US markets were mixed on Thursday, as gains in the consumer discretionary and technology sectors were dragged by the energy and financial sectors. At the close of the NYSE, the DJIA was 0.17% lower, the S&P 500 index gained 0.38%, and the NASDAQ
Composite index rose 0.45%. Stocks that declined outnumbered advancing ones on the NYSE by 1,169 to 2,194 and 134 ended unchanged; on the Nasdaq Stock Exchange, 1,490 stocks advanced and 3,149 declined, while 246 ended unchanged. (Source: WSJ, CNBC)

During the last trading session, the FSSTI index inched up marginally 1.68pt to 3,234.36. Among the top active stocks were Viking Offshore (+18.4%), HGH Holdings (+6.9%), Sembcorp Marine (-1.2%) and Rex (-9.0%). The FTSE ST Mid Cap Index crept lower 0.14% while the FTSE ST Small Cap Index dipped 0.03%. The broader market saw 231 gainers and 233 losers with total trading value of S$958.6m.



Singapore Company Update:

Aoxin Q & M Dental Group – A strong turnaround; high growth potential from precision medicine capabilities.
(AOXIN SP/BUY/S$0.25/Target:S$0.37)

Aoxin’s earnings are expected to turn around in 2022 (S$12m profit vs S$0.1m loss in 2021), with contributions from the
newly-acquired Acumen and improved performance of its China dental business. Expansion into the COVID-19 ART testing business should complement Acumen’s existing PCR testing business. Also, Acumen’s expertise in the precision medicine space could open up many new future revenue streams. We initiate coverage with…


HK/ China Company Update:

Alibaba Group – 2QFY22: Persistent headwinds dragging on results.
(BABA US/BUY/US$161.58/Target: US$190.00)

Baba’s 2QFY22 results were weaker than expected. Revenue grew 29% yoy (1QFY22: 34%) to Rmb205.7b, 2-3% lower than our and street estimates. Customer management revenue reported sluggish growth of only 3% yoy. Gross margin contracted 7ppt yoy to 35%, below street estimate of 38%. Non- GAAP net profit was Rmb28.5b, down 39% yoy, 18/14% below our and street estimates. Maintain BUY with a lower…


CSPC Pharmaceutical Group – 9M21: Net earnings up 23.2% yoy; making solid steps in R&D and BD.
(1093 HK/BUY/HK$8.31/Target: HK$14.00)

CSPC reported 9M21 results with revenue up 7.4% yoy to Rmb20.64b and net profit growing 23.2% yoy to Rmb4.34b. We believe the company’s target of double digit growth for both revenue and earnings in 2021 is highly achievable, and the relatively weak 3Q21 results were only temporary. CSPC is also making solid steps in R&D and BD. Its extensive R&D pipeline promises market launch of an increasing number of blockbusters in the next few years. Maintain BUY and target price of HK$14.00…


Singapore Technical Analysis:

InnoTek (INNOT SP) –Trading BUY

The strong price move broke above a previous high at $0.810, creating an Ichimoku reversal. This is a sign of a reversal in trend with a minimum……


Jardine Cycle & Carriage (JCNC SP) – Trading BUY

The price consolidation broke above the consolidation high in the previous trading session, hinting at a resumption of the bullish
price trend…