- Yangzijiang Shipbuilding (SGX:BS6)'s management is confident of securing US$4.5bn new orders in FY26, mainly from healthy demand for small-mid-sized containerships, despite newbuild prices softening 5-10% from 2024 peaks amid peer capacity expansion, intensifying competition.
Earnings growth on track.
- - Read this at SGinvestors.io -
- There could be further boost to earnings from reselling terminated vessels (potentially US$660mil total vessel value translating to ~US$132mil or RMB920 profit assuming 20% gains). LNG terminal and Robinson office building could start to contribute from 2027 which are yet in our forecasts.
Attractive dividend yield.
- - Read this at SGinvestors.io -
- Management expresses “strong willingness” in maintaining the upper end (50%) so long as earnings stay strong and capital needs remain manageable, signalling ongoing commitment to shareholder returns. Reiterate BUY, target price lifted to S$4.55 as we roll over valuation to FY26 at 2.6x P/BV, in line with 15% discount to global peers.
Key takeaways from briefing and post results group meeting:
- Read more at SGinvestors.io.
Above is an excerpt from a report by DBS Group Research.
Clients of DBS may access the full PDF report @ https://www.dbs.com/insightsdirect/.
Pei Hwa HO DBS Group Research | https://www.dbs.com/insightsdirect/ 2026-02-27
Read also DBS's most recent report:
2026-03-11 Yangzijiang Shipbuilding - Deepens Seaspan Ties.
Price targets by 2 other brokers at Yangzijiang Target Prices.
Listing of research reports at Yangzijiang Analyst Reports.
Relevant links:
Yangzijiang Share Price History,
Yangzijiang Announcements,
Yangzijiang Dividend Payout Dates & Corporate Actions,
Yangzijiang News
