CIMB | UOB KAYHIAN |
Yongnam Holdings Strutting turnaround
■ We initiate Yongnam with an Add and TP of S$0.53, based on 0.8x FY18 P/BV (10% discount to long-term average). Contract wins are the key catalysts for the stock. ■ Using existing capacity, Yongnam aims to tender for S$1.16bn worth of projects for 2017-18 award. This includes c.S$500m of struts projects for North-South Corridor. ■ As a steel provider for Singapore’s iconic projects, Yongnam sits on 208k tonnes of struts and steel plate assets worth S$242m (S$0.46/share) at end-FY16. ■ Yongnam is trading at 5x FY19 P/E and 0.5x FY18 P/BV, below its long-term average of 6x forward P/E and 0.9x P/BV. ■ Based on the projects in tender and a 50% hit rate, losses in FY17 could be reversed in FY18F to a net profit of S$10m. Earnings were c. SS$47m p.a in FY08-12.
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3Q17 Results Preview: Expect Stronger qoq And yoy Performance
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OCBC | |
Frasers Centrepoint Trust: Projecting another record DPU in FY18
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PHILLIP SECURITIES | |
Sing Investments & Finance Limited A Stellar Performance SINGAPORE | BANKING | 3Q17 RESULTS
3Q17 PATMI of S$5.164mn exceeded our estimate by 28.6%. The surprise came from a sharp increase in interest income and hiring charges after two quarters of decline. We raised our earnings forecast by 10%. Allowances for bad loans declined 45.6% YoY. Maintain “Accumulate” with a higher target price of S$1.725 (previous TP S$1.67) based on 0.8x FY18e P/BV as we roll over to FY18e valuations.
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