I chanced upon a list of “target prices” that DBS Treasury published for selected Singapore equities. I compared these target prices against the current prices of the companies in my watchlist and got the table below.
I thought of sharing this table with you.
It shows the biggest upsides between the current prices and the target prices for the Top10 companies in my watchlist.
I also chose those that were analysed and had reports published by DBS Treasury in the last 3 months so that the review is more relevant.
| Companies | Price 6Apr18 | DBS Tgt Price | % Upside | Last Rpt Date |
| Keppel Corp | 7.7 | 10.2 | 32% | 26-Jan |
| Thai Beverage | 0.8 | 1.02 | 28% | 15-Feb |
| Ascendas Hospitality | 0.785 | 0.97 | 24% | 5-Feb |
| Suntec Reit | 1.88 | 2.3 | 22% | 25-Jan |
| Frasers Properties | 1.94 | 2.35 | 21% | 12-Feb |
| SIA Engineering | 3.19 | 3.56 | 21% | 5-Feb |
| MapleTree GCC | 1.16 | 1.4 | 21% | 29-Jan |
| Capitaland | 3.61 | 4.35 | 20% | 14-Feb |
| Frasers Com Trust | 1.42 | 1.71 | 20% | 23-Jan |
| Netlink Trust | 0.81 | 0.97 | 20% | 6-Feb |
This is not a post to recommend you to buy of any stocks above. But I like to share the availability of such an information on the public internet for you to obtain an alternate reference points in your investment decision. If you are not doing any research of your own, this may be a useful reference to use.
Personally, I am surprised by the high valuations that some of these companies have attracted from DBS analysts and also the wide gap between target and market prices. Generally, we said that market price is the best reflection of a company’s intrinsic value unless there is something that the market is not aware or is extremely pessimistic in their outlook (like the current potential trade war or accelerated rise in interest rate). If it is the latter, then it will be a good time to accumulate these companies.
By the way, in case you are wondering, I am vested in most of them with the exception of Ascendas Hospitality and MapleTree GCC Trusts,
Source- https://investforyourself.blog/2018/04/08/what-stock-to-accumulate-alternate-reference-point/
Post a Comment