ComfortDelGro's Loss of Two Bus Packages Seen as Near-Term Headwind
Dow Jones
Aug 20
0455 GMT - ComfortDelGro's loss of two bus packages in Singapore remains a near-term headwind, UOB Kay Hian analysts say in a research report. Its Tampines Bus Package was handed over to Go-Ahead Singapore from July 2026, while its subsidiary SBS Transit will hand over the Serangoon-Eunos Bus Package to SMRT Corp. from June 2027, the analysts note. These losses will weigh on the transport operator's Singapore bus revenue. The brokerage cuts its earnings forecasts for ComfortDelGro by 8.7% for 2026, 12.6% for 2027, and 11.4% for 2028. It lowers the stock's target price to 1.41 Singapore dollars from S$1.54 with an unchanged hold rating. Shares are 0.75% higher at S$1.34.
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