Thursday, May 21, 2009

Near-term STI target raised to 2,400: DBS Group

 
 

Sent to you by MarcG via Google Reader:

 
 

via EdgeSingapore RSS on 5/21/09

DBS Group Research in their daily note today said it "believes the worst is over for the Singapore economy and the market could re-rate to mid cycle PER as the economy progressively recovers."

"Our near term target could hit 2,400 if we apply a target PER of 16x, which is the historical average PER on FY09 earnings. Applying a potential earnings growth of 11% growth for next year, the STI could reach 2,865 without stretching valuations to extreme levels."

 
 

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