Top Stories
Company Results | DFI Retail Group (DFI SP/BUY/US$3.58/Target: US$5.20)
Excluding DFI’s Singapore Food divestment, DFI’s 1H26 revenue of US$4.1b and PATMI of S$117.7m represent approximately 51% and 44% of our 2026 forecasts respectively. Continuing businesses remain resilient, with stronger LFL sales and underlying profit growth supported by an improving business mix. We maintain BUY with a lower US$5.20 target price, implying 45% upside at 24x 2027F PE.
Company Results | Keppel REIT (KREIT SP/BUY/S$0.915/Target: S$1.13)
KREIT achieved strong positive rental reversion of 12.8% in 1H25 (Singapore: 10%, Australia: >20%). Rent reversion should improve further in 2027. Management intends to utilise the proceeds from the divestment of KR Ginza II and T Tower to pare down debts and pursue unit buybacks. Maintain BUY. Target price: S$1.13.
Company Results | Mapletree Logistics Trust (MLT SP/HOLD/S$1.24/Target: S$1.29)
We observed broad-based moderation in rental reversion. Positive rental reversion eased to 2.3% in 1QFY27 (4QFY26: 4.2%), excluding China. Negative rental reversion in China moderated to 1.8%. Maintain HOLD on MLT for FY27 DPU yield of 5.6%. Target price: S$1.29.
Company Results | Singapore Airlines (SIA SP/HOLD/S$7.53/Target: S$6.71)
SIA’s 1QFY27 reported net loss of S$76m came in within our guided range; however, excluding a sizeable one-off accounting gain for Air India, SIA’s core earnings would have missed our expectations. We still expect SIA’s earnings to rebound in 2QFY27, driven by more effective fuel cost pass-throughs, but have cut our FY27-29 earnings forecasts for SIA by 11-13% as we finetune our fuel cost projections. Maintain HOLD with a lower target price of S$6.71.
Market Spotlight
- US stocks were lower on Wednesday, with all indices falling as the industrials, information technology and financials sectors slumped. There were more decliners than advancers on both the NYSE and NASDAQ.
- The FSSTI rose 97.08pt to 5,713.19, supported by strength in Singtel, Thai Beverage and DBS, with mid-cap indices rising while small-cap indices fell with a broad market advance on S$2.48 b turnover.
Technical Analysis
Oiltek International | OTEK SP
Trading sell range: S$1.58-1.59
Singapore Exchange | SGX SP
Trading sell range: S$23.97-23.98
Top Stories
Company Results | DFI Retail Group (DFI SP/BUY/US$3.58/Target: US$5.20)
Excluding DFI’s Singapore Food divestment, DFI’s 1H26 revenue of US$4.1b and PATMI of S$117.7m represent approximately 51% and 44% of our 2026 forecasts respectively. Continuing businesses remain resilient, with stronger LFL sales and underlying profit growth supported by an improving business mix. We maintain BUY with a lower US$5.20 target price, implying 45% upside at 24x 2027F PE.
Company Results | Keppel REIT (KREIT SP/BUY/S$0.915/Target: S$1.13)
KREIT achieved strong positive rental reversion of 12.8% in 1H25 (Singapore: 10%, Australia: >20%). Rent reversion should improve further in 2027. Management intends to utilise the proceeds from the divestment of KR Ginza II and T Tower to pare down debts and pursue unit buybacks. Maintain BUY. Target price: S$1.13.
Company Results | Mapletree Logistics Trust (MLT SP/HOLD/S$1.24/Target: S$1.29)
We observed broad-based moderation in rental reversion. Positive rental reversion eased to 2.3% in 1QFY27 (4QFY26: 4.2%), excluding China. Negative rental reversion in China moderated to 1.8%. Maintain HOLD on MLT for FY27 DPU yield of 5.6%. Target price: S$1.29.
Company Results | Singapore Airlines (SIA SP/HOLD/S$7.53/Target: S$6.71)
SIA’s 1QFY27 reported net loss of S$76m came in within our guided range; however, excluding a sizeable one-off accounting gain for Air India, SIA’s core earnings would have missed our expectations. We still expect SIA’s earnings to rebound in 2QFY27, driven by more effective fuel cost pass-throughs, but have cut our FY27-29 earnings forecasts for SIA by 11-13% as we finetune our fuel cost projections. Maintain HOLD with a lower target price of S$6.71.
Market Spotlight
- US stocks were lower on Wednesday, with all indices falling as the industrials, information technology and financials sectors slumped. There were more decliners than advancers on both the NYSE and NASDAQ.
- The FSSTI rose 97.08pt to 5,713.19, supported by strength in Singtel, Thai Beverage and DBS, with mid-cap indices rising while small-cap indices fell with a broad market advance on S$2.48 b turnover.
Technical Analysis
Oiltek International | OTEK SP
Trading sell range: S$1.58-1.59
Singapore Exchange | SGX SP
Trading sell range: S$23.97-23.98
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