Tue, Jun 30, 2020 - 4:30 PM THE Singapore Exchange's (SGX) move to acquire BidFX is largely deemed positive by analysts in separate research not
Tue, Jun 30, 2020 – 4:30 PM
THE Singapore Exchange’s (SGX) move to acquire BidFX is largely deemed positive by analysts in separate research notes on Tuesday.
This comes as the move looks to boost the bourse’s market potential into over-the-counter (OTC) currencies beyond foreign exchange (FX) futures. BidFX is a cloud-based FX trading platform for institutional investors.
While CGS-CIMB upgraded its call on SGX to “hold” from “reduce”, analysts from RHB and DBS Group Research maintained their calls of “buy” and “fully valued” respectively.
All three analysts kept their target prices unchanged. RHB’s target price is S$9.20, DBS’s is S$7.40, while CGS-CIMB has a target price of S$8.
SGX shares were trading up S$0.25 or 3.1 per cent to S$8.31 as at 3.39pm.
On the unchanged target price, CGS-CIMB analyst Ngoh Yi Sin said associated earnings loss from the recent price correction following SGX’s MSCI licence termination has been priced in and will see little downside from the current level.
“We like the transaction as a potential growth driver in the medium term, but…