Daily Focus Singapore Stock Pulse Refer to important disclosures at the end of each report DBS Equity Research 5 Mar 2020 Market Cap: US$37,268m | Average Daily Value: US$70.43m Yeo Kee Yan, CMT
[email protected] Singapore Research Team Last Traded Price: S$29.99; Price Target: S$33.20 (Upside 10.7%) Sue LinResearch LIM / Rui WenCall LIMAlert • Singapore Strategy: The only thing to fear is fear itself Strong 1Q18; keep watch on dividends ahead • Trending Sectors: Singapore Banks: Further NIM pressures • • Trending1Q18 earnings Sectors: wereSingapore in line; Property: topline Three driven GLS largelysites attracted from higher collective NI M;bids lower of S$686m trading gains• offsetStock someto Wa tch:revenues SingTel: Negatives are priced in at 22% HoldCo. Discount • DBS Equity Picks: Remove UOB from Blue Chips category • Credit costs at new low of 23bps, guidance at 20-25bps possibly towards the lower end; still some buffers noted under the Expected Credit Losses line for other assets Market View Update • Positive outlook ahead, topline growth supported by lower credit costs; dividends The only thing to fear is fear itself shouldCovid be- 19sustainable playbook – at 5 stagesS$1.00 of percoronavirus year and experience could head higher Relieve or Complacency Fear Anger Recovery • Maintain BUY; TP at S$33.20 (1.5x FY18 BV); higherAcceptance dividends and lower credit •Current examples: •Current examples: •Current example: •Current example: Germany, Bahrain, Italy, South Korea, Singapore China costs are upside risks Kuwait, Australia, Japan •Outperformers: •Outperformers: US •Outperformers: Suburban malls, Manufacturing, •Outperformers: Medical supplies, F&B, e-commerce domestic consumer Medical supplies, pharmaceuticals, and internet services, domestic Read more..DBS Grouppharmaceuticals, Research.