|
CGS CIMB |
UOB KAYHIAN |
|
Alibaba Group 3QFY3/26F Preview: CMR growth decelerated
■ We forecast Alibaba’s CMR growth to slow to 3% in 3QFY3/26F (from our previous 5% forecast), due to high base of take rate and trade-in policy in 3QFY3/25. ■ We expect quick commerce loss to narrow to Rmb25bn in 3QFY3/26F (from Rmb36bn in 2QFY3/26), while instant delivery subsidy war should continue in 2026F. ■ We expect revenue growth to accelerate to 35% in 3QFY3/26F (from 34% in 2QFY3/26), with a stable EBITA margin of c.9%, helped by stronger external demand. ■ We forecast revenue to rise 2.5% and non-GAAP NP to fall 44% yoy in 3QFY3/26F. ■ We reiterate our Add call, with a lower DCF-based TP of HK$196.
|
Reclaims Global (RGL SP) Laying Strong Foundation For Booming Construction Sector
Highlights • Reclaims is one of Singapore’s top three players in earthworks and excavation. It plays a critical role in the early stage of construction projects, making its default risk extremely low. • We see continued strong demand for earthworks, demolition, and excavation services, supported by a construction industry upcycle in Singapore. • Reclaims currently trades at around a 20% discount vs peers despite higher ROE and yield. Initiate coverage with BUY and a target price of S$0.56.
|
|
UOB KAYHIAN |
MAYBANK SECURITIES |
|
Plantation Inventory Levels To Revert Towards Mean
Highlights • We see limited downside to CPO prices moving into 1Q26, as palm stockpiles are expected to correct sharply over the next few months. • For 2026, we continue to forecast a higher yoy CPO average price of RM4,400/tonne, underpinned by constructive supply-demand drivers – including Indonesia’s planned rollout of its B50 biodiesel programme. • Maintain OVERWEIGHT. Top picks: SD Guthrie, Hap Seng Plantations.
|
Singapore Market Outlook 2026 In the Sweet Spot Certainty, reforms & valuations can drive STI to 5,600
Singapore enters 2026 with a rare combination of macro resilience, structural reforms and valuation support. This could underpin a widening “certainty premium” vs. volatile global peers. Renewed large-cap reforms can accelerate capital returns. SMIDs remain inexpensive. MAS reform implementation and directed liquidity should drive significant value unlocking. Scaling AI could lift productivity and margins across sectors. As a result, earnings risk is on the upside. Catalysed with enhanced liquidity from market micro-structure enhancements and low interest rates, we expect the STI to rerate towards our new 5,600 target. Top picks: CICT, Coliwoo, CSE, Food Empire, LREIT, OCBC, Sea, SGX, STH, SUN.
|
| MAYBANK SECURITIES | DBS GROUP RESEARCH |
|
ASEAN Telecom Year Ahead 2026: strength beneath the surface
Harvesting phase to extend in 2026 ASEAN telcos delivered a total USD return of 24% in 2025, outperforming the MSCI ASEAN and global telecom index by 10-11ppt. Revenue growth in 2025 was abysmal at just 3% but the earnings/FCF growth was strong at 18%/12% YoY. We think the same playbook is likely to gain further momentum in 2026, wherein we expect sector revenues to grow at 4% but expect earnings and FCF to grow at 15% and 20% YoY, respectively. We expect competition to improve in Singapore & Indonesia while rationality is likely to extend in other markets. While impact of competitive rationality to not move the growth needle, we see a bigger positive impact of the same on costs & capex, leading to faster profitability improvement. With FCF generation outpacing expected dividends by 1.8x amid falling leverage levels, we see potential for 42% of the ASEAN companies to raise payout levels. With valuations still reasonable at long-term mean levels, we raise our sector view to Positive. ADVANC, PLDT and STH are Top Picks.
|
2026 Outlook
Tariffs resilience, policy support and valuation define 2026 performance • 2026 driver’s scorecard: Indonesia > Hong Kong > Singapore=Philippines > Thailand • DMs: Prefer Hong Kong over Singapore • ASEAN EMs: Prefer Indonesia > Philippines > Thailand
|
