JEP - Stock calls

Date	Analyst	Company	Last	Target	Call	Valuation
08/21/20	Phillip	JEP	0.19	0.158	Reduce	PB1x
10/27/20	UOB Kay Hian	JEP	0.175	0.2	Buy

Jardine Matheson - Stock calls

Date	Analyst	Company	Last	Target	Call	Valuation
08/03/20	CIMB	Jardine Matheson	40.92	48.61	Add	PB0.78x FY20
12/02/20	CIMB	Jardine Matheson	54.52	54.68	Hold	PB0.85x
03/09/21	CIMB	Jardine Matheson	62	54.68	Hold	PB0.85x

Stock calls for 14 April 2021

Date	Analyst	Company	Last	Target	Call	Valuation
04/14/21	DMG & Partners	Frencken	1.59	1.77	Buy	PER14x
04/14/21	Macquarie	SGX	10.16	11.5	Outperform	DDM
04/14/21	CIMB	Sheng Siong	1.53	1.88	Add
04/14/21	UOB Kay Hian	SIA	5.53	4.4	Sell	PB1x FY22/23

US M1 money supply is scary!

 US M1 Money Supply Chart.

It is scary to look at how much money the US has issued to support its stimulus packages.  The US will issue more USD because of the US$2.3T infrastructure bill.  Hyperinflation will be awaiting the US if the US continues to issue more USD.

Therefore, it is imperative for the US to raise its corporate taxes since it has to support its additional stimulus packages and also to finance its deficit.

Let's look at the US deficit now.

The corporate tax income (US$15B) in march was not even enough to pay for the March US debt interest (Net interest US$31B).

The US has a deficit of US$1.7T for this year and it has no choice but to raise its corporate taxes to finance its deficit.  However, raising the corporate taxes won't be enough and the US has to find other means to fund its expenditures.

China's monetary tightening will impact the USD. Why? - Part 3

http://sg-stock.blogspot.com/2021/03/chinas-monetary-tightening-will-impact_9.html

The latest updates on China's credit impulse are below.

The upcoming QE tapering and China's monetary tightening will cause the US treasurys' yields to surge beyond expectations if these 2 events are allowed to materialize in 2021.

US inflation surges 2.6% yoy, the biggest gain since 2009.

https://www.reuters.com/article/us-usa-economy-inflation/u-s-consumer-prices-post-biggest-gain-in-over-8-1-2-years-idUSKBN2C01KU

We've nailed it again!  Just look at our analysis and prediction below.

http://sg-stock.blogspot.com/2020/10/the-us-inflation-is-coming-part-4.html

Let's look at US inflation in detail.

Important message from St. Louis Fed Bullard.

https://finance.yahoo.com/news/fed-bullard-says-75-vaccinations-171818709.html

St. Louis Fed Bullard has indicated something very important for the stock market.  He is proposing that the US Fed will likely commence QE tapering after vaccination reaches 75% to 80%.  In other words, the US Fed should terminate its bond purchase program after the US reaches its herd immunity.

What's the repercussion?

Well, the termination of the bond purchase program will push up the treasury's yields which will cause stock valuations to drop.  Please read below to understand the relationship between treasury's yield and the stock valuation.

http://sg-stock.blogspot.com/2021/01/the-us-fed-is-lying-again.html

Fed Bullard also recognizes in his speech that the US will face higher inflation in 2021.  We had warned about the higher US inflation much earlier.

http://sg-stock.blogspot.com/2021/03/the-us-inflation-is-coming-part-11.html

Japfa - Stock calls

Date	Analyst	Company	Last	Target	Call	Valuation
05/18/20	UOB Kay Hian	Japfa	0.635	0.98	Buy	Sum of parts
05/18/20	DBS Vickers	Japfa	0.635	0.86	Buy	Sum of parts, PER10x FY21
06/30/20	DBS Vickers	Japfa	0.67	0.82	Buy	Sum of parts, PER10.5x FY21
08/03/20	UOB Kay Hian	Japfa	0.66	0.98	Buy	Sum of parts
08/03/20	DBS Vickers	Japfa	0.66	0.82	Buy	Sum of parts
08/03/20	CIMB	Japfa	0.66	0.96	Add
10/13/20	CIMB	Japfa	0.65	0.96	Add
11/02/20	UOB Kay Hian	Japfa	0.645	0.98	Buy	Sum of parts
11/02/20	DBS Vickers	Japfa	0.645	1.03	Buy	sum of parts, PER11.3x FY21
12/08/20	UOB Kay Hian	Japfa	0.805	1	Buy	Sum of parts
12/08/20	DBS Vickers	Japfa	0.805	1.03	Buy	sum of parts, PER11.3x FY21
12/10/20	CIMB	Japfa	0.825	1	Add
03/02/21	CIMB	Japfa	0.935	1.18	Add
03/03/21	UOB Kay Hian	Japfa	0.94	1.17	Buy	Sum of parts, PER8.2x FY20
04/08/21	CIMB	Japfa	0.9	1.18	Add

Japan Foods - Stock calls

Date	Analyst	Company	Last	Target	Call	Valuation
05/06/20	DMG & Partners	Japan Foods	0.35	0.35	Neutral	Sum of parts
06/16/20	DMG & Partners	Japan Foods	0.33	0.35	Neutral
07/22/20	DMG & Partners	Japan Foods	0.325	0.33	Neutral	Sum of parts
08/28/20	DMG & Partners	Japan Foods	0.33	0.33	Neutral

Ix Biopharma - Stock calls

Date	Analyst	Company	Last	Target	Call	Valuation
10/02/20	Phillip	Ix Biopharma	0.235	0.455	Buy	DCF
02/19/21	Phillip	Ix Biopharma	0.255	0.445	Buy	DCF
04/08/21	Phillip	Ix Biopharma	0.255	0.445	Buy	DCF