SIA

Nomura upgrades SIA to Buy from Neutral and ups target price to $16.85 from $13.27, citing current valuation attractive at 1.1X FY12 P/B vs average of 1.5X for peers. Lifts FY11-12 earnings estimates by 30-36% to factor in stronger-than-expected yield recovery. Although SIA is highly geared to the premium traffic, it is more resilient than most regional airlines to any downturn given its flexible staff cost structure, minimal oil hedging and net cash position.