Genting SP

Genting SP (GENS): UOB Kay Hian upgraded the counter to a BUY with TP of $1.32. The counter cites the recent selldown was consistent in the regional gaming space, with GENS' share price retreating by about 18% in the past two months, mainly affected by lacklustre Macau gross gaming revenue trends. UOBKH cites minimal earnings risk to a potential slowdown of Chinese VIP while GENS is already trading at one standard deviation below its historical trough EV/EBITDA, pointing to limited downside risk and a favourable risk-reward ratio. Catalysts include positive newsflow momentum from Japan.