Genting Singapore Limited - AnalysisSTOCK IN FOCUS: GENTING SING
As the pandemic situation continues, tourism-related companies are greatly affected. Travel advisories, bans and even country lock-downs see a stark drop in local and tourist traffic, and revenue for the retail and hospitality sector. Genting Singapore PLC had been involved in the development, and currently operating 2 Integrated Resorts in Singapore. With noticeable absence of foot traffic, we can expect revenue to drop. A pick-up of tourism is linked to the recovery not only of healthcare aspect of the pandemic situation, but also a recovery of countries' economies.
Price has melted from the descending triangle and looks to continue melting with the ongoing situation. We could see price levels reach GFC crisis levels, ranging from 0.325 to 0.470.
Price YTD: down 33% (from 0.930 to 0.620)
Price from end Jan'20: down 28% (from 0.865 to 0.620)
Dividend yield FY'18: 5.65%
Dividend yield FY'19: 5.65%
I believe dividend yields will fall for FY'20 but it could be a good hold as I believe that this stock has potential to climb as tourism picks up in future, and possibly with plans to expand.
