NEWS!

Haven been quite tied up with other stuff, so never really posted much. All the Asian stock markets crashed today. I had my fair share as my portfolio suffered the biggest loss in a day today.

Anyway I am working on a new personal site for myself. It will be an integrated blog site where I will post everything under the sun, including my interests: investments, drawings, sales, and everything about me! Do look out for it!

Cheers to a brighter tomorrow.

Corporate Tax Cut - SIngapore

As announced, Singapore's companies shall receive a corporate tax cut. This shall have a big impact on the companies' overall earnings, which in turn will result in higher after-tax profits.

I saw this report by Citigroup (soon to be called Citi) and I thought it will be interesting to be used as a reference:

(if its not clear, I believe the file can be viewed clearly when you click on it)

Stcok Watch: CapitaLand

Firstly, CapitaLand has released it 4th quarter results and from the figures provided by analysts, they posted a 389 percent surge in fourth-quarter net profit to S$455.8 million ($295.8 million), beating analysts' expectations of 9 percent profit growth. This amazing result will surely boost the stock price of CapitaLand.

Secondly, They just bought a significant share in a Japan Reit recently. This will have them take their first step to expand into Japan. With their rapid expansion in China as well, investors can expect further uptrend in the future , and I foresee an upgrade on the recommendation for the stock. Cheers to a day of ups for Singapore market!

Outlook for the week! + New/Old Book?

Just caught a book selling in San bookstore recently. It's called "Intelligent Investor" by Benjamin Graham. This book is supposedly recommended by Warren Buffett himself, when he mentioned this is one of the books which he read and learnt from. Wonder if its a good title?

Anyway, just read in the news that oil prices had eased once more, perhaps this may give manufacturing stocks a push? As for Singapore Market, outlook remains bullish, but I guess a major correction will come soon. My guess is that with the CNY approaching, volumes should be high, with investors and speculators both hoping to get a FAT wallet for the holidays!

Stock Watch: City Spring Trust shall be listed on 12 Feb, Monday. IPO price stands at maximum bid of S$0.89 a share. With all the sky high prices on the first day of trade of IPOs listed these days, we can expect pretty good outlook for the stock!
(p/s Termasek Holdings backs this one up!)

Stock Recommendations

Merill Lynch
Stocks / Target price
1) CapitaLand 8.58
2) City Development 16.75
3) F&N 6.10
4) Gallant Investments 1.63
5) Keppel Land 9.25

DBS Vickers
Stocks / Target price
1) SP Chemicals 1.20
2) Wheelock Properties 3.55
3) China EnerSave 0.26
4) Capitamall Trust 3.64
5) China Fishery 4.97
6) Cosco Corp 3.23
7) Keppel Corp 23.40
8) Suntec Reits 2.20
9) Epure Int 1.85
10) Inter-Roller 1.05
11) Jiutian Chemical 2.03
12) MMI Holdings 1.58
13) SC Global 5.00

Straits Times Index

Some updates recently on STI....just FYI...

Stocks / Index Weight (%)
Allgreen 0.53
Ascendasreit 0.93
CapitaComm 0.61
CapitaLand 4.75
CapitaMall 0.95
Chart SemiCond 0.83
CityDev 2.86
ComfortDelGro 1.37
Cosco Corp 0.97
Creative Tech 0.28
DBS Grp 10.75
Datacraft 0.17
F&N 2.31
Gen Intl 0.60
HK Land 3.78
Hyflux 0.28
JMH 2.97
JSH 2.06
Jardine C&C 0.72
Jurong Tech 0.06
Keppel Corp 4.68
Keppel Land 1.11
Labroy Marine 0.25
M1 0.38
NOL 0.52
Noble Grp 0.36
OCBC Bk 8.84
Olam 0.43
Parkway Hldgs 0.62
People's Food 0.34
SGX 3.19
SIA 4.35
SPC 0.36
SPH 3.30
ST Engg 1.55
STATSChP 0.80
Semb Corp Ind 1.67
SembMar 0.81
SingPost 0.62
SingTel 11.43
Star Hub 0.82
SuntecReit 0.88
TAC 0.18
Thai Beverage 0.62
UOB 10.92
UOL 1.10
UTAC 0.41
Venture Corp 0.85
Want Want 0.37
Wing Tai 0.41

Stock Focus - Asiapharm

Notice I have taken keen interest into this company....just sharing my view and updates.

Recommendations:

1) CIMB - OUTPERFORM, target price - S$0.96

2) OCBC - BUY, target price - S$0.87

News update:

China's National Development andReform Commission (NRDC) announced its latest price changes to 354 drugs,effective 26 Jan 07. Over 240 drug prices were cut by an average of 20%while prices of 100+ drugs' were increased. APHM announced yesterday that 3patented drugs were affected (Maitongna, Okai and Sidinuo).

Strong fundamentals with its aquisitions and monoply on some drugs will result in only a marginal hit from the news. Strong ability to adapt to the recent regulatory changes in the China drug industry proves its ability.

Current Stock Watch: Asiapharm, Sapphire, Aztech, Lifebrandz, Hong Leong Asia