Singapore Stock Market News

SMRT - Capex guidance a negative surprise

StockFanatic
Publish date: Mon, 05 May 2014, 10:46 AM
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Results briefing takeaways

Capex for FY3/15E to be maintained at FY3/14 levels of SGD650m, contrary to our expectations for SGD280m.

■ Still no visibility on the specifics of the new business models for its fare-based business.

■ Lower FY3/15E-17E earnings by 14-51% to reflect higher depreciation charges. TP falls to SGD0.50, still based on 14x FY3/15-17E P/E. Reiterate SELL.
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