Pacific Textile is a manufacturer of customised knitted fabrics used in sportswear, swimwear and innerwear. Notable brands such as Under Armour, L Brands, Target and Uniqlo are among their customers. Uniqlo is Pacific Textile’s largest client by revenue and produces Uniqlo’s Heattech range of products.
The hype of the “new economy” stocks started moving into Hong Kong this year with the IPO of Ping An Healthcare and Technology (1833:HK). However, retail investors have not been rather receptive towards the IPO of Xiao Mi. This was largely due to the company’s high valuation along with the dual-class share structure that was testing the limits of investors.
In 1Q2018, Hong Kong recorded the highest level of expansion in seven years as its GDP grew 4.7 percent year-on-year (yoy). This was mainly attributed to a strong growth in exports and consumption that was driven by a recovery of visitors to the Special Administrative Region from Mainland China. Hong Kong’s strong economy is seeing the lowest unemployment rate in 20 years at 2.9 percent.
In late May 2018, China’s National Development and Reform Commission (NDRC) announced that the natural gas pricing system for residential and non-residential city-gate will be unifying to reflect the rising demand and costs. As a result, the residential city-gate prices will increase by 25 percent from 10 June and fixed for the next 12 months. Subsequently, the balance of the price differential may be reflected with an increase of up to 20 percent a year later.
In this article, we will feature three stocks in different sectors that investors should look out for in the upcoming results season. The stocks are in from different sectors, giving investors opportunities to ride on varying sectoral growth.
The volatile start of 2018 has reminded investors to keep long-term investment decisions on fundamentals. In addition, well-positioned companies deliver foreseeable dividends that are a form of safe haven for investors. Considering the rising interest rate environment, investors should pick dividend stocks based on both yield and fundamentals.
Investors have been concern about Chinese insurers’ weak “jump-start” sales to the growth compared to the value of new business growth. However, analysts from DBS Research felt that the structural drivers in the industry remain intact as contributions from renewal policies continue to rise and that negatives have been priced in and may even be overdone.
In 2017, healthcare sector in Singapore underperformed the Straits Times Index (STI) with the former gaining 14.8 percent while the latter gained 18.1 percent. Several headwinds faced by the sector were the main attributes for the underperformance but is looking to stabilise in 2018.
2018 may be an important year for natural gas and renewable energy in China as the street expects some long-awaited policies to be introduced. When these policies are introduced, clean energy in China will be expected to gain market traction.
This is a continuation from part 1 of the article. Picking up from there, here are another four sectors that you should buy into now!