CGS International
Date of Report: September 17, 2025
Singapore Retail Outlook: Metro Holdings Double Bottom Signals Rebound, Modern Dental Group Expands in Southeast Asia
Market Overview: Investors Await Fed’s Next Move Amid Strong Consumer Sentiment
As Wall Street braces for the Federal Reserve’s imminent rate decision, traders are holding off on major bets, seeking clarity on the future path of interest rates that will influence markets in the months ahead. Recent data shows robust retail sales, with unadjusted purchases rising 0.6% in August after a similar gain in July. The control-group sales component, vital for GDP calculations, increased by 0.7%, indicating a healthy quarter for consumer spending.
Market reaction was subdued, with the S&P 500 slipping 0.1% and the Nasdaq 100 ending a nine-day rally. Treasuries strengthened, with the two-year yield dropping three basis points to 3.51%. The US dollar declined, while the euro reached its highest level since 2021.
Key Takeaways:
US retail sales remain strong, supporting economic resilience.
Investors expect the Fed to cut rates soon to support the labor market.
Positive consumer data may temper the pace of future rate cuts.
Equities hover near record highs, but gains have paused ahead of policy clarity.
Metro Holdings Ltd (SGX: M01): Technical Buy as Double Bottom Pattern Confirms Bullish Reversal
Company Overview
Metro Holdings Limited operates a diversified business spanning department stores, property development and investment, as well as building contract works and construction material distribution.
Technical Analysis: Bullish Momentum Builds
Metro Holdings’ share price has displayed a confirmed double bottom—a classic bullish reversal pattern—supported by a suite of technical indicators pointing to renewed upward momentum. The bullish pattern emerged after two consecutive strong bullish candles broke above the former resistance at S$0.48, which now serves as support.
Key Technical Highlights:
Double bottom reversal confirmed with a breakout above S$0.48 support.
Ichimoku Cloud: All components are trending higher, reinforcing bullish sentiment.
MACD: Both the signal and MACD lines are rising above zero, with a positive histogram.
Stochastic Oscillator: Trending steadily upwards.
23-period ROC: Positive, indicating increasing momentum.
Directional Movement Index: Signals robust bullish strength.
Volume: Expanding healthily, confirming buying interest.
Trade Parameters and Price Targets

Analyst Commentary:
Metro Holdings is technically poised for a sustained rally, underpinned by multiple bullish signals and healthy volume expansion. Investors are advised to monitor support at S$0.48 and S$0.41, with aggressive upside targets stretching from S$0.67 to S$1.10.
Modern Dental Group Ltd (HKG: 3600): Riding Growth in Southeast Asia
Company Profile
Modern Dental Group Ltd is an international dental prosthetics provider, with established operations in Europe and Australia. The company is pursuing further growth through strategic acquisitions and regional expansion.
Latest Outlook: Diversification and Expansion Drive Growth
Projected FY25F revenue growth of 12% year-on-year, with improvement in EBITDA margins.
The recent Hexa Ceram acquisition is expected to diversify the company’s global distribution network and significantly boost its presence in Southeast Asia.
The broker maintains an Add rating and has raised its target price to HK$6.88, based on a 10x FY26F price-to-earnings ratio.
Segment Revenue Contribution and Strategic Insights
Modern Dental’s expansion is fueled by:
Strong performance in Europe and Australia, driving margin improvement.
Strategic acquisition (Hexa Ceram) to penetrate the Southeast Asia market more deeply.

Investment Ratings and Coverage at a Glance
CGS International employs three core stock rating categories for its equity coverage:
Add: Expected total return exceeds 10% over the next 12 months.
Hold: Expected total return between 0% and +10%.
Reduce: Expected total return below 0%.
Current Research Coverage Distribution:

Conclusion: Key Opportunities in Singapore and Regional Plays
Metro Holdings Ltd is positioned for a technical breakout, supported by multiple bullish indicators and healthy volume.
Modern Dental Group Ltd is set to deliver double-digit revenue growth and margin improvement, underpinned by strategic expansion in Southeast Asia and a rising earnings base in Europe and Australia.
The market’s attention remains fixed on macro developments, particularly Fed policy actions and their impact on global equities and yield curves.
Investors are advised to keep a close watch on both technical signals and fundamental growth drivers in these highlighted stocks, as well as on broader market dynamics shaped by central bank decisions and consumer trends.