Excerpt from DBS report.

Report Summary

• DBS upgrades Genting Singapore to BUY with a target price of SGD0.90, highlighting near-term value unlock opportunities from its large net cash position and potential capital return initiatives.
• The report notes easing selling pressure after MSCI index removal, new leadership hires aimed at operational improvement, and a more optimistic gaming environment for 2026.
• DBS suggests either an Equal Access Offer or a special dividend as possible ways to distribute at least SGD1bn of excess cash, supporting both shareholder value and addressing the liquidity needs of the majority shareholder, Genting Berhad.
• Capex requirements through 2030 are considered manageable with operating cash flow, allowing for both capital returns and necessary investments.
• A progressive dividend policy and operational improvements could drive a re-rating, with the stock offering an attractive dividend yield and significant upside potential.