The latest Market Talks covering Equities. Published exclusively on Dow Jones Newswires throughout the day.
0321 GMT - Japanese airline operator ANA could see near-term headwinds from higher fuel costs, says Morningstar's Lorraine Tan in a report. The carrier's lower FY 2026 margin outlook suggests it has limited ability to pass through higher fuel costs without impeding demand, the director says. Still, this risk could be somewhat contained thanks to higher-margin international route demand and reduced Mideast carrier capacity, she says. Meanwhile, ANA's estimate of a 60 billion yen earnings hit from the Iran war assumes the conflict resolves by end-June, she adds, but a protracted situation could keep fuel costs higher for longer. Morningstar cuts its fair-value estimate by 6% to 3,530 yen. Shares last closed 4.15% higher at 2,709.50 yen. (megan.cheah@wsj.com)
0300 GMT - DBS Group looks better placed than its peers to weather the storm amid global uncertainties, Macquarie Capital's Jayden Vantarakis in a note. The Singapore bank is comfortable with its strong balance sheet and existing credit provision buffers in place. It also now believes that its 2026 earnings have a good shot at coming in flat. "DBS believes supply chain impacts on its clients from the Middle East conflict can be contained and expects medium-term lending opportunities in infrastructure and renewables to arise," he says. Macquarie upgrades the stock's rating to neutral from underperform and raises its target price to S$52.38 from S$48.56. Shares are last 0.7% higher at S$58.89.(amanda.lee@wsj.com)
0257 GMT - United Microelectronics is likely to benefit from its planned price increases, Daiwa Capital Markets analysts say in a research report. The semiconductor foundry recently issued a letter of notice to clients about its intention to raise prices. These intended price increases, estimated at 2%-5% by Daiwa, are expected to partially take effect from 2H, boosting the Taiwanese company's average selling prices and supporting margins. The brokerage lifts its 2026-2027 EPS forecasts for UMC by 10%-15% to reflect coming price increases. It raises the stock's target price to NT$71.00 from NT$59.50, with its hold rating unchanged. Shares are 4.8% higher at NT$81.00. (ronnie.harui@wsj.com)
0250 GMT - Wilmar International could deliver more stable 2Q-3Q earnings, says CGS International's Jacquelyn Yow in a note. She expects higher crude palm oil and sugar prices to support its profits, while its soybean-crushing margins are likely to be relatively better than peers, she says. Margins in the feed and industrial segments should also remain resilient, buoyed by the Singapore-listed agribusiness' strong procurement and hedging capabilities, she says. Margin gains may be capped by rising costs and limited pricing flexibility, particularly for its consumer packed food segment. CGS International therefore retains its hold rating and S$3.60 target price. Shares rise 2.7% to S$3.71.(megan.cheah@wsj.com)
0238 GMT - MR. D.I.Y. Holding (Thailand) is likely to report a record 1Q net profit of 689 million baht, up 27% on year, thanks to its strong sales growth, gross margin expansion, and lower interest expenses, CGS International analyst Chaiyatorn Sricharoen says. The home improvement and lifestyle retailer's total sales should rise 21% on year during the quarter, largely due to its store expansion, the analyst says in a note. The company opened 66 new stores in 1Q. The brokerage maintains its add rating and target price of 10.50 baht on the stock. Shares last closed at 8.65 baht. (amanda.lee@wsj.com)
0230 GMT - Jardine Cycle & Carriage's sharply reduced net debt likely addresses a longstanding overhang linked to previous minority investments, says DBS Group Research's Elizabelle Pang in a note. The Singapore-listed conglomerate cut its debt to around US$200 million as of end-1Q from US$577 million through asset sales. The reduction in net debt is likely to position the company's balance sheet for capital recycling and mergers and acquisitions, she says. It could also consider raising shareholder returns, she adds. Jardine Cycle & Carriage potentially lifting its stake in subsidiary Astra International through buybacks could also boost the former's valuations, she says. DBS retains its buy rating and S$39.00 target price on the conglomerate. Shares rise 1.1% to S$32.95. (megan.cheah@wsj.com)
0224 GMT - MISC could deliver 14% core EPS growth this year, with a more than 5% dividend yield, driven by strong crude tanker rates, CGS International's Raymond Yap says in a note. Earnings visibility should remain supported by firm LNG charter contracts with QatarEnergy, easing concerns about potential disruptions after QatarEnergy's force majeure on LNG supply obligations, the analyst says. Rising tanker freight rates, fueled by tighter oil supply and Middle East disruptions, are expected to support MISC's petroleum shipping segment, while new LNG vessel deliveries should lift gas segment earnings in 2026 and 2027, he adds. CGS cuts MISC's target price to 9.15 ringgit from 9.30 ringgit amid higher operating costs. It maintains an add rating. Shares rise 0.2% to 8.39 ringgit. (yingxian.wong@wsj.com)
0220 GMT - Aztech Global's earnings visibility is poised to improve, UOB Kay Hian analysts say in a report. The electronics maker secured 27 new projects in 2025 with only eight entering commercial production then, the analysts note. Hence, the company is scheduled to start production for the rest in 2026, which offers a clearer growth pipeline, the analysts add. Also, Aztech Global's Malaysia facility obtained a U.S. FDA registration in January, which strengthens its ability to capture high-value medical technology opportunities. The brokerage lifts its 2026 and 2027 revenue forecasts for the Singapore-listed company by 15% and 22%, respectively. It upgrades its rating on the stock to buy from hold and raises its target price to S$1.32 from S$0.58. Shares are 4.4% lower at S$0.985. (ronnie.harui@wsj.com)
0213 GMT - Thailand's consumer prices likely rose 1.50% on year in April, reversing the 0.08% contraction in March, according to the median forecast of nine economists polled by The Wall Street Journal. Headline CPI is likely to rise significantly, largely reflecting surging retail fuel prices, Nomura economists say in a note. Core inflation is likely to remain broadly stable at around 0.6%, with limited pass-through to consumers so far from higher energy costs and still-weak domestic demand, they add. The CPI data are due this week.(amanda.lee@wsj.com)
0204 GMT - Mapletree Logistics Trust's FY 2027-FY 2028 performance is likely to improve, says DBS Group Research's Derek Tan in a note. While the real-estate investment trust's 4Q headline DPU fell, he notes the decline is largely due to the absence of divestment gains and foreign exchange effects, with underlying performance remaining stable. The trust's logistics portfolio continues to remain well-occupied and achieve rent increases despite weakness in its China segment, he says. He expects continued asset sales in China to drive higher returns. The analyst raises his FY 2027-FY 2028 DPU estimates by 1%-2%, which implies a 6.1% yield. DBS retains its buy rating and S$1.55 target price. Units are up 1.6% at S$1.24.(megan.cheah@wsj.com)
0150 GMT - Bursa Malaysia's earnings outlook may remain supported by stronger securities trading activity, although average daily trading value could moderate if geopolitical tensions ease and commodity prices normalize, Kenanga IB analyst Clement Chua says in a note. Trading trends in the months ahead are expected to be shaped by oil price swings and inflation, with investors likely to favor sectors that are able to pass on higher costs, he reckons. Oil and gas, plantation, and renewable energy stocks could benefit, while contractors may face margin pressure from higher transport and logistics costs, he says. Bursa remains a defensive safe-haven play, with stronger earnings potentially reviving expectations for special dividends, he adds. Kenanga maintains an outperform rating on Bursa Malaysia and keeps target price at 9.25 ringgit. Shares are 0.4% higher at 8.58 ringgit. (yingxian.wong@wsj.com)
0138 GMT - Investors will likely focus on potential second-order impact from the Middle East conflict when Australian industrials report earnings this month, UBS says. That includes inflationary impact on U.S. consumer demand for packaging and housing, which could affect James Hardie and Amcor, says the bank. Then there's the impact of higher energy and nitrogen pricing, seen affecting Orica and Dyno Nobel, UBS says. "For our mining exposed companies (ORI/DNL/ALQ), we will be looking for updates on mining activity, given commodity price volatility and potential for diesel supply disruption," UBS says. "We expect U.S. consumer and housing stocks (AMC/JHX) to set a cautious tone, given the decline in U.S. consumer confidence and mortgage rate increases." (rhiannon.hoyle@wsj.com; @RhiannonHoyle)
(END) Dow Jones Newswires
May 03, 2026 23:21 ET (03:21 GMT)
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