UOB Kay Hian has added Yangzijiang Shipbuilding (YZJ), Civmec, Food Empire Holdings to its February Alpha Picks, while it took profit on existing holdings CapitaLand Investment, Venture Corp, UMS Holdings and Singapore Airlines.
The brokerage notes that its Alpha Picks portfolio has beaten the Straits Times Index in 11 out of the past 12 months.
For YZJ, UOB Kay Hian expects a slew of new order announcements to resume following the recent Lunar New Year break.
Civmec, an Australia-based engineering firm, is added because of recent contract wins.
Food Empire, which sells instant beverages to emerging markets including Russia and Ukraine, is likely to see better margins and earnings, says UOB Kay Hian on Feb 6.
CapitaLand Investments and SIA were removed from the portfolio as both government-linked companies have gained 9% and 8% respectively since they were included into the Alpha Picks.
Similarly, Venture Corp has gained 8%, and UMS, 12% over the past month.
Other stocks now in the portfolio are: Capitaland Ascott Trust; DBS Group Holdings; Genting Singapore; Keppel Corp; Mapletree Logistics Trust; Sembcorp Industries; SIA Engineering;
Singapore Telecommunications and Thai Beverage.
