- We maintain our BUY recommendation on ComfortDelGro (SGX:C52) with higher revised target price of S$1.67 on earlier than expected UK Public Transport turnaround and higher margins for Taxi & Private hire segment.
3Q23 slightly ahead of expectations
- - Read this at SGinvestors.io -
UK Public Transport turned profitable in 3Q23.
- UK Public Transport segment reported operating profit of S$6.1m, a turnaround from four consecutive quarters of losses. This was due to UK fare indexation kicking in and renewal of contracts at much higher margins as the bidding environment has turned more sensible and less aggressive, according to management.
- - Read this at SGinvestors.io -
Taxi & Private Hire margin continues to improve with introduction of platform fees and lower rental discounts in China.
- Read more at SGinvestors.io.
Above is the excerpt from report by DBS Group Research.
Clients of DBS may access the full report in PDF @ https://www.dbs.com/insightsdirect/.
Andy SIM CFA DBS Group Research | Zheng Feng CHEE DBS Research | https://www.dbs.com/insightsdirect/ 2023-11-15
Read also DBS's most recent report:
2024-09-12 ComfortDelGro - Underappreciated International Expansion.
Previous report by DBS:
2024-08-16 ComfortDelGro - Sequential Growth Story Continues.
Price targets by 5 other brokers at ComfortDelGro Target Prices.
Listing of research reports at ComfortDelGro Analyst Reports.
Relevant links:
ComfortDelGro Share Price History,
ComfortDelGro Announcements,
ComfortDelGro Dividends & Corporate Actions,
ComfortDelGro News Articles
