Equity Analysis /
Singapore

SG : Singapore Airlines - Risk-reward now in balance: Hold downgrade

    Raymond Yap
    Raymond Yap

    Head of Regional Transport

    CGS-CIMB
    18 May 2022
    Published by

    FY3/22F core net loss of S$1.1bn was in line with our/consensus forecasts. While we raise our FY23-24F core EPS forecasts, we downgrade from Add to Hold as SIA’s share price has already rerated 60% from its 2020 lows. Our TP is tweaked higher to S$5.92, using FY23F P/BV of 0.98x (+0.5 s.d. from the mean since 2011) vs. 1.06x previously (+1 s.d.).