Elsewhere, UOL Group’s chart pattern is in a consolidation range. The breakout level is at $8.70 or thereabouts. A successful breakout indicates an upside of around $10 based on the chart pattern. UOL’s NAV as of June 30 was $13.59. On Sept 10, UOL announced the divestment of strata units at Kinex for $375 million, above the book value of $370 million, proving that it can attain book value for its assets.
JP Morgan has suggested that UOL has the potential to securitise its investment properties, possibly into a REIT, at which point UOL would be able to monetise these assets at around book value.
Bukit Sembawang Estates’ chart pattern resembles a bull pennant. If so, prices need to surge out of the pennant by Dec 22 or Dec 23. The flagpole provides the vertical measurement for a target. In this event, the upside is $5.46. This represents potential, and may not necessarily be achieved. Interestingly, DBS Group Research issued an unrated report on Bukit Sembawang with a 12-month price target of $5.88. Perhaps prices can get to the $5.80 area much earlier than the end of 2026. Bukit Sembawang's NAV as at end-June was $6.13.
See also: STI could see 5,000 this year; but can DBS be at $70 by end-2026?
The Straits Times Index (STI) closed at 4,569 on Dec 19, 15 points lower than the close on Dec 12. With less than two weeks of trading left, JP Morgan’s initial target of 5,000 to be reached by end-2026 (before it was raised to 6,000), may not be attained by end-2025.
Technically, the STI is in a sideways consolidation range. The pattern resembles an ascending right triangle, with a breakout level just short of 5,600. A successful breakout - more likely in Jan than Dec - would provide the impetus for prices to test 5,000. The 50-day moving average, currently at 4,504 has been a consistent support line.
