Navigating Singapore - 2022 Sector Allocation & Top Stock Picks
CITY DEVELOPMENTS LIMITED (SGX:C09)
AEM HOLDINGS LTD (SGX:AWX)
KEPPEL DC REIT (SGX:AJBU)
SINGTEL (SGX:Z74)
SIA ENGINEERING CO LTD (SGX:S59)
SINGAPORE TECH ENGINEERING LTD (SGX:S63)
THAI BEVERAGE PUBLIC CO LTD (SGX:Y92)
UNITED OVERSEAS BANK LTD (SGX:U11)
WILMAR INTERNATIONAL LIMITED (SGX:F34)
YANGZIJIANG SHIPBLDG HLDGS LTD (SGX:BS6)
AZTECH GLOBAL LTD. (SGX:8AZ)
DELFI LIMITED (SGX:P34)
HRNETGROUP LIMITED (SGX:CHZ)
KIMLY LIMITED (SGX:1D0)
SILVERLAKE AXIS LTD (SGX:5CP) - The top 3 sectors we like based on earnings are Tech, Telco and Consumer.
- We classify Capital Goods and Property as value plays given that the average trading band is still below its long-term historical mean.
- REITS and Healthcare are the sectors with defensive and quality earnings.
- We upgrade Transport to OVERWEIGHT after the recent sell-down and we believe the risk-reward is compelling the sector, particularly with visibility to a likely recovery in travel demand in 2022.
- However we keep Gaming as NEUTRAL in the medium term as share prices could bounce fast and furious on the Omicron variant proving to be less dangerous than expected.
- We make some changes to our Singapore stock top picks.
- We remove SingPost (SGX:S08) (previously a recovery laggard) as the market is likely to first plough into direct recovery plays.
- We also replace Ascendas REIT (SGX:A17U) with Keppel DC REIT (SGX:AJBU) as the former could be susceptible to an intermittent start-stop reopening of global markets including Australia, UK/Europe and the US.
- We added SEA Ltd on the back of higher MSCI weightage and after its share price corrected by 28% since 3Q21 earnings.
- CGS-CIMB's Singapore Stock Alpha Picks for 2022 (large cap)
- CGS-CIMB's Singapore Stock Alpha Picks for 2022 (small cap)
Above is the excerpt from research report by CGS-CIMB.
Clients of CGS-CIMB may access the full report in PDF @ https://www.itradecimb.com.sg/.
LIM Siew Khee CGS-CIMB Research | https://www.cgs-cimb.com 2021-12-03
SGX Stock
Analyst Report
8.970
SAME
8.970
5.840
SAME
5.840
2.780
SAME
2.780
2.900
SAME
2.900
2.920
SAME
2.920
SGX Stock
Analyst Report
4.540
SAME
4.540
0.910
SAME
0.910
30.300
SAME
30.300
6.150
SAME
6.150
1.910
SAME
1.910
SGX Stock
Analyst Report
1.750
SAME
1.750
1.020
SAME
1.020
1.150
SAME
1.150
0.560
SAME
0.560
0.370
SAME
0.370
Read also CGS-CIMB's most recent report:
2021-11-13 Silverlake Axis - The Tide Is Shifting
Relevant links:
Silverlake Axis Analyst Report,
Silverlake Axis Target Price,
Silverlake Axis Share Price History,
Silverlake Axis Announcements,
Silverlake Axis Dividends/ Corp Actions,
Silverlake Axis News Articles