Crude oil prices have spiked 30% year to date. This is great news for companies that operate in the oil and gas scene, such as China Aviation Oil (Singapore) Corp Ltd (SGX: G92), Sembcorp Marine Ltd (SGX: S51) and KrisEnergy Ltd (SGX: SK3). However, at the same time, rising oil prices can also have a negative impact on companies that are end-users of oil. Two such transport companies in Singapore stand out – Singapore Airlines Ltd (SGX: C6L) and ComfortDelGro Corporation Ltd (SGX: C52). Here are some things to keep in mind when dealing with these two companies right now. Airlines companies biggest users of fuel Airlines are some of the biggest end users of fuel. In the April-June quarter, Singapore Airlines reported a 16.1% decrease in operating profit, excluding one-off items. This wa

Dear readers, in an earlier post I have shared with readers how Sembcorp Marine stock has broken past its 200-Days-Moving Average from low and how if the technical charts are to be followed, Sembcorp Marine stock would be poised for a longer-term uptrend (you can read the post here ). Read more »

There are many ways to find investment ideas. Some useful methods are to screen for stocks or to look at a list of stocks near their 52-week lows to sieve out potential bargains. Studying what institutional investors have been buying or selling is another avenue. Institutional investors are typically large investment organisations, such as hedge funds, mutual funds, unit trust companies, sovereign wealth funds, insurance companies and so on. These investors tend to possess vastly greater resources than individual investors like you and me when researching stocks. Hence, it may be useful to keep a close eye on what they are doing, as a way to generate ideas. In this article, I will look at three Singapore stocks that were among the top 10 shares that saw the highest net purchases in dollar

On 24 September 2018, US President Trump and his South Korean counterpart Moon Jae-in signed a revised version of the US-Korea Free Trade Agreement. This was another breakthrough for Trump, following a revised bilateral agreement with Mexico. Following which on 1 October 2018, the US finally reached a pact with Canada to achieve a significantly revised North American trade deal. The trilateral agreement will be renamed the US-Mexico-Canada Agreement (USMCA) which will replace the North Atlantic Free Trade Agreement (NAFTA). The slew of revised agreements was a major victory for Trump and would embolden him as he turns all his efforts towards forcing China to yield. Correspondingly, Chinese investors are showing growing signs of anxiety as reflected by the weakness in China A-shares and Hon

Sembcorp Marine:3 October 2018, Wednesday, 2.35pm Singapore Time(Click on Technical Chart above to Expand)Attached above is the Technicals for Sembcorp Marine. Following my analysis to add buys at $1.96 on 23 July 2018, it has furthered rallied again after the successful backtest of long term support as illustrated on chart. The chart shows how Sembcorp Marine had turned long term resistance into long term support to indicate that the shipbuilding, O&G, Energy and Oil Rig Industry had switched from Winter to newfound Spring in 2018 onwards. The bull market worldwide has high upside. We are at just mid-point of a long term bull market as reiterated countlessly. Target is $4.40 based on the extremely large cup and handle formation.Donovan Norfolk Ang

There are many ways to find investment ideas. Some useful ways are to screen for stocks or to look at a list of stocks near their 52-week lows to sieve out potential bargains. Studying what institutional investors have been buying or selling is another avenue. Institutional investors are typically large investment organisations, such as hedge funds, mutual funds, unit trust companies, sovereign wealth funds, insurance companies and so on. These investors tend to possess vastly greater resources than individual investors like you and me when researching stocks. Hence, it may be useful to keep a close eye on what they are doing, as a way to generate ideas. In this article, I will look at three Singapore stocks (among the top ten stocks) that have seen the highest net purchases in dollar valu

Just about 2 weeks back, we spotted some bullish actions with Sembcorp Marine attempting to push above the key 1.80 level..There were actually sellers there trying to defend but after a while they just gave up…Some targets were drawn to the upside as seen below…Over the past week, we have seen buyers regaining control on market strength and up it went..First target has been hit and we managed to see the push above 1.90 last week too…Therefore targets were reiterated upwards…Want to know HOW we can have targets drawn before anything happens and then wait to see it play out live?Well, from the SYSTEM, we actually had a 1ET Bullish Entry signal 2 weeks back on 10 Sept 2018…And that was the reason why we were alerted to this counter in the first place…Still no exits after 2 w

There are many ways to find investment ideas. Some useful ways are to screen for stocks or to look at a list of stocks near their 52-week lows to sieve out potential bargains. Studying what institutional investors have been buying or selling is another avenue. Institutional investors are typically large investment organisations, such as hedge funds, mutual funds, unit trust companies, sovereign wealth funds, insurance companies and so on. These investors tend to possess vastly greater resources than individual investors like you and me when researching stocks. Hence, it may be useful to keep a close eye on what they are doing, as a way to generate ideas. In this article, I will look at three Singapore stocks (among the top ten stocks) that have seen the highest net purchases in dollar valu

Singapore’s Straits Times Index (SGX: ^STI), home to the 30 largest companies in Singapore, has fallen by over 7% since the start of the year. Over the past three years, the index has gained a total of 10.1%, but not all stocks have managed to produce a positive return during the period. In fact, a recent SGX report revealed that the six weakest performing blue-chips have posted negative returns of almost 23% on average. Let’s take a quick look at the six stocks that are holding up the rear (data as of 30 August 2018, unless otherwise stated). For the first three companies, go here. 4. Sembcorp Industries Limited (SGX:U96) is the fourth weakest performer on the index registering a return of negative 14.4% over the last three years. Sembcorp is a leading energy, water, marine and u

In Lady Gaga’s style, the Singapore stock market benchmark, the Straits Times Index (SGX: ^STI), has “asked” telco StarHub Ltd (SGX: CC3) to stop telephonin’ me – that’s because StarHub will soon be dropped from the STI. Taking its place will be pan-Asian retailer, Dairy Farm International Holdings Ltd (SGX: D01). The index’s co-creators – Singapore Press Holdings Limited (SGX: T39), Singapore Exchange Limited (SGX: S68), and FTSE Russell – made the announcement today after the stock market closed. The changes are part of the September quarterly review of the index. The replacement of StarHub with Dairy Farm will take place after the close of business on 21 September 2018 and will be effective on 24 September 2018. Dairy Farm’s share price (in US do

Out of the universe of Singapore-listed companies that reported 2Q18 earnings, 29 percent bested UOBKH’s expectations. This is almost double of last quarter’s 15 percent, which makes 2Q18 one of the highest level of beats since 4Q16. In this article, we dive into the sector analysis of some of the top performing and underperforming sectors in 2Q18. UOBKH SG Report Card: How Did Each Sector Fare? Banks: Solid Performance But Outlook Affected By Uncertainty The banks managed to deliver solid earnings result in 2Q18. However, OCBC came out on top of DBS in this quarter by beating expectations. DBS uncharacteristically fell marginally below expectations but still managed to deliver on net interest margin (NIM) expansion. In that aspect, OCBC was still lagging behind with some catching u

After the Hari Raya Haji holiday, the local stock market opened on a high note, jumping 1.5 percent on 23 August 2018. Ever since peaking at 3,641 in May, the STI has been entrenched in correction phase. On 21 August 2018, just before the holiday, the STI closed at 3,198, just below the 3,200 psychological-support level. TradingView Thankfully, the post-holiday rebound put the STI back above 3,200. Technically speaking, 3,176-3,200 is a critical support zone that was tested several time in July 2017, September 2017 and July 2018. It seems that the STI is retesting this level and without having to be a technical expert, one would know that we could head much further south if this support level fails to hold. In July’s sell-off, the fall was sparked off by a decline in property stocks and

We’re at the tail end of the earnings season. As it is with every earnings season, there are companies that post growth, companies that deliver mixed results, and companies that experience declines. Let’s take a closer look at two companies that saw their businesses grow in the latest reporting quarter: 1. On 3 August 2018, Sembcorp Industries Limited (SGX: U96) released its 2018 second quarter earnings update. As a quick introduction, Sembcorp Industries is a conglomerate with four major business segments: Utilities; Marine; Urban Development; and Others. The Marine segment comes from Sembcorp Industries’ 61% ownership stake in Sembcorp Marine Ltd (SGX: S51). In the second quarter of 2018, Sembcorp Industries’ revenue improved by 46.6% year-on-year to S$3.34 billion. Net profit a

On 3 August, Sembcorp Industries Limited (SGX: U96) released its 2018 second-quarter earnings update. As a quick introduction, Sembcorp Industries is a conglomerate with four major business segments: Utilities; Marine; Urban Development; and Other Businesses. The Marine segment is made up of Sembcorp Industries’ 61% ownership stake in the Singapore-listed marine engineering firm, Sembcorp Marine Ltd (SGX: S51). Here are 10 things investors should know about Sembcorp Industries’ latest results: 1. Revenue for the reporting quarter improved by 47% year-on-year to S$3.34 billion. 2. EBITDA (earnings before interest, taxes, depreciation, and amortisation) fell by 19% year-on-year to S$268 million. 3. Profit from operations declined by 13% year-on-year to S$192.1 million, driven mainly by

Share buybacks can be beneficial for shareholders if done for the correct reasons. Here are three stocks picked at random that have repurchased their shares thus far during the week, as of market open today. Stamford Land Corporation Ltd (SGX: H07) Stamford Land is Australasia’s largest independent owner and operator of luxury hotels. It has a portfolio of prime hotels and investment properties in Australia and New Zealand. On 1 August 2018, the company bought back 1,140,900 shares at S$0.48 per share. The cost came up to around S$548,500. The recent share buyback is the first for the company in recent history. Stamford Land shares closed at S$0.495 apiece on Thursday. This translates to a price-to-book (PB) ratio of 0.8 and a dividend yield of 2%. AEM Holdings Ltd (SGX: AWX) AEM

Venture Corp Chart 1(Click on Technical Chart above to Expand to read the Full Illustrations)Attached is the technicals of Venture Corp -- STI index component tech stock. The light-orange circled region is my live analysis on 15th July 2016 forewarning that technology stocks and the NASDAQ back then were about to rally massively, and that Venture would massively rally as well (refer to past track record here: http://donovan-ang.blogspot.com/2016/07/sgx-venture-klse-technology-index-and.html). Right after my preempting, Venture Corp rallied from my $8.82 buy point to hit $28.81, a returns of +327% in just 2 years.The dark-orange circled region is my live analysis in January 2018 calling for most tech stocks such as Venture Corp to start peaking for sector rotation from technology

As we enter 2H18, investors are now busy pruning their portfolio and re-allocating their cash into different markets. If you are one of them and looking for ideas on how you should re-allocate your portfolio, DBS thinks that Singapore should be one of the markets that you should overweight in your portfolio. Here are three reasons why DBS thinks you should take an overweight position on the Singapore market. 3 Reasons Why You Should Take An Overweight Position On The Singapore Market Singapore’s Economic Transformation Underway To Make Singapore More Attractive For Investments Singapore’s economy is historically heavy on exports. However, the Singapore government is working on an economic transformation to steer Singapore towards a more broad-based economy with the services sector to

Companies repurchasing their shares could be a signal to the market that they are undervalued. Let’s look at three firms picked at random that have repurchased their shares thus far during the week, as of market open today. Keppel Corporation Limited (SGX: BN4) Keppel Corporation has four business divisions – Offshore & Marine (O&M), Property, Infrastructure and Investments. The O&M division is one of the world’s largest oil rig builders. On 23 and 24 July 2018, the conglomerate bought back a total of 439,000 shares at a price range of between S$7.02 and S$7.06 per share. The total cost came up to slightly below S$3.1 million. Keppel Corporation shares closed at S$6.86 each on Thursday. This translates to a price-to-earnings (PE) ratio of 32 and a dividend yield of 3.5%.

Stocks selling near their 52-week low prices might prove to be good bargains for investors. Even among the blue-chip companies of the Straits Times Index (SGX: ^STI), several stocks are trading near their respective 52-week low prices. Let’s look at three of them which are trading close to their 52-week low prices. They are Hutchison Port Hldg Trust (SGX: NS8U), Wilmar International Limited (SGX: F34) and Sembcorp Industries Limited (SGX: U96). Source: Google Finance and SGX StockFacts (data as of 24 July 2018) Hutchison Port announced its financial results for the second quarter ended 30 June 2018 on Monday this week. For the latest period, revenue and other income dipped 3.6% year-on-year to HK$2.79 billion while net profit plunged 36.8% to HK$170 million. The bottom line was hit by

Sembcorp Marine:23 July 2018, Monday, 11.50am Singapore Time(Click on Technical Chart above to Expand)Attached above is the Technicals for Sembcorp Marine. It is currently down -5.102% at $1.860 and using bad news to do a final price action backtest confirmation of its new spring (transition from winter to spring for the industry). Following the massive cup and handle bullish accumulation and its violent breakout, it is currently forming a minor double bottom in purple (again, using fear for chalking up accumulation-buys). This purple trajectory is currently backtesting the resistance-turned-support band in black. The volume flow remains a highly bull market volume flow. I expect Sembcorp Marine to break out beyond $3.00 in 2019. Donovan Norfolk Ang