Broker: CGS International
Date of Report: August 21, 2025
Bullish Momentum Emerges: HGH Holdings and Marco Polo Marine Stand Out in Singapore’s Market Outlook
Market Overview: Retail Sector Faces Global Headwinds
The latest research from CGS International highlights a rapidly evolving retail and marine landscape, with investor sentiment shaped by both macroeconomic uncertainty and company-specific trends. Major U.S. retailers, including Target and Home Depot, have reported mixed sales and profit forecasts, prompting fresh questions about the resilience of consumer spending during the crucial holiday season. Rising costs from U.S. tariffs and subdued consumer sentiment are key themes, with overall U.S. inflation on an upward trajectory and economists warning of continued volatility and higher prices on the horizon.
Marco Polo Marine: Fleet Expansion and Sector Optimism
Marco Polo Marine’s analyst briefing brought attention to the company’s robust operations and forward-looking fleet strategy. The company’s Construction Support Offshore Vessel (CSOV) is performing well, encountering minimal setup issues, and the market anticipates the announcement of a second CSOV. The easing of the bank financing landscape for Offshore Support Vessel (OSV) players positions Marco Polo Marine for further fleet expansion.
Key takeaways include:
- The CSOV is contributing positively, with stable operations.
- A second CSOV may be announced soon, enhancing the company’s expansion prospects.
- Management has observed an uptick in yard enquiries for repairs, though revenue contribution could be muted due to limited visibility on newbuild orders.
- The rating is reiterated as “Add” with an increased target price of S\$0.08, reflecting an upward re-rating for the industry.
HGH Holdings Ltd: Early-Stage Bullish Trend and Technical Buy Signal
A standout in the technical space, HGH Holdings Ltd is in the early stages of a bullish trend, offering a compelling setup for investors seeking upside in Singapore’s market. The company’s core operations span investment holding, leasing and services, as well as manufacturing of precast and ready-mix concrete products, and underground cable installation and road reinstatement in Singapore and Malaysia.
Technical Analysis Snapshot
- Last Price: S\$0.023
- Bullish breakaway gap sustained above support
- Ichimoku indicators are all sloping up, signaling robust bullish sentiment
- MACD line is rising steadily above zero, with a positive histogram
- Stochastic Oscillator confirms oversold crossover
- 23-period Rate of Change (ROC) is positive
- Directional Movement Index (DMI) shows steady bullish strength
- Volume is expanding healthily, supporting price action
Entry, Stop Loss, and Target Levels
| Entry Price(s) |
Support 1 |
Support 2 |
Stop Loss |
Resistance 1 |
Resistance 2 |
| 0.023, 0.020, 0.018 |
0.020 |
0.015 |
0.013 |
0.038 |
0.050 |
Target Price Roadmap
| Target Price 1 |
Target Price 2 |
Target Price 3 |
Target Price 4 |
| 0.92 |
1.08 |
1.13 |
1.28 |
Company Profile: HGH Holdings Ltd
- Investment holding company with operations in Singapore and Malaysia
- Business segments include:
- Leasing and Service Income
- Manufacturing of Precast Concrete Products
- Supply and Manufacturing of Ready-Mix Concrete Products
- Provision of Underground Cable Installation and Road Reinstatement
Analyst Coverage: CHUA Wei Ren, CMT T: (65) 6210 8612 E: [email protected]
Comprehensive Technical Indicators Support Bullish View
The technical outlook for HGH Holdings Ltd is underpinned by a strong combination of proprietary indicators:
- Bullish breakaway gap: Stock price has formed a decisive upwards gap and is holding above it.
- Ichimoku Cloud: All five indicators are sloping upwards, supporting bullish momentum.
- MACD: Signal and MACD lines are above zero, with positive momentum.
- Stochastic Oscillator: Oversold crossover confirmed, suggesting further upside potential.
- 23-period ROC: Positive, indicating strength in price change over time.
- Directional Movement Index: Steady bullish strength detected.
- Volume: Healthy expansion, reinforcing price moves.
Recommendation Framework and Ratings Distribution
CGS International’s recommendation framework is based on total expected return, which combines the percentage difference between target and current price with the forward net dividend yield. Stock price targets carry a 12-month investment horizon.
| Stock Rating |
Definition |
| Add |
Total return expected to exceed 10% over the next 12 months |
| Hold |
Total return expected between 0% and positive 10% over the next 12 months |
| Reduce |
Total return expected to fall below 0% over the next 12 months |
Stock Ratings Distribution (as of June 30, 2025)
| Rating |
Distribution (%) |
Investment Banking Clients (%) |
| Add |
70.6% |
1.1% |
| Hold |
20.5% |
0.5% |
| Reduce |
8.9% |
0.5% |
Conclusion: Opportunities Amid Uncertainty
Despite a challenging global retail backdrop, select Singapore-listed companies are carving out bullish narratives. Marco Polo Marine’s fleet expansion plans and HGH Holdings Ltd’s early-stage uptrend stand out as key opportunities for investors. The technical and fundamental signals suggest sustained upside potential, but investors should remain vigilant regarding macroeconomic headwinds, including inflation and trade volatility. As always, aligning investment decisions with professional advice and individual objectives remains paramount.
