SIA

SIA: Credit Suisse keeps Outperform with $18.50 target after carrier's Sep operating numbers shows pax demand virtually flat yoy & mom given that Sep is usually one of the weakest in 2H. On the positive side, pax load factor rebounded 2% vs Aug & remained high by historical standard, implying a favourable pricing environment. Adds cargo demand +9.2% yoy, +2% mom on view the Asian air cargo market is stabilizing & could see further improvement as we head into the seasonally stronger 4Q.

Notes, forward P/B of 1.3x, EV/EBITDAR of 5.0x at or below historical averages. Target price implies 1.5x forward P/B. Support at $15.94.