Markets hit by selling pressure. Is it time to BUY? (23 Oct 23)

October 23, 2023 el15

Dear all It has been some time since I last wrote an article on market outlook. I have been extremely busy for the past three months where I have been meeting companies and other associates. (Check out my LinkedIn HERE). I have also just arranged an exclusive meetup with Lendlease Reit Manager CEO, Kelvin Chow and Head of Investor Relations, Ling Bee Lin with my clients last Friday. (Click HERE). As of last Friday, Lendlease Reit’s market capitalisation is around S$1.16b. With reference to Chart 1 below, October continues to see the third monthly outflows of funds from China equity markets. […]

Genting Singapore, touted as a recovery play, trades near eight-month low price! (5 Aug 23)

August 5, 2023 el15

Dear all Recently, Genting Singapore, a supposedly recovery play, closed at a near eight-month low price. It caught my attention especially after Las Vegas Sands (LVS) reported results on 19 Jul 2023. LVS reported a good set of results and indicated that there is scope for further improvement, as China tourists have not come back in full force yet. While the details (such as VIP volume growth and win percentage) may differ markedly from LVS (i.e., Marina Bay Sands) and Genting Singapore, generally speaking, the good set of results in MBS increases the chance that Genting Singapore may report similar […]

Fig 1_Lendlease reit average analyst target

Two charts – Lendlease Reit and Manulife US Reit caught my attention (11 Jul 23)

July 11, 2023 el15

Dear all, Based on my personal reading, since a couple of months ago, investor interest seems to be gradually rotating back into the reit sector. Several reits have caught my attention. For this write-up, I will focus on Lendlease Reit and Manulife US Reit. 1) Lendlease Reit closed $0.660 With reference to my write-up on Lendlease Reit dated 3 Jul 2023 (click HERE), I have compiled my key takeaways from my 1-1 meeting with Lendlease Reit’s management and from what I gather from the various analyst reports and my other readings into this write-up. As such, I will not be […]

Figure 1_Analyst target price for Comfort Delgro 8 Jun 23

Comfort Delgro closed at $1.03, lowest last seen on 18 Mar 2004! (9 Jun 23)

June 9, 2023 el15

Dear all Comfort Delgro (“CD”) closed at $1.03 today. Based on Bloomberg, this was the lowest close last seen on 18 Mar 2004. The main reason cited for this recent drop was that Citi has reduced its target price for CD from $1.63 (26 Feb 2023) to $1.32 (2 Jun 2023). Nevertheless, they maintained their buy call. Is it all doom and gloom? Should we throw in the towel and just give up on CD? Personally, I find CD interesting at current levels. Before I delve into it, just for record purpose, I have a previous article on CD published […]

S&P500 hits the highest last seen in Aug 2022! Should we buy, hold or sell? (3 Jun 23)

June 3, 2023 el15

Dear all First of all, apologies for the hiatus in posting new market outlook on my blog. I have been extremely busy for the past three months. My clients can attest to how busy I have been. I have been sending out my market views and news even on weekends and on public holidays. 😊 With reference to my previous writeup published on 26 Feb 2023 (click HERE), I mentioned that I planned to pare positions so that I can accumulate on weakness. In retrospect, it was a timely call. I was fortunate that I have pared my positions so […]

Raffles Medical – Potential trading play as its results are just around the corner (20 Feb 23)

February 20, 2023 el15

Dear all, Raffles Medical caught my attention recently as CLSA raised its target price from $1.70 to $1.92 on 8 Feb 23. $1.92 is a street high target with most analysts’ target price ranging between $1.58 – 1.65. Raffles Medical closed down 1 cent to $1.45 last Fri. Based on my personal view and observation, generally speaking, analysts seldom issue updated call so near to the company’s results release date. I mean there is usually no such urgency to do so, unless they have a significant change in view on the company. For those analysts who do, their calls are […]

Figure 1_Comfort Delgro analyst target price 19 Jan 23

Comfort Delgro sinks to 14-year low! Will it go lower? (19 Jan 2023)

January 19, 2023 el15

Dear all On 11 Jan, Comfort (CD) closed at $1.21, the lowest close since 31 Oct 2008. The next day, to the horror of CD’s shareholders, it broke $1.21 with volume expansion and closed at $1.18. At the time of this write-up, CD closed today at $1.14, the lowest close last seen 29 Oct 2008. Will CD fall more? Or will this be a comfortable trade at current level? Let’s read on for more. Possible reasons to be bullish A) Still a recovery play CD with its operations in Australia, China, Singapore, UK etc. should gradually benefit as economies […]

SGX drops for 12th consecutive day, longest losing streak since IPO! (20 Oct 22)

October 20, 2022 el15

Dear all, Since 4 Oct 2022, SGX has fallen for 12 consecutive sessions, logging its longest losing streak since IPO in 2000! Over the past 12 sessions, SGX has lost a total of 12.5%, or $1.19 to close at $8.33 on 20 Oct 2022. It is noteworthy that STI has only fallen 3.7% over the same period. In addition, SGX’s RSI closed 13.3, the lowest since 2008! The below is a sample of a stock alert / observation which I typically send to my clients on a regular basis. Readers who are interested can consider signing up at http://ernest15percent.com. […]

3 stocks, Comfort Delgro, Thai Bev and Wilmar trade at attractive valuations (11 Oct 22)

October 11, 2022 el15

Dear all Yesterday, Comfort Delgro, Thai Bev and Wilmar closed at $1.25; $0.565 and $3.64 respectively. Personally, they look interesting on several aspects. At $1.25, Comfort Delgro trades at levels last seen in 2011 and 2009! At $0.565, Thai Bev sits on a long term uptrend line established since 2009! At $3.64, Wilmar trades at approximately 2.2x and 3.0x standard deviations below its 10Y average PE and P/BV of around 13.8x and 1.1x respectively! Read on for more. *Comfort Delgro* I have previously published a write-up on Comfort Delgro. Readers can refer to my write-up HERE for more information […]

Figure 1_Comfort Delgro analyst target price 30 Sep 22

Comfort Delgro drops back to pandemic lows! What gives? (30 Sep 22)

October 2, 2022 el15

On 1 Sep, it was announced that Comfort Delgro (“CD”) will drop out of STI after being first included in the STI on 28 Jul 2010. Subsequently, there was turmoil in United Kingdom (“UK”) gilts and currency as UK government led by Prime Minister Liz Truss unveiled a (surprisingly) GBP45b plan to reduce taxes (click HERE for more information). Although CD may see some near-term price weakness, at Friday’s close of $1.32 (CD touched an intraday low $1.29 at the point of writing this), I personally believe most of the negatives may have already been priced in. Why am I […]