1a.) Frasers Property Ltd: Declared a final dividend of 4.5 cents, payable on February 14, 2025.
1b.) Thai Beverage: Announced a final dividend of THB47 cents, payable on February 28, 2025.
2.) Marco Polo Marine: Despite a slight earnings miss in FY2024 (core earnings of \$26 million vs. forecasted \$27.5 million), the outlook for FY2025 is positive. MPM expects additional revenue from its new CSOV and dry dock. Trading at 6-7x forward price-to-earnings (PE) and 1x PB, with a 2% dividend yield, the company is rated as “Accumulate on Weakness,” given stable charter rates and potential catalysts from its Taiwan operations.
3.) Singpost: With the reduction of Australian debt and the potential Famous Holdings sale, approximately SGD400-450 million in excess sales proceeds could be distributed as special dividends. SingPost currently holds SGD428 million in cash, suggesting limited need to retain proceeds from asset sales. This translates to potential special dividends of SGD0.17-0.20 per share. The board has confirmed its commitment to monetizing non-core assets, including Famous Holdings, SingPost Centre, and post offices.
Despite recent events, the roadmap for returning shareholder value remains unchanged. Shareholders could potentially receive up to SGD0.86 per share if all targeted assets are monetized. Maybank Research believes downside risk is limited and maintains a strong BUY rating, urging investors to focus on the fundamentals . The current share price is SGD0.54 with a 12-month price target of SGD0.77, representing a potential 43% upside
4.) Seatrium: The report maintains a BUY recommendation for the stock with a target price of S\$2.80, reflecting a 36.7% upside from the current share price of S\$2.07. Seatrium is positioned in the Industrials sector, with a market capitalization of S\$7,009.1 million (US\$5,147.7 million) and major ownership by Temasek Holdings (37.9%).
The company spent over S\$43 million repurchasing approximately 25.2 million shares at an average price of around S\$1.72.
With less than 44% of its authorized buyback amount utilized, further buybacks are anticipated in the lead-up to the 2024 results announcement in late February 2025.
5.) Hong Kong stock picks:
CATL (Ticker: 300750 CH) – BUY
CATL is poised to benefit from the global surge in electric vehicle (EV) adoption, with an expected compound annual growth rate (CAGR) of 20% for global EV sales from 2023 to 2030. The company is launching cutting-edge battery products and stands to gain from declining lithium carbonate prices. CATL’s growth is further supported by strong monthly EV battery shipments and impressive Q4 2024 results.
The stock is currently trading at 19x 2025 forecasted price-to-earnings (PE) ratio, below its three-year historical mean of 27x. The target price has been revised to RMB 350.00, reflecting a valuation of 26x 2025F PE, justified by a lower weighted average cost of capital (WACC) of 11% in the 10-year discounted cash flow (DCF) analysis.
Key Catalysts: Growth in monthly EV battery shipments and robust Q4 2024 results.
Crystal International (Ticker: 2232 HK) – BUY
Crystal International aims for record-high revenue in 2024, driven by solid order growth across its five product categories. The company is well-positioned for wallet share gains from key customers through vertical integration, strong R&D capabilities, and enhanced automation. Forecasts show revenue growth of 13.3% in 2024 and net profit growth of 23.9% backed by efficient operations and stringent cost controls.
The stock is expected to benefit from inclusion in the Stock Connect program during February 2025 and potential special dividends for 2024. The target price is HK\$5.12, based on a 9.2x 2024F PE ratio.
Key Catalysts: Stronger order growth in 2025 and inclusion in Stock Connect.
JD Logistics (Ticker: 2618 HK) – BUY
JD Logistics is positioned as a leader in China’s integrated supply chain services. The company is expected to post strong Q4 2024 results, driven by the 11.11 sales promotion period and collaboration with Alibaba. Analysts forecast a core net profit of RMB 7.42 billion for 2024, a significant improvement from RMB 1.99 billion in 2023.
Its target price is HK\$22.00, based on a discounted cash flow (DCF) valuation.
Key Catalysts: Continued collaboration with Alibaba and steady financial performance in 2025.
Trip.com (Ticker: 9961 HK) – BUY
Trip.com is capitalizing on strong international and outbound travel demand. Revenue for Q4 2024 is projected to grow 17-22% year-on-year, driven by robust international tourism. The company expects outbound tourism to achieve 2-3x growth in 2025, outpacing the industry average.
The SOTP-based target price is HK\$640.00, implying a 26.4x 2025F PE ratio.
Key Catalysts: Expansion into lower-tier cities and implementation of travel bubbles.
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