UOB KAYHIAN | LIM & TAN |
Onwards And Upwards The rig market appears to have turned a corner in 2021 with oil prices exceeding US$80/bbl – this has resulted in stronger rig utilisation rates and a firming of rig dayrates vs 2020. The higher offshore activity expected in 2022 and 2023 underpins our positive view on the sector, especially given that meaningful rig supply was removed globally. We retain our OVERWEIGHT view on the sector, and our top picks remain Yangzijiang, Keppel Corp and Sembcorp Marine. |
We highlight the key points raised in Jumbo Group’s (31.5 cents, unchanged) latest FY annual report: At 31.5 cents, Jumbo is capitalized at S$202.3mln and is currently loss making. It trades at 4.6x price to book ratio and does not pay dividends. Based on consensus 12 months target price of S$0.31, there seems to be no signifi cant upside. We are neutral on Jumbo as valuations look depressed, its outlook still remains uncertain given the recent surge in Omicron cases globally, including in Singapore. |
LIM & TAN |
DBS VICKERS |
Totm Technologies ($0.195, down 1.5 cents) announced that the Group has recorded revenue of S$10.1 million for the half year ended 30 November 2021 (“1H2022”), representing a 263.2% jump year-on-year (“yoy”), as compared to S$2.8 million for 1H2021. Totm Technologies’ market cap stands at S$165.6mln, is currently loss making and trades at 2.4x PB. Totm Technologies does not pay dividends and there are currently no analysts covering ToTm Technologies.
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Digital Core REIT
A premier global data-centre play • Initiate with a BUY, TP of US$1.40, offering a c.18% upside
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