Sheng Siong Group Likely to Gain From Healthy Grocery Demand -- Market Talk

Dow Jones2022-08-03

0127 GMT - Sheng Siong Group is likely to gain from healthy demand for groceries in 2022 as rising inflationary pressures could prompt more consumers to dine at home, says UOB Kay Hian analyst John Cheong in a note. The Singapore-based supermarket operator's 1H gross margins hit a record high thanks to favorable product mix, the analyst says. Sheng Siong may also be able to raise the selling prices of its products in an inflationary environment, UOB Kay Hian says. The brokerage maintains a buy rating and target price of S$1.91 on the stock, which is 0.6% lower at S$1.60. (yiwei.wong@wsj.com)

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August 02, 2022 21:27 ET (01:27 GMT)

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