Key Indices
Top Stories
Strategy | Alpha Picks: Weathering A Hawkish October
- November’s Alpha Picks portfolio is reduced to 12 names. We add YZJSGD for its contract wins and capacity expansion, and remove KEP and OCBC on moderating earnings momentum. Amid the broad market weakness on the Fed’s tightening and geopolitical uncertainties arising from a potential escalation in the Middle Eastern conflict, October’s portfolio fell 6.7%, 7.5% and 5.7% mom on a market cap-weighted, price-weighted and equalweighted basis respectively, slightly underperforming the FSSTI’s 5.3% decline. CICT and FEH were the only positive contributors.
Company Results | Lendlease Global Commercial REIT (LREIT SP/BUY/S$0.555/Target: S$0.80)
- LREIT delivered a strong retail performance in 1QFY27, with rental reversion of 10.0% and like-for-like tenant sales growth of 8.1% yoy. Occupancy at PLQ Mall temporarily dipped 2.3ppt qoq to 94% due to the ongoing AEI. Management continues to pursue potential acquisitions in Singapore and the divestment of Building 3 in Milan. LREIT provides an attractive FY27 DPU yield of 6.6%. Maintain BUY. Target price: S$0.80.
Market Spotlight
- US stocks were mixed on Monday. Dow Jones rose while S&P 500 and Nasdaq fell as the energy, information technology and communication services sectors fell. There were more decliners than advancers on NASDAQ.
- The FSSTI fell 72.91 points to 5,303.83, on the back of weakness in DBS, Singtel and OCBC Bank, with mid-cap indices falling and small-cap indices rising with a broad market decline on a S$2.39b turnover.
Technical Analysis
Frasers Centrepoint Trust | FCT SP
Trading Buy Range: S$2.10-2.11
Singapore Airlines | SIA SP
Trading Buy Range: S$6.76-6.77
Top Stories
Strategy | Alpha Picks: Weathering A Hawkish October
- November’s Alpha Picks portfolio is reduced to 12 names. We add YZJSGD for its contract wins and capacity expansion, and remove KEP and OCBC on moderating earnings momentum. Amid the broad market weakness on the Fed’s tightening and geopolitical uncertainties arising from a potential escalation in the Middle Eastern conflict, October’s portfolio fell 6.7%, 7.5% and 5.7% mom on a market cap-weighted, price-weighted and equalweighted basis respectively, slightly underperforming the FSSTI’s 5.3% decline. CICT and FEH were the only positive contributors.
Company Results | Lendlease Global Commercial REIT (LREIT SP/BUY/S$0.555/Target: S$0.80)
- LREIT delivered a strong retail performance in 1QFY27, with rental reversion of 10.0% and like-for-like tenant sales growth of 8.1% yoy. Occupancy at PLQ Mall temporarily dipped 2.3ppt qoq to 94% due to the ongoing AEI. Management continues to pursue potential acquisitions in Singapore and the divestment of Building 3 in Milan. LREIT provides an attractive FY27 DPU yield of 6.6%. Maintain BUY. Target price: S$0.80.
Market Spotlight
- US stocks were mixed on Monday. Dow Jones rose while S&P 500 and Nasdaq fell as the energy, information technology and communication services sectors fell. There were more decliners than advancers on NASDAQ.
- The FSSTI fell 72.91 points to 5,303.83, on the back of weakness in DBS, Singtel and OCBC Bank, with mid-cap indices falling and small-cap indices rising with a broad market decline on a S$2.39b turnover.
Technical Analysis
Frasers Centrepoint Trust | FCT SP
Trading Buy Range: S$2.10-2.11
Singapore Airlines | SIA SP
Trading Buy Range: S$6.76-6.77
Key Indices
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