Thursday, June 28, 2012
DBS: +0.4% at $13.86, in line with the STI's 0.4% rise. While its Indian unit reported FY12 net profit rose 164% on-year to INR3.36 b (~$67.2m), the amount is relatively small compared with the bank's 1Q12 net profit of $933m. But the results may bode well for the long term. CIMB notes India is quite a small part of contributions to the group, but it's one of the fastest growing parts. Says the contributions aren't significant in the immediate term, but could grow in a few yrs, as India has been growing for two years now at a very rapid pace. Adds DBS is aiming for a long-term geographical revenue mix of 40% from Singapore, 30% from greater China and the rest from southeast Asia, including India. The stock likely faces near-term resistance around $14.00, marking recent peaks.