Beng Kuang Marine (BKM SP)
UOBKH: BUY | TP S$0.64 — Initiating coverage; BKM is a market leader in corrosion prevention services, well-positioned to capture strong FPSO repair demand from an ageing global fleet, with material earnings accretion expected from full consolidation of ASOM (49% minority stake acquisition for S$60m), driving a potential fourfold earnings jump to S$20m by 2027 vs S$5m in 2025.
Catalysts: Completion of ASOM acquisition (expected by end-Jun 26) triggering full revenue and earnings consolidation; winning of high-value FPSO life extension contracts; pending West Africa lifecycle mandate renewals not yet in orderbook.
Risks: Offshore energy and marine industry cyclicality; revenue concentration in infrastructure engineering segment; project execution risks; integration risks from ASOM acquisition; exposure to oil price and capex cycle downturns.
Lim & Tan Securities: BUY | TP S$0.59 — Positive on BKM following the entry into a Shareholders’ Agreement with Epsilon Navigation to jointly own and operate a ballast barge via a 50/50 SPV (Offshore Collective Pte. Ltd.), reinforcing growth in its Infrastructure Engineering division. Recent acquisition of the remaining stake in ASOM effectively converts cash holdings into earnings-accretive assets, while the new JV structure is expected to positively impact EPS and NTA per share for FY2026. Consensus TP of S$0.59 represents 20.4% upside from current price of S$0.49. Market cap S$110m; trades at 15x forward PE, 3.9x PB, 1.2% dividend yield. Catalysts: continued IE division order book growth (NEI shipbuilding order book ~S$15.8m as at 31 March 2026), earnings accretion from ASOM acquisition. Risks: Middle East geopolitical uncertainty impacting offshore marine sentiment; headline-driven volatility.
CapitaLand China Trust (CLCT SP)
OCBC: HOLD | TP SGD 0.655 — Yield is supportive at current levels; limited near-term re-rating catalysts.
CapitaLand Investment (CLI)
Lim & Tan: Accumulate | TP S$3.50 — Turnaround story supported by constructive China property policy measures and robust Southeast Asia exposure benefitting from geopolitical flight to safety. Ascott recorded 55% growth in SEA signings in 2025, with 25+ new properties expected to open within 12 months. Catalysts include continued China market recovery and SEA hospitality expansion. At S$2.85, consensus TP implies 23% upside. Trades at 23x forward PE, 4.3% yield, 1.1x book.
Centurion Corporation
Lim & Tan: Accumulate | TP S$1.83 — Acquisition of Velocity Village key worker accommodation in Karratha, Western Australia marks entry into a new KWA segment; asset is earnings accretive upon completion. Post-CAREIT spin-off, Centurion holds a stronger, more flexible balance sheet well-positioned for growth. Catalysts include further KWA acquisitions across Australia and other markets, regular 2-cent dividend plus ~10-cent dividend-in-specie from CAREIT spin-off in May 2026. Consensus TP of S$1.83 represents 8.9% upside from S$1.68.
China Aviation Oil (CAO SP)
OCBC: BUY | TP SGD 2.48 — Strong growth outlook with significant upside from current price levels; beneficiary of aviation sector recovery.
City Developments (CDL)
DBS: Raise Exposure | SGD8.39 entry — Increasing position by 1,000 shares (total 5,300 shares at amalgamated price ~SGD8.97). Stock trades at a steep ~55% discount to RNAV versus peer UOL’s ~40% discount, offering valuation catch-up potential. Catalyst: Strategic review update expected by June. Shares go ex-dividend of SGD25cts (~3% yield support) end of month, underpinning SGD8.20–8.30 support level.
DFI Retail Group (DFI SP)
CGS: ADD | TP US$5.50 — Strong 1Q26 underlying net profit growth of 49% yoy ahead of expectations, with FY26 guidance reaffirmed (US$270m–300m underlying net profit, 2–3% organic revenue growth, 70% dividend payout), underpinned by broad-based LFL sales growth of 3% and resilient operating margins across most segments. Valuation based on 22.5x FY27F P/E (~2 s.d. above 5-year mean).
Catalysts: Accretive M&A, faster store openings.
Risks: Prolonged macroeconomic weakness, competition hurting margins (particularly H&B in Malaysia), potential ParknShop acquisition at unfavourable valuation.
DBS Group
DBS: NR — No rating assigned. DBS previously guided for mid-teens wealth management growth and group net interest income slightly below 2025 levels, with full-year impact of lower rates mitigated by deposit growth.
Catalysts: Strong wealth management inflows (FY25 NNM SGD 39bn, +22% y/y); trading income recovery from low 4Q25 base; deposit growth supporting NII deployment into HQLAs.
Delfi
DBS: Less Preferred — FY26 earnings growth seen constrained by: (1) cocoa cost relief taking longer to flow through to reported financials; (2) weaker Indonesian consumer confidence following fuel price hikes weighing on discretionary chocolate demand; (3) current valuations at 14.4x FY27 earnings (+1.5SD above historical average of 11.4x) considered relatively unattractive. Risk: single-market exposure to Indonesia limits upside versus global peers.
First REIT (FIRT SP)
OCBC: HOLD | TP SGD 0.245 — Proposed exit from Indonesia warrants monitoring; limited upside at current levels.
Frasers Centrepoint Trust (FCT SP)
DBS: BUY | TP SGD 2.75 — Neutral on the White Sands divestment (rumoured >SGD470m sale at ~4.5% exit yield, ~9% premium to last valuation); views it as a timely exit from a challenged micro-market with weak connectivity and rising competition in Pasir Ris. Divestment reduces gearing from ~40% to 35% but is dilutive to DPUs near-term. Catalysts include redeployment of proceeds into AEIs at core assets (Causeway Point) or participation in sponsor-led redevelopment projects (The Centrepoint). Key risks include DPU dilution if proceeds are not redeployed efficiently and continued competitive pressure at remaining suburban assets.
Hong Kong Exchanges and Clearing (388 HK)
UOBKH: BUY | TP HK$545.00 — Expects 12% yoy earnings growth in 1Q26 driven by strong headline ADT, a red-hot IPO market, and solid derivative and commodity trading volumes, partially offset by lower NII from declining HIBOR rates. Target price lowered from HK$552.00 reflecting earnings revision and higher cost of equity (9.0%). 2026F earnings cut by 3.6% incorporating 1Q26 market turnover data and trimmed ADT assumptions.
Catalysts: Declining HIBOR environment supporting market turnover; robust IPO pipeline exceeding 500 applicants; record derivative ADV of 2m contracts in Mar 26; strong Northbound ADT growth of 67% yoy; potential inclusion of REITs and RMB counters into Stock Connect; new listing framework enhancements.
Risks: Elevated energy costs and macro uncertainty; regulatory scrutiny; fund liquidation reducing NII.
Hong Leong Asia (HLA SP)
UOBKH: BUY | TP S$4.90 — Acquisition of Yong Tai Loong (YTL) at an attractive 4.3x PE is immediately earnings accretive, raising 2026–28F EPS by 6–15%; Singapore’s multi-year construction upcycle underpins durable revenue visibility.
HRnetGroup (HRNET SP)
Maybank: BUY | TP SGD 0.87 — Initiating coverage; one of Asia’s largest recruitment franchises trading at less than 9x FY26E ex-cash P/E, with SGD336m net cash representing ~45% of market cap creating a clear valuation disconnect versus regional peers.
ISOTeam (ISO SP)
Maybank: BUY | TP SGD 0.12 — Contract wins of SGD30.1m bring orderbook to SGD186.5m; stronger FY26E profitability expected with drone technology set to re-rate the stock.
CGS: ADD | TP S$0.11 — Recurring business model and profit/margin recovery intact; YTD order wins of S$100.2m at 80% of FY26F forecast.
Jiutian Chemical Group Ltd
CGS: Technical Buy | Entry: S$0.026–S$0.020 | TP1: S$0.046 | TP2: S$0.063 | TP3: S$0.080 | TP4: S$0.100 | Stop Loss: S$0.017 — Bullish rebound at bottom support.
Keppel DC REIT (KDCREIT SP)
OCBC: BUY | TP SGD 2.78 — A stellar start to FY26; strong operational performance supports conviction call.
Keppel REIT (KREIT SP)
DBS: BUY | TP S$1.05 — Strong 1Q26 results…
Maybank: HOLD | TP S$0.95 — 1Q26 distributable income rose 17.8% YoY…
UOBKH: BUY | TP S$1.13 — Resilient 1Q26 results…
Mondelez International
DBS: Favour | FY27F PE 17.1x — Preferred pick over Delfi…
Nam Cheong Limited (NCL SP)
CGS: ADD | TP S$1.92 — Capital recycling strategy gains momentum…
Nanofilm Technologies International (NANO SP)
OCBC: BUY | TP SGD 0.705 — Recovery in end-demand and new customer wins are key catalysts.
Nordic Group (NRD SP)
OCBC: BUY | TP SGD 0.60 — Solid contract wins to support growth momentum.
OCBC Bank / Oversea-Chinese Banking Corporation (OCBC SP)
DBS: BUY | TP SGD 25.50 — Confident in management’s execution…
DBS: BUY | TP SGD 25.50 — OCBC is the preferred Singapore bank pick…
Pacific Radiance Ltd
CGS: Technical Buy — Bullish uptrend resuming…
Reclaims Global (RGL SP)
UOBKH: BUY | TP S$0.27 — FY26 net profit beat forecasts…
Sea Ltd (SE US)
DBS: BUY | TP USD138 — Dominant e-commerce, gaming, and fintech player…
Sembcorp Industries
Lim & Tan: BUY — Bullish short-term outlook supported by MACD crossover…
Sheng Siong Group (SSG SP)
OCBC: HOLD | TP SGD 2.78 — Stable defensive profile.
Sing Investments & Finance Ltd
CGS: Technical Buy — Major uptrend intact…
ST Engineering (STE SP)
OCBC: BUY | TP SGD 12.50 — Strong orderbook and defence spending tailwinds.
Suntec REIT
DBS: Reduce Exposure | TP SGD1.60 — Trimming position…
Techtronic Industries (669 HK)
OCBC: BUY | TP HKD 150.00 — Strong brand and product pipeline.
Tencent Holdings (700 HK)
UOBKH: BUY | TP HK$728.00 — Resilient gaming growth…
UOB
DBS: HOLD | TP SGD 35.70 — Cautious stance due to asset quality concerns.
HRnetGroup Ltd
Action: BUY
Target Price (12-month): SGD 0.87 (20% upside from current price SGD 0.76)
Financial Strength: HRnet has a robust balance sheet with SGD336m in net cash (about 45% of market cap), allowing it to sustain a steady dividend yield (~6%) and high payout ratios (70–80%), while remaining profitable in 31 out of 33 years. Asset-light operations support strong free cash flow and low capex.
Valuation: The stock trades at less than 9x FY26E P/E (ex-cash), a discount to global peers. Balance sheet strength allows for M&A and further capital returns, enhancing upside potential. – Maybank
Centurion Corporation (SGX: OU8)
Action: Accumulate
Target Price: S\$1.83 (8.9% upside from current price S\$1.68)
Key Idea: Centurion announced the acquisition of an operational key worker accommodation asset in Karratha, Western Australia, expanding into a new specialised segment. The group is well-capitalised after the spin-off of Centurion Accommodation REIT (CAREIT) and plans to pay a special dividend-in-specie (~10 cents) in May 2026, in addition to its regular 2 cent dividend. The company is now leaner, more focused, and has a stronger balance sheet for new growth opportunities. – Limtan
CapitaLand Investment (CLI) (SGX: 9CI)
Action: Accumulate
Target Price: S\$3.50 (23% upside from current price S\$2.85)
Key Idea: Ascott (wholly owned by CLI) recorded strong growth in Southeast Asia, with over 7,300 units signed in 2025 (+55% YoY) and a robust pipeline. CLI’s strong exposure to Southeast Asia and recovery in China property market supports growth. CLI trades at 23x forward PE, 4.3% yield, and 1.1x book value.
Yangzijiang Maritime (YZJM) is accelerating capital deployment with the investment in 8 VLCC newbuild projects, and the sale of 4 MR tankers (delivery and recognition in 2027/28). This expands its newbuild pipeline to about 50 vessels, mostly tankers, improving earnings visibility and capital recycling.
Highlights:
VLCC newbuilds (c.319,000 DWT each) to be delivered 2028–2030, funded by a mix of equity and debt (up to 60%).
Sale of 4 MR tankers under construction could generate over USD 30mn in gains (recognized 2027–28), representing more than 10% of annual bottomline.
Deals are expected to support double-digit growth, offer a ~3% dividend yield, and raise ROE as cash is deployed into higher-return maritime investments.
Target Price based on 1.4x P/B.
Stock: Beng Kuang Marine (BKM SP)
Action: BUY
Target Price: S\$0.64 (implying 33.3% upside from S\$0.48)
Key Thesis: BKM is a market leader in corrosion prevention and offshore asset integrity services, well-positioned to benefit from strong global demand for FPSO (Floating Production, Storage, and Offloading) repair and life extension services due to an ageing global fleet.
Catalyst: Acquisition of the remaining 49% minority stake in Asian Sealand Offshore and Marine (ASOM) is expected to drive a three- to fourfold earnings jump by 2027 versus 2025, as BKM fully consolidates ASOM’s high-margin earnings.
Valuation: Initiate with BUY and a target price based on 12.1x 2027F PE, reflecting upside potential and a valuation discount to peers despite BKM’s market leadership and superior profitability.
Stock futures plunged Sunday night as U.S.-Iran tensions escalated following the U.S. Navy’s firing on and seizure of the Iranian-flagged cargo ship Touska in the Gulf of Oman, citing sanctions and prior illegal activity. Dow futures fell 425 points (0.9%), S&P 500 futures dropped 8%, and Nasdaq-100 futures also declined, while crude oil prices surged about 7%, with WTI at $90.33 and Brent at $96.88 per barrel. The escalation follows Iran’s rejection of a new round of U.S.-led peace talks in Pakistan, continuing restrictions on the Strait of Hormuz, and attacks on commercial vessels. President Trump threatened further strikes on Iran’s infrastructure and maintained the U.S. blockade of Iranian ports. Wall Street had previously rallied on strong corporate earnings and a temporary ceasefire between Iran and Lebanon, with the Nasdaq reaching its 13th consecutive winning session, a streak not seen since 1992. The situation leaves the prospects for renewed diplomatic talks uncertain and shipping through the strategic Strait of Hormuz under continued threat.
Toku, founded in 2018 by Thomas Laboulle, emerged from his observations of fragmented customer data and inefficient, siloed systems across industries, rather than a single breakthrough idea. Seeing a gap in Asia for locally tailored enterprise solutions, he built a platform that integrates telecommunications, messaging, and AI to unify customer interactions in real time. Today, Toku operates globally, helping businesses streamline operations, improve context-sharing, and boost productivity—sometimes by 30%—through AI-driven automation and insights like sentiment analysis. Despite growing adoption and revenue, the company remains loss-making as it prioritizes expansion and scale over short-term profitability. Laboulle emphasizes that strong market timing, rising demand for AI, and persistent execution position Toku to capitalize on a major opportunity, with the long-term goal of becoming a leading name in customer experience across Asia.
Coliwoo is planning significant expansion beyond Singapore, aiming to more than triple its room inventory to 10,000 by 2030 as it explores overseas markets with strong rental demand where co-living is more viable. While Singapore remains its core base—supported by high occupancy and a diverse tenant mix including students, professionals, and corporate clients—the company is targeting regions where renting is common and regulatory conditions favor co-living. Alongside expansion, Coliwoo is enhancing its properties and upgrading older assets to improve tenant retention and pricing power. Its parent company, LHN, is also diversifying into areas like self-storage, facilities management, eldercare, and energy solutions, leveraging Coliwoo’s successful spin-off and listing to pursue broader growth opportunities while continuing to invest in scale and capabilities.
Singapore’s S-Reits reporting season began with generally positive Q1 FY2026 updates from Alpha Integrated Reit, Keppel DC Reit, and Kore US Reit, all showing improvements in key operating and financial metrics. Alpha Integrated Reit reported higher occupancy, strong rental reversions, and improved financing costs, while Keppel DC Reit posted a 13.2% rise in distribution per unit driven by higher revenue and contributions from new assets, alongside stable occupancy and strong income visibility. Kore US Reit also saw modest income growth despite a slight dip in occupancy. Overall, more S-Reits are set to report results through mid-May. Despite earlier market volatility—an 8% drop in the iEdge S-Reit Index amid stagflation concerns linked to Middle East tensions—the sector has rebounded and remains fundamentally resilient, supported by stable balance sheets, hedged debt, and limited downside risk, though near-term sentiment may stay cautious.
Thnk you
