Rumours overheard at Robinson Road!!

I was at Robinson Road today and saw a queue of policy holders at
AIA tower wanting to redeem their policy and/or sell their AIA funds.
Being KPO, I went to talk to some of the people in the queue, and somehow
the topic settled on Stock Market rumours which is also my cup
of tea, so I walk along with them on the outskirt of the queue,
and record the rumours that I heard:

First off we have the French, Mr BNP said that Wilmar and Golden Agri need
to slim down and reduce both their TP to $3.80 and $1.10 now.
But he like SMRT and increase the TP to $2.17
(Frankly, Wilmar and Golden Agri will always be in the trader's mind
as long as there is a sector rotational play, so keep a close watch on it
together with First Resources and Indofood)


Next we have the Japs, Nomura san like Sembmarine so much and
upgraded it to a Strong Buy rating, but Daiwa san don't like
Ferrochina and reduce the TP to $1.55
(I like Ferrochina both for its fundamental and it as a long-time
trading stocks. Infact, I have grab it as low as possible during
the last 2 days unjustly big fall in the price. I am holding it
for a mid-term period, and it should be quite safe.)

Let's see what the Aussies and the Europeans got to say about our stocks: Mr Macquarie reduce First Resources, Indofood and Olam's TP to $1.20, $2.60 and $2.90 respectively.
(I have already given my view on the palm plantation stocks on top, and Olam being a ever-growing commodities stock will always be in my radar watch)

Swiss UBS and British Cazenove downgraded 3 stock's TP, Sembcorp become a $4.80 TP by UBS, and our dearest Singtel become $3.15 and China Hongxing TP drop to a mere $0.53 by Cazenove. (Singtel being the largest market cap stock in Singapore will always be in the limelight and it should be well supported at major support level.)

Lastly we have the sick and troubled Americans: Citi still feel that our market is quite strong enough to achieve a target of 2820 for STI, which is good enough for me. But they also reduce SGX TP to $4.70, which is a steal at this level.

We have troubled ML next, and they downgraded our 3 local banks, with DBS and OCBC become Underperform, and UOB become Neutral. The Revised TP are $16 for DBS, $8 for OCBC and $20 for UOB, and doubt that they will remain a “safe haven” for much longer. (I sincerely believe we will last longer than them, and at this time next year, maybe we will no longer see ML, or it has a new name or a new "master")

Cosco's rating was reduced to Neutral by ML too, but I see it more of a SELL as the TP dropped to $1.75 from $4.80, what do you think?

Look like maybe there will be more queues forming at different places, and I should keep a look-out and join them to discover more rumours that are flying all around us now.....

Rumours overheard today and days ago??!!

Overheard that GS DOWN Keppel Corp and Guccoland target price (TP),
Keppel Corp got dropped to $13, and Gucco dropped to $2.50.
CLSA follow suit and DOWN SGX and Capitacommercial Trust too,
SGX got downgraded to Underperform and become a SELL now.
Capita TP reduced to $2.29.

UBS said in their reports that they downgraded both K-Reit and Macquarie Prime Reit
to SELL, K-Reit TP become $0.93, and Prime Reit become $0.95
By the way, Macquarie also said K-reit need to slim down,
and the TP at $1.25

Citi is busier in their reports, our 3 local banks all got a SELL rating,
DBS TP at $16.75, UOB at $17.60, the smaller OCBC at $7.60
- Frankly, if they dropped further, it will be a great bargain,
because as and when the economy recovers, the banks share
will lead the charge, and the surge will be Fast and Furious.

Other stories include CapitaMall Trust become a BUY now with TP at $3.30,
but Raffles Edu got downgraded to HOLD with TP at $0.95
- I believe Raffles Edu is still in an aggressive M&A move,
they are hungry to continue expanding their student
and campus' reach, but their main issue is they need$$$,
and that will mean either incurring more debts, or as usual,
issuing new shares.
I wonder why they don't want to try to sell to OHL,
if he is in, then its share price and future will look
rosier.
Just a wild wishful thought on my side.

Big Brother Lehman also continue the cutting trend, and
this time is our beloved 2 telcos.
Starhub TP is at $3.08, and Singtel become a Equalweight now.
- Incidentally if you have read some FA books, the rating
of Equalweight is equivalent to a SELL rating,
just at a nicer-phrased word.


On a lesser note, DB said the Property company WingTai is expensive now,
so need to put the TP at $1.45 now.
- I don't really know about the stock, but I know WingTai's property
project's standard and class. This is just my view and not an advertisement!
HaHe....
ML also downgraded City Dev to Neutral.
- I know of an old-friend who is a die-hard supporter of
City Dev, not the properties, but its shares. I better ask him
how many shares he has accumulated all this years,
maybe he has become a Substantial Shareholder now??!! OMG!!

Jap Nomura securities also join in the reports and downgraded Noble
to a not-so noble TP of $2.29
-I consider Noble as a mid-cap, in the same category as Olam and
Straits Asia, and I strongly they will never become a small-cap
again even if the market keep falling down the cliff.
Frankly, the chances of them becoming a big-cap when
the market recovers is higher than it tumble down to
the hard floor.

Looking at all these CUT and Downgrade reports,
I have only one thing in my mind...........
It's time for me to get a hairCUT, and "Downgrade"
my spending on certain brands of products.

Research Report on Singtel by ML, Raffles Education by CS and Asia Plantation Stocks by BNP

Singtel 7 April ML
http://www.mediafire.com/?t1sizjxoonb

Raffles Education 8 April CS
http://www.mediafire.com/?p1eoy39injx

Asia Plantation Stocks 7 April BNP
http://www.mediafire.com/?hnuefwcd1on