They write in their July 30 report: “We believe that SIA’s valuations have slightly outpaced its fundamentals at this juncture, given the downward earnings trajectory and uncertainty surrounding Air India.”
Singapore Airline’s stake in loss-making Air India is a reason why analysts are restrained in their views on the flag carrier following its 1QFY2026 earnings.
Jason Sum, Tabitha Foo and Paul Yong of DBS Group Research (DBS) have maintained their “hold” call on the stock at a slightly raised target price of $6.50 from $6.40 previously, noting that SIA’s risk-to-reward profile appears “muted” when compared to peers with stronger growth potential and more attractive valuations.
