Stock calls for 4 September 2023

Date	Analyst	Company	Last	Target	Call	Valuation
09/04/23	UOB Kay Hian	Bumitama	0.55	0.65	Buy	PER6x FY24
09/04/23	UOB Kay Hian	Comfortdelgro	1.27	1.56	Buy	PER15x FY24
09/04/23	UOB Kay Hian	CSE Global	0.485	0.61	Buy	PER15x FY24
09/04/23	Lim & Tan	DBS	33.3	37.52	Buy
09/04/23	UOB Kay Hian	Delfi	1.25	1.83	Buy	PER17x FY24
09/04/23	Kim Eng	Food Empire	1.08	1.36	Buy	PER11x FY23
09/04/23	DBS Vickers	Ifast Corp	5.68	3.92	Fully Valued	DCF
09/04/23	UOB Kay Hian	Keppel Corp	6.94	9.09	Buy	Sum of parts
09/04/23	Lim & Tan	Keppel Corp	6.94	7.87	Buy
09/04/23	UOB Kay Hian	LHN	0.34	0.55	Buy	PER9x FY23
09/04/23	UOB Kay Hian	Mapletree Industrial	2.3	2.89	Buy	DDM
09/04/23	DBS Vickers	Mapletree Logistics	1.68	1.88	Buy	DCF
09/04/23	UOB Kay Hian	OCBC	12.55	18.22	Buy	GGM, PB1.45x FY24
09/04/23	UOB Kay Hian	Seatrium	0.145	0.19	Buy	PB1.5x FY24
09/04/23	UOB Kay Hian	Sembcorp Industries	5.35	7.2	Buy	PER13.6x
09/04/23	UOB Kay Hian	Thai Beverage	0.57	0.83	Buy	Sum of parts
09/04/23	SAC Capital	Uni-Asia	0.91	1.14	Buy	PB0.45x
09/04/23	Lim & Tan	Wing Tai	1.35	1.8	Accumulate	PB0.44x

The ISM PMI has been contracting for 10 consecutive months already.

There are 1 important thing to note from the latest ISM PMI publication.

The new order (46.8, -0.5) declined because of worsening new local order (Est'd -0.8).  This means that the local consumer spending is still contracting.  As the chart indicates, almost all the subcomponents are in a contraction zone (below 50).

The ISM PMI has also been contracting for 10 consecutive months already.  With the weakening consumer spending, the 2nd half of 2023 won't be better than the 1st half.

3 important economic statistics for the past week.

The job gap has narrowed to 3m from 4m which means the labour market is softening.  This is to be expected because of depleting pandemic household savings and front-loading of purchases.

US GDP growth (2nd Qtr): 2.1%

The US GDP growth only increased marginally in the 2nd quarter and the first half of 2023 was estimated to be better than the latter half because household savings would not be available to boost the GDP growth in the 2nd half of 2023.  Thus, the US GDP growth for 2023 would not exceed 2.5% under the existing conditions.

The core PCE had increased marginally to 4.2%.  We had stated previously that the US inflation would remain relatively stable at this level (see below).

https://sg-stock.blogspot.com/2023/08/us-inflation-is-going-to-remain.html

Baltic dry index - 1065

Related stock: Sembcorp Marine, Cosco & Pan Ocean.

US rig count (weekly) - 632

Related stock: Sembcorp Marine & Cosco.

Asia Enterprise - Stock calls

Date	Analyst	Company	Last	Target	Call	Valuation
02/10/23	Lim & Tan	Asia Enterprise	0.159	0	Accumulate

Ascendas India Trust - Stock calls

Date	Analyst	Company	Last	Target	Call	Valuation
07/15/22	DBS Vickers	Ascendas India Trust	1.13	1.7	Buy
07/15/22	Lim & Tan	Ascendas India Trust	1.13	1.51	Buy
08/02/22	DBS Vickers	Ascendas India Trust	1.2	1.7	Buy	DDM
11/01/22	DBS Vickers	Ascendas India Trust	1.12	1.5	Buy
12/07/22	Lim & Tan	Ascendas India Trust	1.15	1.4	Buy
12/13/22	DBS Vickers	Ascendas India Trust	1.12	1.5	Buy
12/30/22	Citi Research	Ascendas India Trust	1.12	1.5	Buy	Sum of parts
01/18/23	DBS Vickers	Ascendas India Trust	1.17	1.5	Buy
02/07/23	Lim & Tan	Ascendas India Trust	1.19	0	Hold
02/08/23	DBS Vickers	Ascendas India Trust	1.18	1.5	Buy
04/20/23	Citi Research	Ascendas India Trust	1.09	1.25	Buy
05/17/23	DBS Vickers	Ascendas India Trust	1.03	1.45	Buy	DDM
07/31/23	DBS Vickers	Ascendas India Trust	1.16	1.45	Buy	DDM