DMG raises Sound Global (E6E.SG) target to $1.05 from $0.93, keeps Buy call, according to Dow Jones.
The research house says 3Q10 earnings slumped 51.5% on year, which in line with house estimates; decline attributable to higher effective tax rates, IPO expenses, FX losses.
“While we remain confident of order book sustainability, we trimmed earnings (forecasts) downwards (by 7.3% FY10, 4.6% FY11) to factor in the higher effective tax rates and expenses,” says DMG.
Gross domestic product shrank an annualized 19.8% in the third quarter from the previous three months after climbing a revised 27.3% in the April-to-June period, the trade ministry said today. The median forecast of 19 economists surveyed by Bloomberg News was for a 15.7% contraction.
Credit Suisse upgrades Noble Group (N21.SG) to Neutral from Underperform but trims target price to $1.65 from $1.75, says Dow Jones.
Credit Suisse lowers 2010, 2012 earnings estimates by 4%, 15% on back of weaker-than-expected 2Q earnings but notes strong balance sheet, significant underperformance of stock means negatives mostly priced in.
“Noble now trades at just 12% above its five-year average, versus the peak of 68% premium.” Share price last down 0.6% at $1.58.
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CLSA downgrades Singapore Airlines (C6L.SG) to Outperform from Buy, trims target price to $18.08 from $18.44 after lowering FY11–12 earnings forecasts by 13–9% to assume higher fuel costs, lower investment earnings, according to Dow Jones.
CLSA notes fuel costs +42% on-year in fiscal 1Q11 ended June vs house’s +35% forecast. Says 1Q11 net profit of $253 million came in 26% below house’s estimate, but revenue trend remains positive. Adds balance sheet remains strong with cash hoard at $5.3 billion.
Shares +1.8% at $15.02.
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CLSA has upgraded Keppel Corp. (BN4.SG) to Buy from Outperform on valuation grounds after recent underperformance, according to Dow Jones.
CLSA cites contracts wins from Petrobras as near-term stock catalysts. But trims target price to $10.44 from $10.99 to reflect in line 2Q10 results, marked-to-market valuations of Keppel’s listed associates, subsidiaries.
Research house remains cautious on prospects for property business given government attempts to cool residential markets. Shares +0.8% at $8.92.
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CLSA has upgraded Keppel Corp. (BN4.SG) to Buy from Outperform on valuation grounds after recent underperformance, according to Dow Jones.
CLSA cites contracts wins from Petrobras as near-term stock catalysts. But trims target price to $10.44 from $10.99 to reflect in line 2Q10 results, marked-to-market valuations of Keppel’s listed associates, subsidiaries.
Research house remains cautious on prospects for property business given government attempts to cool residential markets. Shares +0.8% at $8.92.
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DBS Vickers has upgraded Ezra (5DN.SG) to Buy from Hold on view valuations attractive after recent price weakness, says Dow Jones.
Cambridge Industrial Trust (J91U.SG) trims loss, last flat at 50.5 cents vs 50 cents in early trade, but still consolidating in tight 49.5–51 cents band of past 8 sessions, says Dow Jones.
DBS Vickers Securities has downgraded Ezra Holdings (5DN.SG) to “hold” from “buy”, trimming its target price to $2.62 from $2.75 after lowering fiscal FY10 net profit forecast by 14% to reflect lower fiscal 2Q10 earnings, according to Dow Jones.
Singapore shares ended flat Friday as a late fall in DBS Group Holdings’ share price after the resignation of its chairman offset earlier gains made on strengthening convictions that US interest rates will stay lower for longer.
The benchmark Straits Times Index ended up a mere 1.76 points at 2,915.70, with 1.05 billion shares changing hands, the lowest volume this week and down from 1.32 billion shares Thursday. In the broader market, gainers outnumbered losers 235 to 227.
Royal Bank of Scotland has downgraded StarHub (CC3.SG) to “hold” from “buy” saying the new government ruling that pay-TV operators will be required to cross-carry each other’s content ends telco firm’s content exclusivity, reported Dow Jones Newswires.
“This will reduce StarHub’s current competitive advantage in pay-TV; the key to StarHub’s pay-TV market share dominance lies with its exclusive content.”
Goldman Sachs has upgraded Yanlord Land (Z25.SG) to “buy” from “neutral”, citing favorable risk-reward profile after recent sharp price fall on concerns over impact of China’s tightening measures on high-end developer’s sales.
The investment bank notes stock has corrected by 17% vs 8% fall by HK-listed China developers in past month.
