Broker: DBS Group Research
Date of Report: 30 April 2026
Excerpt from DBS Group Research report
Report Summary
- Stock Focus: Singapore Airlines Ltd (SIA)
- Ticker: SIA SP
- Actionable Insight: Maintain HOLD
- Target Price: SGD 6.50 (lowered from SGD 7.50)
- Key Idea: SIA remains best-positioned among APAC airlines due to its strong hub, dominant network, and exposure to transit and disrupted long-haul flows. However, unprecedented spike in jet fuel prices and limited fare hike pass-through will compress margins through FY27. Earnings estimates for FY27/28 lowered by 31%/21% respectively.
- Strategy Highlight: Investors are advised to adopt a long/short approach, favouring SIA for its network strength and premiumisation efforts, while shorting Chinese carriers due to structural disadvantages.
- Risks: Upside risks include stronger-than-expected passenger/cargo yields and quicker normalisation in fuel prices.
above is an excerpt from a report by DBS Group Research. Clients of DBS Group Research can be the first to access the full report from the DBS Group Research website :
https://www.dbs.com.sg
