Singapore Stock Market News

ComfortDelGro - A-OK results

StockFanatic
Publish date: Tue, 13 May 2014, 05:29 PM
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ComfortDelGro (CD) did not surprise us with its 1Q14 EPS, which was broadly in line with expectations, at 23% of our FY14 forecast. While our FY14-16 EPS estimates remain unchanged, we raise our DCF-based target price (7.1% WACC) to reflect the better earnings visibility and balance sheet status now. CD's overseas business growth could provide a re-rating catalyst and the stock is supported by decent dividend yields, which have upside potential if there is a shift to the anticipated cost-plus business model in Singapore.
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