Broker Name: CGS International
Date of Report: April 22, 2025

Jardine Matheson and Wilmar International: In-Depth Analysis and Technical Outlook for Singapore’s Market Leaders

Market Recap: Global Volatility and Safe-Haven Surge

The global financial markets experienced heightened volatility as US assets witnessed a deep selloff, triggered by political uncertainty and investor concerns over the Federal Reserve’s independence. President Donald Trump’s criticism of Jerome Powell on social media intensified market unease. Major US indices, including the S&P 500, dropped over 2.5%, and the dollar index hit a 15-month low. The benchmark 10-year Treasury yield hovered near 4.4% as investors shifted toward safe-haven assets.

• Gold surged to a new record above \$3,400 an ounce.
• The Swiss franc appreciated more than 1% against the dollar.
• The US credit market weakened, as the cost of protecting high-grade credit against default climbed to its highest in over a week.
• Of three investment-grade companies considering bond sales, only American Express Co. proceeded, while two others stood down due to the adverse market environment.

Wilmar International: Growth in Limbo Amid Uncertainty

Wilmar International (WIL) delivered a better-than-expected first quarter in 2025. Net profit is estimated between US\$360 million and US\$380 million, reflecting improvement both quarter-on-quarter and year-on-year. This performance was supported by robust margins in soybean crushing and palm oil refining.

• 1Q25F Net Profit: Estimated at US\$360m–380m, up from previous periods.
• Key Profit Drivers: Improved soybean crushing and palm oil refining margins.
• 2025 Earnings Outlook: While there is an expectation for continued earnings growth through 2025, Wilmar International has been downgraded to a ‘Hold’ rating, primarily due to persistent uncertainties related to the business environment in Indonesia.
• Analyst Coverage: The report notes a transfer of coverage to Jacquelyn Yow.

Jardine Matheson Holdings Ltd: Technical Buy – Reversion to the Upside

Jardine Matheson Holdings Ltd (JMH) is a diversified conglomerate, with subsidiaries spanning motor vehicles, property investment and development, food retailing, health and beauty, home furnishings, engineering, construction, transport services, restaurants, luxury hotels, financial services, heavy equipment, mining, energy, and agribusiness.

The technical outlook for JMH is bullish, with a recommendation to add to positions as the stock shows strong reversion to the upside. The company has reached the first target price and is positioned for further gains based on positive price signals and robust technical indicators.

Technical Highlights for Jardine Matheson:

• JMH has achieved the first target price at S\$44.25, as previously forecasted.
• The stock rebounded strongly at the 61st percentile of the prior swing low to high (US\$32.50–US\$44.67), breaking above the downtrend line from May 2021 for the second time.
• Bullish closure above a previous bearish gap confirms further upside potential.
• Prices are trending above all Ichimoku Kumo, conversion, and base lines—indicating a prevailing bullish trend.
• MACD histogram has turned positive, with both MACD and signal lines staying above zero.
• The 23-period Rate of Change (ROC) remains elevated above zero, with bullish divergence persisting.
• Trading volume continues to expand healthily, supporting the uptrend momentum.

About the Analyst and Company

The technical analysis and recommendations for Jardine Matheson Holdings Ltd were prepared by CHUA Wei Ren, CMT. For inquiries, CGS International can be contacted at the provided Singapore office number and email.

Jardine Matheson Holdings Ltd operates as a holding company, with diversified operations in multiple sectors, making it a key player in the Singapore market and a bellwether for regional economic trends.

Stock Ratings and Recommendation Framework

CGS International uses a clear framework for stock ratings:

• Add: Expected total return exceeds 10% over the next 12 months.
• Hold: Expected total return between 0% and 10% over the next 12 months.
• Reduce: Expected total return is negative over the next 12 months.

Ratings are based on the sum of the price target difference from the current price and the forward net dividend yield, using a 12-month investment horizon. Sector and country ratings are evaluated on a market cap-weighted basis, categorized as Overweight, Neutral, or Underweight.

Note: Distribution of stock ratings and investment banking clients as of March 31, 2025, with 551 companies under coverage.

Important Disclosures and Regulatory Compliance

CGS International provides comprehensive compliance and disclosure statements for all jurisdictions in which it operates, ensuring that clients are informed of regulatory requirements and potential conflicts of interest. The report is intended for professional, institutional, and sophisticated investors and is for informational purposes only. Investors are encouraged to conduct their own independent assessment and consult professional advisors before making investment decisions.

Conclusion: Navigating Opportunities in Singapore’s Market Leaders

Wilmar International remains a significant player with improved short-term profitability but faces regulatory uncertainty in Indonesia, warranting a ‘Hold’ recommendation. In contrast, Jardine Matheson Holdings Ltd displays robust technical signals and is well-positioned for further upside, making it a compelling technical buy for investors seeking exposure to Singapore’s diversified conglomerates. Market participants are advised to stay attentive to global volatility and evolving sector-specific dynamics as they navigate investment decisions in these leading Singapore-listed companies.