Singapore shares rallied this week, with the STI up 0.04% in the last five trading days. SGX rose 12% this week, YZJ Shipbldg SGD rose 6%; Delta TH SDR 1to1 fell 12.4%, Sri Trang Gloves fell 11.2%.

Market News

Singapore Exchange's Business Momentum Still Looks Solid

SGX's business momentum continues to look solid, OCBC Investment Research says in a note. The stock-exchange operator's market statistics for October showed the derivatives daily average volume surging 48% on year to a record, the team notes. SGX's securities business also posted robust growth in October, with market turnover value climbing 36% on year, the team says. Given the continued solid business momentum, OCBC expects improved economies of scale and lifts its FY 2025 core EPS forecast for SGX by 3.3%. It also raises the stock's fair-value estimate to S$12.21 from S$10.76, with an unchanged hold rating.

Sea Stock Jumps 10% This Week

In a remarkable display of resilience, Sea Ltd's stock surged to a 52-week high on Thursday, reaching a price level of $117.52. This significant milestone underscores the company's robust performance and investor confidence, marking a substantial turnaround from its previous positions. The stock rose 10% this week.

Analysts from Phillip Securities, TD Cowen, Morgan Stanley, and Barclays have all adjusted their price targets for Sea Ltd. Phillip Securities downgraded the stock from Neutral to Reduce, despite raising the price target to $100 from $80. TD Cowen, Morgan Stanley, and Barclays all raised their targets, with the latter two firms setting their targets at $131.

Grab Q3-Fueled Rally Overdone with Risk/Reward Skewed to Downside - Analyst

Grab Holdings's stock rose 7% this week.

Shares of Grab fell 11% Friday on the back of a double downgrade from BofA Securities to Underperform from Buy as the bank views the stock’s recent rally on solid Q3 results as overdone and vulnerable to downside pressure.

Earlier this month, Grab (GRAB) beat EPS and revenue expectations and raised its revenue and EBITDA outlook above Wall Street’s estimates, driving shares up 30% since then to a nearly 3-year high, currently

“After this outperformance, we believe risk-reward is more skewed to the downside as the stock is currently trading at FY26 estimated EV/adjusted EBITDA of 30x and P/E of 57x,” BofA analyst Sachin Salgaonkar said.

Singapore stocks to benefit from MAS reforms next year, Morgan Stanley says

South-east Asia’s top-performing stock market in 2024 is likely to continue its momentum into 2025 as Singapore unveils measures to revive its stock market, according to analysts at Morgan Stanley.

Analysts are bullish on the overlooked market in the near term, citing the Monetary Authority of Singapore’s (MAS) efforts to boost stock markets and the US election uncertainty favouring defensive positioning.

In August, MAS said it had formed a review group to recommend steps to strengthen the development of the equities market in the Republic, which hosts more than US$4 trillion (S$5.4 trillion) of assets under management.

Singapore Hin Leong Founder O.K. Lim Sentenced to 17-1/2 Years in Jail, Media Reports

The founder of collapsed Singaporean oil trading firm Hin Leong Trading Pte Ltd was sentenced to 17-1/2 years in prison on Monday for cheating global bank HSBC and abetting forgery, local media reported.

Lim Oon Kuin, known as O.K. Lim, was convicted on two counts of cheating and one of instigating forgery in May. The convictions were over the disbursement by the bank of $111.7 million in March 2020 as payment for two oil sales contracts that prosecutors said were fabricated.

CapitaLand Warns of China Losses as Singapore Property Investor Cuts Exposure

CapitaLand Investment Ltd., one of Asia’s largest property investment managers, warned of potential losses as it seeks to extricate itself from China’s real estate crisis.

The Singapore-based firm wants to reduce its exposure in the world’s second-largest economy to 10-20% of its expected S$200 billion ($149 billion) in funds under management by 2028, it said in an investor day presentation Friday.

In doing so, the company may incur “potential fair value or divestment losses” that impact near-medium term non-operating earnings, it said. Its current exposure to China is 27% of its S$113 billion in funds.

Singapore Tenants May Have the Upper Hand in 2025

Morgan Stanley said it opened its new Southeast Asia headquarters in Singapore's swanky downtown business district this week.

An expanding list of global investors and financial institutions have flocked to Singapore, lured by low taxes, political stability and the city-state's location as a gateway to Southeast Asian markets.