SIA, UMS Holdings amongst top stocks in November: UOBKayHian
The broker said the two stocks are expected to post robust revenue growth.
Singapore Airlines and UMS Holdings both outperformed the index in November, with an 8.9% market cap weighted basis, said UOBKayHian.
For the broker, the Straits Times Index had an “impressive month” in November as sectors were driven by signs of slowing US inflation.
“This led to improved market and investor sentiment which attracted cash-rich investors that were mostly on the side-lines in October 2022. Also, the slight easing of China’s COVID-19 restrictions lifted hopes for an earlier-than-expected shift away from its ongoing zero-COVID policy, boding well for Asia’s regional economic outlook,” it said.
It added Singapore Airlines and UMSH to their portfolio as both are expected to post strong revenue increases. UMSH also has a huge order backlog.
UOBKayHian “takes profit” for First Resources and Yangzijiang Shipbuilding whilst removing ComfortDelGro.