The latest Market Talks covering Equities. Published exclusively on Dow Jones Newswires throughout the day.
0218 GMT - Petronas Chemicals could benefit from higher product prices, Hong Leong IB's Thye May Ting says in a note. Given the Middle East tensions, prices for the olefins and derivatives segment, as well as the fertilisers and methanol segment, may remain elevated over the next two to three months, with the earnings impact likely to be reflected in 1H results, she says. This could offset potential operational downside at its Pengerang Petrochemical JV, the analyst notes. Thye expects Petronas Chemicals to return to profit in 2026, forecasting net profit of 63.7 million ringgit, compared with net loss of 327.5 million ringgit projected previously. Hong Leong upgrades Petronas Chemicals to hold from sell and raises the target price to 4.55 ringgit from 2.04 ringgit. Shares rise 1.3% to 4.81 ringgit. (yingxian.wong@wsj.com)
0213 GMT - Sunway Healthcare could be added to Malaysia's benchmark Kuala Lumpur Composite Index after its Wednesday listing if its first-day closing market capitalization exceeds the smallest existing index constituent, CIMB Securities analyst Ivy Ng Lee Fang says in a note. The listing follows the demerger from Sunway. At the IPO price of 1.45 ringgit a share, Sunway Healthcare's market value would be about 16.7 billion ringgit, compared with around 13.4 billion ringgit for QL Resources, currently the smallest KLCI component, she notes. Sunway Healthcare's potential KLCI weighting could be around 0.5%, she says, adding that any index inclusion may trigger rebalancing by funds tracking the KLCI. (yingxian.wong@wsj.com)
0210 GMT - JD Logistics' on-demand delivery segment expansion is likely to support solid revenue growth, DBS Group Research analysts write in a note. The logistics service provider is accelerating its supply-chain enhancements, which should strengthen its service capabilities, they say. Its moves to improve operational efficiency, such as increasing its transportation capacity, should also help to drive up its earnings, the analysts add. While JD Logistics should benefit from the wider JD group's support, the expansion of the logistics company's external customer base would be key to the company's long-term outlook, they add. DBS maintains its buy rating and HK$18.00 target price on JD Logistics, which is up 0.7% at HK$13.74. (megan.cheah@wsj.com)
0153 GMT - Goldman Sachs cuts its targets for Japan's Topix to 3900 from 4200 for three months, and to 4100 from 4400 for six months on heightened near-term geopolitical concerns. GS Research now assumes 21 days of reduced oil exports through the Strait of Hormuz versus 10 days assumed previously. GS Research also raises the oil-price trajectory for Brent to $110 a barrel in March and to $85 a barrel in April before falling to $71 a barrel in 4Q. In addition, GS Research cuts its 2026 forecast for Japan's real GDP growth to 0.5% from 0.8%. The Topix is 0.5% lower at 3609.69. (ronnie.harui@wsj.com)
0118 GMT - Taiwan's central bank is expected to keep the policy rate unchanged at 2.00% on Thursday while raising GDP and inflation forecasts, DBS's economics team says. Given the strong momentum in January-February on the back of AI-related exports and investment demand, the central bank could revise its 2026 GDP growth forecast to around 7% from 3.7% previously. Inflation projections, meanwhile, could be nudged up to around 2% from 1.6% to capture the uncertainty around global oil prices and potential passthrough to import costs, DBS says. "While it remains premature to expect rate hikes this year, the growth-inflation dynamics suggest that the next policy move is more likely to be a rate hike rather than a rate cut." (fabiana.negrinochoa@wsj.com)
0117 GMT - Investors are advised to hold out for a better offer for IJM Corp., given its potential upside from capital management initiatives, says CIMB Securities analyst Kenny Mak Hoy Ken in a note. IJM's independent adviser, M&A Securities, has recommended that shareholders reject Sunway's 3.15 ringgit-a-share takeover offer, saying it undervalues the company. IJM plans to accelerate value-unlocking efforts, including listing its construction and toll units within two years, the analyst notes. Sunway's offer price is about 10% below CIMB' 3.50 ringgit target price for IJM. CIMB maintains a buy rating on IJM. Shares are 3.9% higher at 2.41 ringgit. (yingxian.wong@wsj.com)
0114 GMT - Higher inflation should boost Chinese and Hong Kong life insurers over the medium term, DBS Group Research analysts say in a note. The bank's economics team suggests China is more resilient in facing a prolonged high oil-price scenario stemming from the Middle East conflict, with inflation projected to rise 0.7 percentage point. Higher inflation is likely to lead to a steeper yield curve, which benefits life insurers, they say. The drag of the conflict on insurers' new business growth should be manageable given the Chinese economy's resilience, the analysts say. DBS recommends accumulating shares of life insurers such as Ping An Insurance and AIA Group based on a recent share-price pullback. (megan.cheah@wsj.com)
0109 GMT - The outcome of Sunway's takeover bid will likely depend on government-linked shareholders of IJM Corp., who collectively hold about a 48% stake, Citi analyst Steven Chan says in a note. IJM's independent adviser, M&A Securities, has recommended shareholders reject the offer, saying it isn't fair or reasonable. The adviser valued IJM at 5.84 ringgit to 6.48 ringgit a share, well above Sunway's 3.15 ringgit offer price, he notes. Chan says IJM's shares have never reached those levels and they are well above his 3.40 ringgit target price. He says the valuation gap mainly reflects M&A Securities' 10 ringgit billion estimate for IJM's property segment, versus IJM's existing market capitalization of 8.1 billion ringgit. Citi maintains a buy rating on IJM. Shares are 2.6% higher at 2.38 ringgit. (yingxian.wong@wsj.com)
0015 GMT - Inflation is good for business at Channel Infrastructure, says Forsyth Barr. The sharp increase in crude-oil prices is a positive for the company as 95% of its revenue is repriced annually in line with the producer price index, analyst Andrew Harvey-Green says. There is a link between crude oil prices and the PPI. A sustained 10% increase in crude oil prices increases PPI by 0.9%, says Forsyth Barr. "If crude oil prices average NZ$160/barrel (US$94/barrel) until 30 September 2026, we estimate a NZ$1.6 million FY27 revenue increase and a NZ$0.04/share valuation uplift," Forsyth Barr says. It retains a neutral call and NZ$3.09/share price target on Channel Infrastructure, which is up 1.1% at NZ$2.89. (david.winning@wsj.com; @dwinningWSJ)
0012 GMT - AI-driven selling of Australian software stocks looks indiscriminate to Morgans analysts. Noting steep declines in shares of many local SaaS providers, the analysts lay out several reasons not to get swept away by fear that all incumbents will be hit hard. They tell clients in a note that "simply being 'able to vibe code' software isn't enough" for newcomers. Record data, metadata and tactical knowledge are also important, they write. AI capabilities actually mean that leading software companies can now work more efficiently on multi-year product wish-lists from customers, the Morgans analysts add. The problem, as the analysts see it, is that fair value is so opaque that investors are applying higher discount rates to stocks. (stuart.condie@wsj.com)
0011 GMT - Japanese stocks are lower as concerns about a prolonged Middle East conflict and higher energy prices continue. Auto and electronics stocks are leading the declines. Nissan Motor is down 3.1% and Nidec Corp. is 2.8% lower. The dollar is at 159.49 yen, compared with Y159.40 as of Friday's Tokyo stock market close. Investors are closely watching developments in Iran and any Japanese government responses to the conflict. The Nikkei Stock Average is down 0.1% at 53762.40. (kosaku.narioka@wsj.com; @kosakunarioka)
2355 GMT - Perpetual's sale of its wealth business to Bain Capital is on terms that look reasonable rather than overly attractive to the Australian investment manager, Citi analyst Nigel Pittaway says. Perpetual will sell its 139-year-old franchise to the private-equity provider for an initial A$500 million, but Pittaway points out that it will also incur A$30 million in costs plus a tax liability of at least A$45 million. On the other hand, he tells clients in a note that Perpetual could also receive earn-outs of up to A$75 million. He adds that the sale resolves a key issue by allowing Perpetual to pay off some debt. Citi has a last-published neutral rating and A$19.70 target price on the stock, which is up 0.7% at A$16.35. (stuart.condie@wsj.com)
(END) Dow Jones Newswires
March 15, 2026 22:18 ET (02:18 GMT)
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