Amongst developers, CGS-CIMB believes City Developments (CDL) (SGX:C09
) and UOL Group (SGX:U14) could be the most adversely impacted, sentiment-wise.
CGS-CIMB Research is currently reviewing its “overweight” recommendation on the property sector, following new cooling measures introduced by the government.
Although developers are trading at inexpensive valuations at a 45% discount to RNAV, the near-term slower market sentiment is expected to impact share price performance, says analyst Lock Mun Yee.
