%.

The new target price is based on a 12.3 times multiple, 0.5 standard deviation points below the 11-year average of 15.3 times.

Cache Logistics Trust upgraded in anticipation of industrial sector recovery

SINGAPORE (Aug 1): OCBC Investment Research is upgrading its call on Cache Logistics Trust (CLT) to “buy” from “hold” with a lower fair value of 81 cents compared to 83 cents previously, after adjusting for higher cost of equity to factor in a rising interest rate environment.

The research house’s upgrade comes in anticipation of the industrial sector bottoming by end-2018 or early 2019, with the belief that CLT is ready to participate on the upturn.

This consumer play is getting sweeter by the day, says RHB

SINGAPORE (June 20): RHB Research is upgrading its call on Delfi to “buy” from “neutral” on attractive valuations as the counter closed Tuesday at $1.32, which is 27 times FY18F earnings.

The upgrade comes despite a lower target price of $1.47 from $1.54 as a result of lower gross margin forecasts, with a 4% and 2% reduction to FY19-20F EPS after factoring in RHB’s forecasts for USD/IDR to average at 14,100 for 2018, as well as rising cocoa prices.

SATS an attractive 'buy' at price levels below $5.15, says OCBC

SINGAPORE (June 14): OCBC Investment Research is upgrading its call on SATS Limited to “buy” from “hold” with an unchanged fair value of $5.50.

The upgrade comes on the belief that the counter now looks attractive at its Wednesday closing price of $5.06 – and will continue to remain so as long as it remains below the share price of $5.15, especially given the group’s expanding presence in Asia.

CSE Global upgraded by CGS CIMB on higher margins

SINGAPORE (May 14): CGS CIMB Securities is upgrading its recommendation on CSE Global to “add” from “hold” previously with an increased target price of 50 cents.

This came on the back of the group reporting a 90% jump in its 1Q18 earnings to $5.7 million, compared to $3.0 million in 1Q17.

Revenue for the quarter was 23.7% higher y-o-y at $92.2 million, attributed to broad based growth across all industry segments, with revenue from its Oil and Gas (O&G) and Infrastructure divisions climbing 23.3% and 24.0%, respectively.

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