Lim & Tan Securities: Comprehensive Market Insights and Stock Recommendations (April 3, 2025)
Singapore Equities Brace for Turbulence Amid Escalating Trade War
In a move that has sent shockwaves through global markets, the U.S. President has unveiled a more aggressive trade policy, ratcheting up tariffs on imports from major trading partners. This decision has sparked fears of a prolonged trade war, threatening to derail the fragile economic recovery and stoke inflationary pressures.
The report delves into the potential implications of these policy shifts, analyzing their impact on the Singapore equity market and highlighting key stock recommendations to navigate the uncertain landscape.
CapitaLand Investment (CLI): Positioning for Long-Term Growth
CapitaLand Investment (CLI), the real estate investment and management arm of the CapitaLand Group, has showcased its resilience and adaptability in the face of challenging market conditions. The report outlines the company’s strategic priorities, including:
Sharpening its focus as a real asset manager, delivering sustainable growth and compounding returns for investors
Steadily expanding its presence in core markets like Singapore, India, and China, while methodically growing in Australia, Japan, and Korea
Leveraging its strong balance sheet to capitalize on market dislocations and seize strategic acquisition opportunities
Driving efficiency and targeting mispriced assets to generate alpha in a volatile environment
With a diversified portfolio, a well-executed growth strategy, and a robust financial position, CLI is poised to navigate the turbulent market landscape and emerge as a globally competitive asset manager. The report highlights CLI’s attractive valuation, with an undemanding P/E ratio and a dividend yield exceeding 5%, making it a compelling investment opportunity.
Ant Group’s AI Breakthrough: Challenging Nvidia’s Dominance
The report delves into the innovative work being carried out by Ant Group, the fintech affiliate of Alibaba, in the field of artificial intelligence (AI). Ant has reportedly developed techniques to train large language models (LLMs) using domestic semiconductors, potentially offering a cost-effective alternative to the high-performance GPUs produced by industry leader Nvidia.
By optimizing the Mixture of Experts (MoE) machine learning approach, Ant claims to have achieved results comparable to Nvidia’s H800 chips, but at a significantly lower cost. This breakthrough could mark a significant step forward for Chinese AI development, potentially disrupting the dominance of Nvidia and other global tech giants in the AI infrastructure market.
The report highlights the implications of Ant’s advancements, including the potential to drive broader adoption of AI technologies by addressing the cost barriers that have limited their accessibility for smaller firms.
Dividend Announcements and Corporate Actions
The report also provides a comprehensive overview of the upcoming dividend payments, special distributions, and other corporate actions for a wide range of Singapore-listed companies. This section offers valuable insights for investors seeking to optimize their portfolio income and stay informed about the latest developments in the local equity market.
Companies Under SGX Watchlist
The report concludes with a detailed list of companies currently under the Singapore Exchange’s (SGX) watchlist, including the latest additions. This information is crucial for investors to be aware of the regulatory scrutiny and potential risks associated with these companies, enabling them to make informed investment decisions.
Overall, this comprehensive report from Lim & Tan Securities provides a detailed analysis of the key trends, company-specific insights, and regulatory updates shaping the Singapore equity market. Investors and market participants can leverage this information to navigate the turbulent market conditions and identify potential opportunities for growth and yield generation.
