Broker: CGS International
Date of Report: June 5, 2026
Excerpt from CGS International report
Report Summary
- Stock: Pan-United Corp Ltd (PAN SP)
- Action: Add (Buy) – Reiterate Add rating
- Target Price: S\$1.85 (up from previous S\$1.55)
- Current Price (as of report): S\$1.47
- Key Idea: Pan-United’s margins are well protected due to variable/indexed pricing contracts, enabling the company to pass on cost increases to customers. The company’s strong net cash position (S\$93m forecast end-FY26) supports a high dividend payout (60% payout ratio), with expected 50% YoY DPS growth in FY26F. Pan-United is positioned to capture Singapore construction tailwinds, supported by strong RMC demand and its leadership in low-carbon/specialised concrete solutions.
- Actionable Insight: Investors are advised to Add (Buy) Pan-United Corp Ltd with a target price of S\$1.85, given its market leadership, robust balance sheet, strong growth in construction activity, and focus on sustainability.
- Risks: Main downside risks include counterparty credit risks and any slowdown in project offtake volumes that could negatively impact RMC sales and margins.
above is an excerpt from a report by CGS International. Clients of CGS International can be the first to access the full report from the CGS International website : https://www.cgs-cimb.com
