AEM

• DBS: BUY | TP SGD4.60 (raised from SGD3.30) — Benefitting from AI tailwinds and new customer traction; growth expected from hyperscaler and Intel Foundry Services opportunities. Risks: new customer ramp delays and high dependence on AI spending.

UMS

• DBS: BUY | TP SGD1.83 — Pure semiconductor play with strong demand visibility; second Malaysia plant in production. Risks: heavy reliance on Applied Materials and potential ramp delays.

Frencken Group

• DBS: BUY | TP SGD2.50 — Constructive earnings outlook with semiconductor momentum and automotive radar antenna growth. Risks: exposure to global markets, tariffs, and geopolitical risks.

iFAST Corporation

• DBS: BUY | TP SGD12.15 — Strong AUA growth, steady net inflows, and e-pension monetization. Risks: regulatory changes, market sentiment, e-pension ramp delays.

Venture, Valuetronics, Aztech

• DBS: — Defensive tech plays with strong net cash positions and attractive dividend yields; seen as value and yield plays.

Q&M Dental Group

• KGI Securities: OUTPERFORM | TP S\$0.65 (raised from S\$0.35) — Well-funded with active regional M&A pipelines; core Singapore dental revenue growth. Risks include higher capital deployment and integration execution.

Hongkong Land

• Lim & Tan Securities: ACCUMULATE ON WEAKNESS — Acquired 10.8% stake in Suntec REIT to strengthen presence in Singapore’s commercial sector. Catalysts include asset optimization and capital efficiency.

Suntec REIT

• Lim & Tan Securities: ACCUMULATE ON WEAKNESS | TP S\$1.48 — Supported by Hongkong Land’s stake acquisition; trades at discount to NAV with 5.8% yield. Catalysts include asset optimization and capital efficiency.

Marco Polo Marine

• Maybank Research: BUY — Secured SGD118 million 15-year towage and salvage contract in Taiwan; insider share purchase signals confidence. Catalysts include contract revenue visibility.

Cosco Shipping International

• Maybank Research: — Construction progress for JILH Phase II with minimal operational disruption; active vendor coordination to maintain schedule.

Choo Chiang Holdings

• Maybank Research: — Applied to transfer listing from Catalist to SGX Mainboard to enhance investor interest and liquidity; pending approvals.

Geo Energy Resources Ltd

• KGI Securities: OUTPERFORM | TP S\$1.02 — Transitioning to integrated infrastructure-led energy platform; coal price recovery and MBJ infrastructure ramp-up support margin expansion and earnings growth. Risks: coal price volatility, regulatory changes, project execution.

iFAST Group

• KGI Securities: ENTRY PRICE S\$8.5 | TARGET S\$10.5 | STOP LOSS S\$7.5 — Recurring fee growth and banking business profitability drive revaluation. Risks include capital deployment returns and integration execution.

SGX

• KGI Securities: BUY | TP S\$24 | ENTRY S\$18 | STOP LOSS S\$15 — Strategic focus on volatility monetisation through new Asian government bond futures and regulated Bitcoin and Ether perpetual futures for institutional investors. Dividend compounding supports growth. Catalysts include product launches and rising derivatives volumes.

Addvalue Technologies

• Maybank Research: BUY | TP SGD0.12 — Exploring potential US spin-off listing for IDRS business targeting USD200-300 million valuation; record orderbook at USD26.4m and ramping production capacity. Key catalysts include new contract wins, strategic collaborations, and government missions. Risks: customer concentration, working capital needs, project execution challenges.

AIA Group

• UOB Kay Hian: BUY | TP HK\$109.00 — Strong 2025 results with 17% VONB growth and robust shareholder returns; growth driven by Hong Kong and Mainland China markets. Catalysts include sustained momentum in key markets and disciplined asset management. Risks include softer sales in Thailand and economic slowdown.

AAC Technologies

• UOB Kay Hian: BUY | TP HK\$41.00 — Delivered strong 2H25 results; growth driven by premium smartphones, automotive wins, and AI server cooling business. Catalysts include exposure to Apple supply chain and ongoing specification upgrades. Risks include pricing pressure and margin moderation.

Alibaba Group

• UOB Kay Hian: BUY | TP HK\$83 (implied from segment valuation) — Despite 3QFY26 earnings miss and margin pressure, bullish on AI and cloud revenue growth targeting US\$100 billion by 2031. Catalysts include cloud hyperscaler growth, self-sufficient chip development, and AI integration. Risks: margin compression and slower commerce growth.

Crystal International

• CGS International: BUY | TP HK\$7.84 — Positioned for margin recovery and growth via expansion into Egypt, automation, and vertical integration. Catalysts include capacity ramp-up in Egypt and increasing DPS. Risks include efficiency challenges and high 2024 base.

Delfi Ltd

• CGS International: HOLD | TP S\$0.91 — Margin recovery expected from 2H26 as high-cost cocoa inventory rolls off; marketing spend to gain market share in Indonesia and Philippines. Catalysts: special dividends, margin recovery. Risks include forex translation, economic slowdown, and contingent liabilities.

Horizon Robotics

• UOB Kay Hian: BUY | TP HK\$8.55 (down from HK\$8.88) — Strong 2025 revenue growth with expanded market leadership in ADAS and autonomous driving; breakeven expected 2028. Catalysts include new product launches and overseas expansion. Risks: widening net loss due to R&D push, lower gross margins.

LHN Ltd

• UOB Kay Hian: BUY | TP S\$0.71 (lowered from S\$0.84) — Transitioning to asset-light model with resilient occupancy and capital recycling; trading at significant discount to peers. Catalysts include successful capital recycling and higher dividends. Risks: execution risk in asset-light transformation.

Malaysia Banks Sector

• CGS International: OVERWEIGHT — Minimal earnings impact from geopolitical tensions; attractive dividend yields and low earnings risk. Top picks: AMMB Holdings (ADD, TP RM8.00), Maybank (ADD, TP RM15.00), RHB Bank (ADD, TP RM10.30). Catalysts include dividend payout increases, NIM expansion, and cost efficiencies. Risks: potential OPR cuts, credit cost rises, economic slowdown.

Marco Polo Marine

• Maybank Research: BUY — Secured SGD118 million 15-year towage and salvage contract in Taiwan; insider share purchase signals confidence. Catalysts include contract revenue visibility. No explicit risks noted.

Q&M Dental Group

• KGI Securities: OUTPERFORM | TP S\$0.65 (raised from S\$0.35) — Strong cash position with active regional M&A pipelines; core Singapore dental revenue growth. Catalysts include disciplined capital deployment and regional expansion. Risks: higher capital deployment expectations and integration execution.

Suntec REIT

• Lim & Tan Securities: ACCUMULATE ON WEAKNESS | TP S\$1.48 — Supported by Hongkong Land’s 10.8% stake acquisition; trades at discount to NAV with 5.8% yield. Catalysts include asset optimization and capital efficiency. Risks not explicitly stated.

Tencent

• UOB Kay Hian: — Shares dropped on signaled scale-back of buybacks and increased AI spending; concerns over profitability and margins amid heavy AI investment. No rating or TP provided.

UOB

• Lim & Tan Securities: ACCUMULATE ON WEAKNESS | TP S\$39 — Prioritizing diversified, fee-driven revenue mix with growth anchored in ASEAN expansion. Dividend yield 4.2%. Catalysts include sustainable financing growth and regional scale. Risks include softer earnings amid macro challenges.

U.S. stocks fell for a second straight day, though they recovered from deeper losses as investors tracked developments in the Iran war. The S&P 500 (-0.27%), Nasdaq (-0.28%), and Dow (-0.44%) all closed lower.

Oil prices were volatile: U.S. crude dipped slightly, while Brent hit its highest level since 2022. Prices eased after comments suggesting the Strait of Hormuz could reopen, but remain elevated due to ongoing conflict.

The Iran conflict continues to drive market uncertainty, especially with disrupted shipping through the Strait of Hormuz and attacks on energy infrastructure.

Other highlights: tech stock weakness (e.g., Micron), unusual rise in both U.S. dollar and Treasury yields, and retail investors shifting from gold into silver.

Stock futures rose slightly (Dow +0.2%, S&P 500 +0.3%, Nasdaq +0.2%) after comments from Israel’s prime minister suggested the U.S.–Iran conflict may ease sooner than feared.

Notable stock movers: FedEx (+9%), Planet Labs (+19%), Firefly Aerospace (+8%), and Scholastic (+9%) after strong earnings results.

The materials sector, previously one of the U.S. stock market’s top performers in 2026, has become the hardest hit since the start of the Iran war, with the S&P 500 Materials Index down about 10%. Many companies—such as PPG Industries, International Paper, and Vulcan Materials—have dropped sharply as oil prices surged nearly 50%, raising production costs and squeezing profit margins.

The spike in oil, driven by disruptions in the Strait of Hormuz, is also fueling inflation concerns and weakening demand, as higher energy costs may reduce consumer and business spending. Metals stocks, despite typically benefiting from geopolitical tensions, have also declined after a strong prior run and pressure from a stronger U.S. dollar.

However, not all companies are suffering—some petrochemical and fertilizer firms have gained significantly due to supply constraints in the Middle East. Despite the recent downturn, the sector remains up for the year overall, though analysts warn that prolonged conflict could further erode market confidence.

Choo Chiang applies to move listing from Catalist to Mainboard

Hongkong Land acquires 10.8% stake in Suntec Reit for S$541 million

United Overseas Bank (UOB) is doubling down on its long-term growth strategy in ASEAN, aiming to strengthen its position as a leading trade bank while expanding its consumer business and delivering sustainable returns. CEO Wee Ee Cheong highlighted strong momentum, with trade loans rising 26% in 2025, and pointed to major regional trends—such as rising wealth, ageing populations, and deeper integration—that are expected to drive demand for advanced banking services.

ASEAN’s economic outlook remains strong, with projections to become the world’s fourth-largest economic bloc by 2030, alongside rising foreign investment and trade flows. UOB believes it is well positioned to capture this growth through its regional network, technology investments, and cross-border capabilities.

Rising geopolitical tensions in the Middle East are prompting ultra-wealthy investors to gradually diversify their assets, with Singapore emerging as a key destination for potential inflows. While not a mass exodus, wealth managers expect a steady “trickle” of capital from Gulf family offices seeking stability, as prolonged conflict may increase the perceived risk of holding assets in the region.

Singapore is well positioned to benefit due to its reputation as a safe, neutral financial hub with strong regulation and a mature wealth management ecosystem. Many ultra-high-net-worth families already follow a “diversified domicile” strategy, and current conditions may shift more capital toward Asia.

This trend could boost Singapore’s major banks—DBS, OCBC, and UOB—as even small reallocations from the Gulf’s vast wealth pool could significantly increase assets under management. While global players like Swiss banks remain dominant, Singapore’s lenders stand to gain from rising demand for private banking and wealth management services, especially as they look to grow fee-based income.

UI Boustead REIT’s market debut was overshadowed by worsening global conditions, particularly the Iran war, which has pushed oil prices sharply higher and raised concerns about inflation and interest rates. As a result, the REIT’s units fell more than 8% on their first trading day, reflecting weak investor sentiment toward interest rate-sensitive assets.

Rising rates are a key challenge for REITs, as they increase borrowing costs and pressure property valuations, making the sector less attractive. This comes after a period of underperformance, with REITs lagging broader equities since the pandemic, while stocks have benefited from higher rates and strong corporate earnings.

Although UI Boustead REIT offers an attractive yield and may present short-term opportunities, the long-term outlook for REITs remains uncertain in a higher-rate environment. Investors may need to be more selective, as performance across REITs has become increasingly uneven, and equities could continue to outperform.

Hong Kong markets fell broadly: the Hang Seng Index dropped 2%, the Hang Seng China Enterprises Index fell 1.6%, and the Hang Seng TECH Index declined 2.2%, with high trading turnover.

Alibaba targets US$100 bil of AI revenue in five years

BABA-W 3FQ Non-GAAP NP Slides 67.3% to RMB16.71B, Way Below Forecast; US Shrs Slip 4.6% Pre-mkt

Xiaomi-W rose 3.4% after launching its MiMo-V2-Pro AI model, outperforming a weak tech sector. Most AI-related stocks fell sharply, with several dropping 5–14%.

Semiconductor and tech hardware stocks, including SMIC, declined, along with fiber optics and power equipment shares.

Auto stocks were mixed: BYD Company edged up slightly, while Chery Auto jumped after announcing investment in nuclear fusion technology.

Energy stocks gained as oil prices rose, benefiting PetroChina and CNOOC, while oil equipment shares surged.

Gold miners and broader resource stocks dropped significantly (often 5–10%+), pressured by reduced expectations of U.S. rate cuts, with declines also extending to metals and mining companies.

ZA ONLINE Full-yr NP RMB1.1B, Up 82%+; Adj. NP Surges 1.98x; ZA Bank Posts 1st Annual Profit

BOC AVIATION Annual NP US$787M, Down 14.8%; Final DPS US30.61 Cents

STELLA HOLDINGS Full-Yr NP US$138M, Down 19.3%; Final & Spec. DPS Total HK93 Cents

MGM CHINA Annual NP $5.075B, Up 10.2%; Final DPS Hikes to 35.3 Cents

CKA Full-Yr NP $10.847B, Down 20.6%; Final DPS $1.39
2026/03/19 16:52 GMT+08Recommend11Positive23Negative18

CKH Reports 7.1% YoY Hike in Underlying Earnings to HKD22.31B Last Yr; Final DPS Adds to HKD1.602

Tencent’s shares dropped sharply after the company signaled it will scale back share buybacks and significantly increase spending on AI—raising concerns about profitability and margins. While revenue and earnings grew solidly, investors were disappointed by the lack of clear plans on how Tencent will generate returns from its heavy AI investments, expected to exceed CNY36 billion in 2026.

Ant Group’s quarterly profit plunged 91% as heavy spending on AI and healthcare initiatives, along with losses from certain investments, weighed on earnings. The company contributed about CNY393 million in profit to Alibaba, implying total quarterly earnings of շուրջ CNY1.2 billion.