The analyst forecasts an annualised uplift of about $500 million in FY2026, which corresponds to around 6% industry growth. Accordingly, Chee sees supermarket FY2025 results at 4.4% relative to 0.1% in 1HFY2025, with 2HFY2025 potentially trending closer to 3% level post the initial voucher issuance surge.
Chee Zheng Feng from DBS Group Research has downgraded Sheng Siong to “hold” with an unchanged target price of $2.60 as the analyst believes that the SG60 voucher tailwind has been priced in following the recent rally in Sheng Siong’s share price.
“Based on our read-through of supermarket sales growth in July to Sept, we estimate an uplift of about $250 million in 2HFY2025 attributable to SG60 vouchers, supporting roughly 4% annualised y-o-y industry growth (vs 2% in 2024),” states Chee in his Dec 5 report.
