To The Moon

As the Singapore stock market continues to show resilience amid global uncertainties, investors are constantly on the lookout for opportunities that could deliver strong returns.

So, which SG stocks are you currently bullish on? Let’s dive into some of the top contenders that could be set to outperform in the coming months.

🎁Special Notes: Whoever showed up on the” What the Tigers Say” column will receive 100 Tiger Coins and an exclusive interview invitation to honor your contribution.

Click titles to read the full analysis:

1. @HMH: $SATS LTD.(S58.SI)$

Key Points:

SATS announced its financial results for the fiscal quarter ending June 30, 2024. Key highlights include:

• Revenue grew 15.5% YoY to S$1.37 billion

• Net Profit improved S$94.9 million YoY to S$65 million

• Free Cash Flow increased S$125.9 million YoY to S$36.7 million

• SATS' key financial results for the fiscal year ending March 31, 2024.

• Revenue: S$5.1 billion, a threefold increase from the previous year.

• Net Profit: S$56.4 million, a significant turnaround from a net loss of S$26.5 million in FY2023.

• Free Cash Flow: Positive S$326.5 million, reversing a free cash outflow of nearly S$40 million a year ago.

SATS Ltd. possesses several competitive advantages that constitute its investment moat:

• Strong Market Position: SATS is a dominant player in the aviation services industry, providing essential services such as cargo handling, ground handling, and inflight catering.

• Diversified Revenue Streams: The company has diversified its revenue sources, reducing reliance on any single segment. For FY2024, 49% of revenue came from cargo handling, 29% from ground handling, and 22% from food solutions.

• Strategic Acquisitions: SATS has made strategic acquisitions, such as Worldwide Flight Services (WFS), enhancing its global footprint and service offerings.

• Operational Efficiency: The company has demonstrated operational efficiency, with improving EBITDA margins and free cash flow generation.

Analysts forecast that SATS will grow its earnings and revenue by 28.8% and 4.7% per annum, respectively. The intrinsic value of SATS is estimated to be around S$4.19 per share, suggesting that the stock is currently trading at a discount to its intrinsic value.

To ensure a margin of safety, it is prudent to invest at a price that is at least 20-30% below the intrinsic value. Given the intrinsic value of S$4.19, a recommended entry price would be around S$2.93 to S$3.35. This range provides a buffer against potential market volatility and unforeseen risks.

2. @SR050321: $DBS Group Holdings(D05.SI)$ $UOB(U11.SI)$ $ocbc bank(O39.SI)$ $Wilmar Intl(F34.SI)$

Key Points:

• In fact, if I have the cash, I will buy the stocks of the 3 local banks in Singapore: $DBS Group Holdings(D05.SI)$ $UOB(U11.SI)$ $ocbc bank(O39.SI)$

• Of course, I can always save the cash in the high yield savings provided by other banks but by buying the stocks I feel like I am part of the business 😂 even I only hold a tiny bit of share.

• As a business owner there is risk attached, so be careful when buying stocks, the price can go up and down. Last time I waited for DBS below 20 but it didn't happen, when I started to buy, a tiger friend mentioned that DBS is actually one of the banks that gives more times dividends in a year, then I noticed DBS gives dividends 4x a year (maybe because of the good year) and the best got stock split recently so for every 100 stocks I got 10 stocks extra. I am so happy, I know the stock is not cheap.

• I also go for non banking stocks like $Wilmar Intl(F34.SI)$ however the price continues to decline 😭 i know when commodities up, these commodities companies will go up too. So I will just wait and receive the dividend.

3. @Success88: $ComfortDelGro(C52.SI)$

Key Points:

• ComfortDelGro reported strong financial performance for the first half of 2024 (H1 2024). Earnings per share (EPS) grew by 22.22%, reaching S$ 0.04 compared to S$ 0.04 in H1 2023. Revenue also increased by 14.00%, reaching S$ 2.12 billion. Net income grew by 21.00%, reaching S$ 95.30 million. The company's profit margin also improved to 4.50%, representing a growth of 7.14% from the previous year's 4.20%.

• Looking ahead, ComfortDelGro's revenue is forecast to grow by 2.10% on average over the next three years. However, this is lower than the projected growth of 4.4% for the transportation industry in Asia.

• Over the past three years, ComfortDelGro's EPS has grown by an average of 10.00%, while the company's share price has declined by an average of -4.00%. This discrepancy suggests that investors may be concerned about the company's future growth prospects despite the positive financial performance.

Recent key developments include:

• Strategic Partnerships: The company has formed a strategic partnership with Pony.ai to develop and deploy autonomous vehicles for commercial operations.

• Geographical Expansion: ComfortDelGro has acquired A2B Australia, expanding its presence in the Australian market.

• Sustainability Focus: The company is actively pursuing greener initiatives, including partnering with DBS to accelerate the electrification of its UK bus fleet.

4. @Sporeshare: $Mapletree PanAsia Com Tr(N2IU.SI)$

Key Points:

Mapletree PanAsia Com Tr - She needs to overcome the resistance at 1.30 level!

A nice crossing over smoothly plus good volume we may see her rising up further towards 1.36 and above!

Next, she is likely rising up to test 1.43 than 1.50.

16th August 2024 update:

She is trading near all time low of which I think is a gd pivot point to consider! Yield is more than 6.7%, nav 1.70+, gearing is about 40%. Rate cut in September is about to happen in September, don’t miss out!

Chart wise, she is hovering near the support at about 1.20/1.21. Currently trading at 1.24, a nice bouncing up and crossing over 1.28 with ease we may see her rising up further to test 1.32 tyan 1.38.

31st July 2024 Update:

Gross revenue is down 0.2% to $236m versus $237m last year.

Net property income edged up 0.1 percent to S$179.4 million from S$179.2 million.

Distributable income declined 3.5 percent year on year to S$110.8 m versus $114.8m last year.

DPU is down 4.1% to 2.09 cents mostly due to high finance costs and forex exchange losses for Japan and China side.

Gearing is of 40.5%. The occupancy rate is 94%.

The divestment of Mapletree Anson, which is scheduled to be finalized on Wednesday will help to pare down debts and bring down the Gearing to 37.6% and a bit cater for dpu payout.

The dpu is below my expectations of 2.3 cents.

Questions for you:

Which SG Stock Are You Bullish On?

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⏰Duration

• 28 August (24pm EDT)