SPH

SPH: According to the latest Nielsen data, Singapore’s total adex for Oct rose a dismal 0.9% yoy versus an average 5% yoy increase recorded in 9M13, with newspaper adex being the key driver of weakness, falling 3% yoy while magazine and print adex also trended lower. The muted newspaper adex trend mirrored dismal new home sales data in Oct– volumes fell 48% yoy, as developers held back on property launches. While the brunt of the government’s cooling measures may already have been felt by SPH, DB find it difficult to envisage significant turnaround within the near-term. While SPH’s fundamentals are not favourable, house recognize the relative attractiveness of its dividend yield of 5.3%. DB has HOLD with $4.09 TP.