Sector Performance | Singapore | Hong Kong | United States | Trading Dashboard
United States
Hong Kong
BUY
OCBC Bank (OCBC SP)
| Entry: 21 Target: 25 Stop Loss: 19 |
| Rate reset plus capital returns, with MAS Jan 29 as the policy anchor |
| Key Insights |
- Capital return is a real rerating lever and management is leaning on it. OCBC proposed ordinary dividend 42 cents and special dividend 16 cents for FY25, taking the total payout to 60% of earnings. Management also reaffirmed the ongoing S$2.5B two-year capital return plan through FY26, using special dividends and share buybacks, with commentary indicating a bias to special dividends when excess capital is available. This framework tightens downside and keeps the equity story simple even if NIM drifts lower.
- Diversified income is offsetting the NII downcycle. IFY25 profit before tax hit a new high of S$9.12B despite net profit being slightly lower year on year, as record total income and noninterest income strength partially offset lower net interest income in a declining rate environment. This matters because the market has historically underwritten OCBC at higher multiples when fees and insurance carry the slope.
RE-ITERATE BUY
United Overseas Bank Ltd (UOB SP)
| Entry: 35.5 Target: 40.5 Stop Loss: 33.0 |
| MAS 29 Jan tilt, fee momentum and ASEAN franchise, provisioning front loaded |
| Key Insights |
- MAS 29 Jan stance keeps the macro set-up constructive for banks. MAS kept the S$NEER policy band settings unchanged on 29 Jan 2026 while raising its 2026 inflation forecasts to 1.0% to 2.0% for both core and headline CPI, an outcome consistent with a steady growth and inflation backdrop. For UOB, a stable policy setting typically supports steady SORA conditions and a more predictable deposit pricing environment, which is the core requirement for NIM stability into FY26.
- Provisioning is front loaded, which sets up a cleaner 2026 slope. In 3Q25, UOB reported net profit of S$443M after setting aside an additional S$0.6B of pre-emptive general allowances to strengthen coverage. Management highlighted performing loan coverage strengthened to 1% and stated total credit costs are expected to normalise following this exercise, while also indicating the final dividend for 2025 would not be impacted by the pre-emptive allowance set aside. This is important because it reduces downside tail risk and improves earnings visibility for FY26 once the one-off provisioning drag rolls off.
RE-ITERATE BUY
Ping An Insurance (2318 HK)
| Entry: 52 Target: 72 Stop Loss: 42 |
| NBV inflection is real, investment yield is back, and shareholder returns stay sticky |
| Key Insights |
- NBV is reaccelerating, and the mix shift is the right kind. FY2025 Life and Health NBV rose 29.3% to RMB36.897B, reflecting a shift toward higher-margin protection products and better productivity. This is the cleanest fundamental re-rating lever because the market still discounts China life insurers on “low growth plus low rates”. A sustained NBV slope change tends to drive multiple expansion faster than any single quarter of accounting profit.
- Investment performance has improved, which matters more in this tape. Ping An’s insurance funds investment portfolio grew 13.2% to RMB6.49T, and the company disclosed comprehensive investment yield of 6.3% for 2025. With Chinese equities supported by policy and AI-linked optimism, insurers that can generate stable investment returns typically see quicker earnings revision and sentiment lift, especially when NBV is already improving.
RE-ITERATE BUY
Meituan (3690 HK)
| Entry: 75 Target: 105 Stop Loss: 60 |
| Price-war thaw, instant retail scale, earnings catalyst this week |
| Key Insights |
- Policy pivot is the immediate re-rating hook. On 25 Mar 2026, state media and regulators explicitly called for an end to the food-delivery price war, and the sector moved sharply higher on the implication of more rational competition and better margin outcomes. For Meituan, any sustained “less subsidy, more discipline” tape can quickly lift earnings expectations because unit economics in Core Local Commerce are extremely sensitive to subsidy intensity.
- Instant retail is the structural growth lever that gets underwritten late. China’s “instant delivery e-commerce” model is scaling quickly, with government and industry write-ups highlighting rapid growth rates versus broader e-commerce. Meituan’s fulfilment network and merchant density remain a competitive moat in this category, supporting order frequency expansion beyond food into higher-value retail baskets. If competition cools, the incremental gross profit from non-food instant retail should be more visible in margins.
BUY
ATI Inc. (ATI US)
| Entry: 146 Target: 168 Stop Loss: 135 |
| Benefitting from aerospace and defence Supercycle |
| Key Insights |
- Moat in jet engine materials. ATI has transformed into a leader in high-performance aerospace and defence alloys. The company currently produces 6 out of 7 advanced engine alloys, serves as the sole-source supplier for 5 of them, and holds a dominant position in jet engine core components. This competitive moat is being reinforced by a robust aerospace industry cycle: as of end-February 2026, Airbus had a backlog of 8,770 aircraft and Boeing approximately 6,734 aircraft. With OEM and MRO demand continuing to rise, long-term demand for ATI’s titanium, nickel, and cobalt-based products remains well-supported.
- Strong growth prospects in defence business. 4Q25 results demonstrate that the defence segment is already scaling up. Aerospace and defense accounted for 68% of Q4 revenue. With global defence spending reaching US$2.63 trillion in 2025, ATI is benefiting simultaneously from growing commercial engine demand and expanding requirements for defence materials across jet engines, airframes and mission-critical military platforms.
RE-ITERATE BUY
Cheniere Energy Inc (LNG US)
| Entry: 290 Target: 330 Stop Loss: 270 |
| LNG production disruptions to inflate prices |
| Key Insights |
- Contracted LNG platforms offers defensive upside amid global gas market disruptions. Cheniere is positioned to benefit from the global LNG shock caused by the Iran war, which has severely disrupted flows through the Strait of Hormuz and damaged Qatari export capacity, driving Asian LNG prices sharply higher and forcing buyers to seek replacement cargoes from the U.S. At the same time, Cheniere’s business remains defensive because the vast majority of its volumes are sold under long-term, Henry Hub-linked contracts, while new supply from Corpus Christi Train 5 and its broader expansion platform should support production growth into 2026.
- Long-term contracts and expansion visibility support cash returns and growth. Cheniere’s commercial model is reinforced by fresh long-dated customer commitments, including its new SPA with CPC of Taiwan for up to 1.2 mtpa from 2026 to 2050, on top of an earlier roughly 2 mtpa contract, giving it strong demand visibility even as the market remains volatile. With approximately 52 mtpa of LNG capacity already operating and more than 9 mtpa under construction, Cheniere is well placed to capture the structural premium on secure U.S. LNG supply while continuing substantial shareholder returns under its existing capital allocation framework.
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ADD
- Cheniere Energy Inc (LNG US) at US$290
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