CGS International April 22, 2025 Jardine Matheson Holdings Ltd: Technical Buy – Reversion to the Upside Key Takeaways from Overnight Recap US assets experienced a selloff following President Trump’s criticism of Jerome Powell, impacting stocks, the dollar, and longer-dated Treasuries. [[1]] The S&P 500 and other major US stock indexes each fell by more than 2.5%, while the dollar index weakened to a 15-month low. [[1]] The benchmark 10-year Treasury yield approached 4.4% as investors moved away from US securities. [[1]] Haven assets like gold and the Swiss franc saw increased demand, with gold rising above \$3,400 an ounce. [[1]] The US credit market also experienced weakness, with the cost of protecting high-grade credit securities against default increasing. [[1]] Several investment-grade companies postponed bond sales due to unfavorable market conditions, with only American Express Co. proceeding. [[1]] Wilmar International: Growth in Limbo Wilmar International’s estimated 1Q25F net profit is projected to range from US\$360m to US\$380m, showing both quarter-over-quarter and year-over-year growth. [[1]] [[2]] The growth is expected to be supported by improved soybean crushing and palm oil refining margins. [[2]] Despite the anticipated earnings growth in 2025F, the recommendation for Wilmar International has been downgraded to Hold, factoring in uncertainty from Indonesia. [[2]] Coverage of Wilmar International has been transferred to Jacquelyn Yow. [[2]] Jardine Matheson Holdings Ltd – Technical Analysis Last Price: 42.28 [[2]] Recommendation: Technical Buy – Reversion to the upside [[2]] Key Price Levels Entry Prices: 42.28, 41.40, 38.00 [[2]] Support 1: 41.45 [[2]] Support 2: 37.14 [[2]] Stop Loss: 34.78 [[2]] Resistance 1: 44.70 [[2]] Resistance 2: 50.00 [[2]] Target Prices Target Price 1: 46.25 [[2]] Target Price 2: 50.10 [[2]] Target Price 3: 56.10 [[2]] Target Price 4: 60.16 [[2]] Company Overview Jardine Matheson Holdings Limited operates as a holding company with subsidiaries focusing on motor vehicles, property investment and development, food retailing, health and beauty, home furnishings, engineering and construction, transport services, restaurants, luxury hotels, financial services, heavy equipment, mining, energy, and agribusiness. [[2]] Analyst CHUA Wei Ren, CMT [[2]] T (65) 6210 8612 [[2]] E weiren.chua@cgsi.com [[2]] Technical Analysis Summary JMH has reached the first target price of S\$44.25 based on a previous Trendspotter report dated 6 Nov 24. [[2]] Price action indicates strong positive momentum for the uptrend to continue, leading to an addition to the technical buy position. [[2]] Key Pointers Despite a heavy correction, JMH has rebounded at the 61th percentile of the larger swing low to high at US\$32.50-US\$44.67 and broken above the downtrend line of May 2021 for the 2nd time. [[2]] A strong bullish closure above the bearish gap signals further bullish confirmation. [[2]] Prices are trending above all Ichimoku Cloud elements (kumo, conversion, and base line). [[2]] MACD histogram has turned positive, with MACD/signal line staying elevated above the zero line. [[2]] The 23-period ROC remains elevated above the zero line, indicating bullish divergence. [[2]] Volume remains in a healthy expansion. 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[[7]] Underweight: Stocks in the sector have, on a market cap-weighted basis, a negative absolute recommendation. [[7]] Country Ratings Definition: Overweight: Investors should be positioned with an above-market weight in this country relative to benchmark. [[7]] Neutral: Investors should be positioned with a neutral weight in this country relative to benchmark. [[7]] Underweight: Investors should be positioned with a below-market weight in this country relative to benchmark. [[7]] Rating Distribution (%) Distribution of stock ratings and investment banking clients for quarter ended on 31 March 2025 [[7]] Add: 71.0% [[7]] Hold: 20.9% [[7]] Reduce: 8.2% [[7]] Investment Banking clients: Add 1.3%, Hold 0.7%, Reduce 0.4% [[7]] 551 companies under coverage for quarter ended on 31 March 2025 [[7]]
