Trending Sector
Stocks with India exposure
3 stocks to ride on renewed interest towards India
- We see the multi-billion dollar investments announced in Vibrant Gujarat Global Summit 2024, and the ongoing China+1 investments, as a sign of renewed investor interest towards India
- Fundamentals remains supportive: 2024F GDP growth of 6.8% ranks amongst the fastest under DBS economists’ coverage, with stable USDINR exchange rate through 2024F (end-24F: 82.5, current: 83.1)
- Sembcorp Industries (SCI) is a beneficiary 1) of higher energy demand during and post development, and 2) given its expertise/positioning in urban development projects in India
- The Summit’s focus towards renewables/sustainable investments bodes well for SCI and its strategy, with India being its second largest renewable market after China
- CapitaLand India Trust (CLINT) remains as a key pillar to its Sponsor CapitaLand Investment’s India strategy in the industrial real estate space
- Organic growth improvements and gradual bolt-on acquisitions from its pipeline should support our analysts’ forecast for 3-year DPU CAGR of 7%
- Singtel’s associate Bharti Airtel also benefits as a provider of critical telco infrastructure in India, further supported by ongoing digitalization and upward tariff revisions
- Rising ARPUs expected to lift Bharti’s contribution to S$937m in FY24F (or 37%/27% of total associates/group pre-tax profit)