In a Tuesday report, analyst K Ajith believes the Street is anticipating a 1-3% improvement in the group’s yields for FY18, but worries this may not materialise given concerns over repeated terror attacks in Europe and with increased competition faced by the group with the entry of Norwegian Air.
SINGAPORE (Sept 19): UOB Kay Hian is maintaining its “hold” call on Singapore Airlines group with a target price of $10.10, valuing the group’s core airlines operations at 0.7 times FY18 forward earnings.
The research house recommends investors scoop up the stock at a lower entry price of $9.50.
