ASCOTT RESIDENCE, daiwa maintain BUY with target price $1.13

CAPITAMALL TRUST, dbs downgrade to HOLD with target price $2.85($2.96)
CAPITAMALL TRUST, uob maintain HOLD with target price $3.16

CITY SPRING, ocbc initial coverage HOLD with target price $0.8

COMFORTDELGRO, csfb maintain UNDERPERFORM with target price
$1.45($1.55)

FERROCHINA, cimb maintain OUTPERFORM with target price $2.44

KS ENERGY, gs maintain NEUTRAL

MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND by jpm

NOBLE GROUP, ocbc maintain BUY with target price $2.53($2.99)

NOL, gs maintain SELL with target price $1.95

NOVO GROUP, uob initial coverage BUY with target price $0.23

SIA, cl maintain BUY with target price $16.7

SPH, csfb maintain OUTPERFORM with target price $4.88($5.11)

SYNEAR, jpm maintain UNDERWEIGHT with target price $0.25

singapore stock market news,singapore stock market

CAPITALAND, uob maintain BUY with target price $6.50($7.15)

CAPITAMALL TRUST, ocbc resuming coverage BUY with target price $3.21

HUPSTEEL, dbs maintain BUY with target price $0.4($0.57)

KS ENERGY, gs maintain NEUTRAL with target price $1.94($2.10)

OLAM, ubs maintain BUY with target price $3.75

RAFFLES EDUCATION, cl upgrade to BUY with target price $1.20

SILVERLAKE, dbs downgrade to HOLD with target price $0.3($0.45)

UOL, gs initial coverage NEUTRAL with target price $3.42

WING TAI, gs initial coverage SELL with target price $1.12

CAPITAMALL TRUST, citi upgrade to BUY with target price $3.30
- Upgrade to Buy ¡V We are upgrading CMT from Hold/2L to Buy/1L
following a
sharp decline in price; the stock has fallen 27% from its recent high.
At
the current price, we think market concerns over higher funding costs
and
retail sales are overdone. Asset enhancements are likely to continue to
drive growth.
- Asset enhancements have been key growth drivers ¡V Since its IPO in
2002,
42% of CMT¡¦s DPU growth has been driven by asset enhancements,
reconfiguration and others. Acquisitions accounted for 33% and active
leasing just 20%.
- Just 5% of revenue due to gross turnover ¡V Although approximately
85% of
CMT¡¦s tenants have GTO in their lease agreement, most of their lease
agreements are based on the higher of 1) step-up rental + gross
turnover;
or 2) pure gross turnover. However, in reality, 95% of CMT¡¦s rental
revenue
is due to base rent (step-up rental) and just 5% is due to gross
turnover.
- Refinancing in place ¡V CMT¡¦s current gearing stands at 43.9% with
an
average cost of debt at 3.2%. Approximately S$267.5m (or 8.4%) worth of
debt is due for refinancing, which could be covered by available
facilities
and drawings under the unsecured multicurrency MTN programme. CMT has
also
locked in a 5-year swap for the debt quantum of S$320m due in August
2009.
- CAGR of 12% driven by AEIs ¡V We are projecting a CAGR of 12% pa
driven
largely by asset enhancements. Sembawang Shopping Centre, Plaza
Singapura
and Lot One should drive growth in 2009, while Raffles City, Jurong
Entertainment and The Atrium should drive growth in 2010 and 2011.

CAPITAMALL TRUST, csfb maintain OUTPERFORM with target price
$3.50($3.96)
- CMT has completed the S$850 mn acquisition of the Atrium, funded by
S$650
mn CBs (1% coupon rate; 2.75% YTM) and MTN proceeds. The blended cost
of
debt post-acquisition is 3.2%. The acquisition is marginally
yield-accretive, raising our 2008-09E DPUs by 0.05% and 0.26% to S?4.54
and
S?6.24, respectively.
- Post-acquisition, CMT.s gearing is raised to 43.9%, implying debt
headroom of S$440 mn before the 50% internal target gearing is reached.
Should ION Orchard be injected at S$1.2-1.3 bn, based on assumed
5.5-6.0%
cap rates, this suggests equity-raising of S$730-840 mn required to
maintain gearing at 50%.
- Given the estimated substantial 16.0-18.4% (of market cap) equity
issuance if the injection of ION Orchard takes place, the market is
likely
to respond negatively. However, the recent share price performance
suggests
that some of the risk has already been discounted. We have adjusted our
discount rates up (from 6.3% to 6.9%), in view of the inclusion of
office
risks and concern over equity issuance for early injection of ION
Orchard
to reflect the increased risk premium. Maintain OUTPERFORM rating with
a
new target price of S$3.50 (fromS$3.96).

CHINA SPORTS, cimb maintain OUTPERFORM with target price $0.59($0.55)
- Improving store formats will help boost YELI sales. We caught up with
management after its 2Q08 results announcement to gain more clarity on
its
expansion plans. The group has revised down its guidance for the number
of
new POS as distributors now prefer to open speciality stores which are
2-3x
larger than shops in shops, while keeping the total retail space
unchanged.
We view this positively as larger store formats will allow retailers
allocate more space for the display of high-margin apparel and
accessories.
- Future earnings to be boosted by tax savings. The group¡¯s wholly
owned
subsidiary, Yeli (China) Co., Ltd, recently qualified as a wholly-owned
foreign entity and will be entitled to tax exemptions from 2H08 until
end-FY09. After FY09, this subsidiary will be subject to a 12.5% tax
rate
for three years. China Sports?YELIbrand business will be progressively
transferred to Yeli China. We have increased our FY08-10 estimates by
1-7%,
taking into account tax savings, partially offset by lower gross
margins.
- 2H is on track. We believe that earnings growth for the rest of the
year
is intact, boosted by 1) continual margin expansion for YELI footwear
and
apparel; 2) maiden contributions from high-margin accessories, due for
launch in 3Q; and 3) tax savings.
- Maintain Outperform; target price nudged up to S$0.59 from S$0.55.
Following our earnings upgrade, our target price rises to S$0.59, still
pegged at 6x CY09 P/E. Maintain Outperform for the group¡¯s strong
positioning in the low to mid-end of the sportswear market.