Core Viewpoint - DBS Bank's investment outlook report for Q1 2026 indicates that Asian markets, excluding Japan, are expected to perform strongly in 2025, achieving their best performance since 2017, with over 30% growth driven by AI and technology advancements, alongside strategic reallocation by global investors in a weakening dollar environment [1] Group 1: Corporate Earnings and Sector Performance - The report forecasts a 19% growth in earnings per share (EPS) for Asian companies, excluding Japan, in 2026, significantly higher than the global average of 12% [2] - East Asia, particularly China and South Korea, is identified as the growth leader, with China making progress in technology self-sufficiency and South Korea benefiting from increased market confidence due to improvements in memory chip density [2] Group 2: China Market Outlook - The report expresses optimism for the recovery of the Chinese stock market, maintaining an "overweight" rating, as recent improvements in US-China trade relations have reduced previous investor sentiment barriers [3] - China's export structure is diversifying, effectively mitigating risks from reliance on single markets, with growth in exports to ASEAN, the EU, and emerging markets [3] Group 3: Economic Transition and Investment Recommendations - The acceleration of China's economic transition towards services is highlighted, with strong recovery in cross-border tourism serving as an example [4] - The report suggests focusing on internet platforms, digital retail, new energy ecosystems, and high-dividend financial stocks due to attractive current valuations [4] Group 4: Southeast Asia Market Insights - The report is optimistic about the Indonesian and Singaporean markets, citing Indonesia's stable macroeconomic environment and fiscal stimulus as supportive factors for stock performance [5] - Singapore is characterized as a "regional steady compounder," with real estate investment trusts (S-REITs) and financial sectors offering defensive investment value due to stable dividend yields exceeding 5% [5] - DBS Bank recommends an "overweight" position in China, India, Singapore, and Indonesia, with sector allocations favoring technology, discretionary consumer goods, and financials [5] Group 5: Market Valuation and Projections - The report sets a target of 1103 points for the Asian index, excluding Japan, by the end of 2026, indicating a potential upside of approximately 20% from current levels [5] - The forward price-to-earnings ratio for the region's stock markets is about 25% lower than that of global peers, with expectations that this valuation gap will narrow as earnings growth materializes [5]
星展银行：看好2026年亚洲股市 维持中国股市“增持”评级
Xin Hua Cai Jing·2025-12-22 06:05