As trade war between US and China intensifies, volatility has been increasing in the global stock market. Over in Hong Kong, the Hang Seng Index has lost over sixteen percent since the beginning of the year. On the bright side, value is also emerging gradually. Here are six stocks touted to be at a bargain for investors looking to invest in the Chinese market.
If you are looking to invest in Singapore Food and Beverages (F&B) stocks, here are three alternatives that you can consider investing in.
Major Singapore plantations, namely Wilmar International, First Resources and Bumitama Agri posted stronger than expected results for 2Q18. The main attributes for the stronger results were the higher downstream margins and higher external fruit intake. This is in contrast with their peers which experienced weaker downstream margins.
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.