| RHB |
RHB |
|
Sheng Siong (SSG SP) Circuit Breaker To Keep Sales Resilient; Keep BUY
Maintain BUY and SGD1.42 TP, 11% upside and c.3% yield. As Singapore introduced circuit breaker measures to contain the spread of COVID-19, consumers are more likely to turn to supermarkets for food until the restrictions ease. Nevertheless, we expect supermarkets spending would remain resilient after the 4-week period as restrictions are likely to be eased in stages to prevent another wave of viral contagion.
|
Dairy Farm (DFI SP) Positive On Groceries, Negative For Other Formats
Maintain NEUTRAL with new TP of USD4.95, from USD5.05, 2% upside. More countries are imposing movement restrictions to contain the spread of COVID-19. Dairy Farm, being a major player in the grocery retail segment, is likely to see its supermarket sales improve on the increased number of people staying at home. However, this positive upswing could be offset by declines in its other formats.
|
|
CGS CIMB |
UOB KAYHIAN |
|
Sunningdale Tech Ltd Negatives priced in
■ We cut earnings to factor in the potential lower revenue due to the Covid-19 outbreak . ■ Despite our earnings cuts, we think the share price has priced in some of these negatives. ■ Upgraded to Add; TP based on unchanged 13-year average P/BV of 0.57x.
|
REITs ‒ Singapore Office REITs: Sturdy And Resilient
While demand for office space is affected by a slowdown in the broader economy, we expect office REITs to be more resilient relative to retail REITs and hospitality REITs. Upgrade to OVERWEIGHT. Maintain BUY for premier Grade-A office landlord CCT (Target: S$1.70). Upgrade KREIT to BUY (Target: S$1.30). KREIT’s share price has corrected 24.2% ytd and 2020F distribution yield has improved to 6.0%. Contribution from 311 Spencer Street at Melbourne will kick in starting 2Q20.
|
Check out our compilation of Target Prices
