FaithAnchor

$OCBC Bank(O39.SG)

OCBC slipped ~5% at the open. Citi expects its upcoming earnings to lag DBS and UOB, weighing on sentiment. After the strong run-up, I’d stay patient and see if this retracement creates a better entry.

$NVIDIA(NVDA.US)

NVDA just closed at another record, taking its market cap to $5.76T. The AI story still has plenty of fuel, but at this size, expectations are huge. Is there more upside—or are we getting closer to the top of the cycle?

$CityDev(C09.SG)

CDL falling over 14% after its 3-year roadmap feels harsh. Investors seem to be asking, “Show me the results.” Still, I’d take some comfort from Lucerne Grand — over 60% sold on opening weekend shows buyers are still there.

$OCBC Bank(O39.SG)

My Take on a S$10,000 Dividend Portfolio

I came across The Smart Investor’s article on investing S$10,000 into three dividend stocks. The idea is straightforward: combine OCBC for income, Sheng Siong for defensiveness and CapitaLand Investment (CLI) for growth. I like the framework, but I would not copy the allocation wholesale.

My customised S$10,000 allocation would be OCBC S$4,000, CLI S$2,500, Sheng Siong S$1,500 and S$2,000 into a higher-yielding, financially sound REIT or blue chip.

OCBC would remain the core. Its 1H2026 net profit rose 13% to S$4.19 billion, ROE reached 13.7% and the interim dividend increased 15% to 47 cents. The fundamentals are strong, although at around S$32, roughly 14x earnings, much of the good news is already reflected in the price.

CLI deserves 25% because its earnings profile is improving. 1H2026 operating PATMI rose 13% to S$293 million, while fee revenue increased 20%. Its shift towards recurring fee income provides a different growth engine from OCBC.

I would trim Sheng Siong to 15%. Its 1H2026 revenue and profit both grew 11.9%, and the interim dividend rose to 3.75 cents. However, its defensive qualities appear well recognised by the market, making valuation more important at this stage.

The remaining 20% is deliberate. For an income investor, I would rather use it to lift portfolio yield than allocate everything to lower-yielding growth names.

My takeaway: follow the article’s philosophy, not its exact allocation. Prioritise sustainable dividends, valuation and diversification—not simply owning three popular dividend stocks.

Not financial advice.

$Micron Tech(MU.US)

Micron delivered a $3B revenue beat, yet the stock remains flat. Despite next quarter’s guidance exceeding estimates, the market seems unconvinced. Perhaps expectations were already priced in, or investors are looking for stronger forward momentum.

$Starbucks(SBUX.US)

Starbucks: The Store Closures Raise Bigger Questions

Starbucks is closing another 250 coffeehouses across North America. On the surface, it looks like another round of cost cutting. But for investors, it raises a bigger question: has a business model once considered almost bulletproof become harder to defend?

The FY2026 numbers tell a mixed story. Q3 comparable sales improved 7.9% globally and 8.1% in North America, with transactions also rising. That suggests customers are returning and CEO Brian Niccol’s turnaround is gaining some traction.

The problem is margins. North American operating margin was only 13.6%, well below the levels Starbucks enjoyed historically. Closing underperforming stores may improve the portfolio, but it also shows that not every Starbucks location can generate attractive returns anymore.

That makes the management change less of a quick fix than initially hoped. Niccol has helped revive traffic, but the harder job is turning that traffic into sustainable earnings and cash flow.

Valuation is another concern. At around US$94, Starbucks trades at roughly 32x forward earnings and close to 29x free cash flow. Those are not cheap multiples for a company still repairing its margins.

Technically, the picture is less convincing. The share price remains below its 50-day and 200-day moving averages, while MACD is negative. RSI around 41 suggests weakness, but the stock is not yet deeply oversold.

The message from the 250 closures is therefore fairly simple: Starbucks still has a powerful brand, but the old growth formula cannot be taken for granted. FY2026 shows improving demand, yet investors now need to see margins catch up. The turnaround has moved from fixing traffic to proving the economics of the business.

Not financial advice.

$Micron Tech(MU.US)

Micron’s earnings may move the market, but PCE matters more to me. It shapes the Fed’s rate path, and rate hikes hit closer to home—mortgage rates, loans and everyday spending. That’s where inflation stops being a number and starts affecting real life.

Micron earnings are coming up, and I’m betting on an upside surprise. DRAM demand is picking up, supply remains tight, and Micron is well-positioned to ride the shortage. My call? Closing above +8.6% post-earnings. Let’s see if the market agrees! 🚀

$McDonald's(MCD.US)

McDonald’s: $8.5bn Defence Against the Fast-Food Storm

Wendy’s troubles are a warning for the industry, but an important distinction matters: it was Meritage Hospitality Group, a major Wendy’s franchisee operating 314 restaurants, that filed for Chapter 11—not Wendy’s itself. Its falling restaurant-level profitability highlights how inflation, beef costs and weak traffic are squeezing operators.

McDonald’s is responding before its own franchise economics deteriorate. Its new NEXT strategy commits approximately US$8.5bn through 2036, including about $5bn through 2030, supporting restaurant upgrades, technology and franchisee investment. Management is targeting roughly 250bps of restaurant-level efficiency gains and a low-to-mid-50% operating margin by 2030.

The fundamentals remain relatively resilient. Q2 2026 systemwide sales rose 5%, revenue 4%, operating income 3% and adjusted EPS 6%. Yet U.S. comparable sales grew only 0.8%, showing that the core market still needs work.

Valuation has become more interesting after the sell-off. Forward P/E was around 19x earlier this month, below the broader restaurant-industry average of roughly 22.6x. Technically, however, the picture remains weak: MCD trades below its major moving averages, while RSI around 26 signals deeply oversold conditions.

Is $8.5bn enough? It is substantial, but investors ultimately want proof, not promises. The spending looks less like a panic stop-gap and more like a long-term investment in franchise economics. However, near-term returns remain uncertain.

The real test is whether NEXT converts spending into traffic, margins and franchisee cash flow before competitive pressure intensifies further.

Not financial advice.

Anthropic’s prospectus is wild. Revenue exploded to $4.6B (up 12x), but operating losses crossed $8B, driven by an eye-watering $518B in future cloud commitments.

The takeaway: It’s a massive $2T test case for public markets. Enterprise adoption for Claude is undeniable, but Wall Street will strictly judge whether top-line growth can outrun that insane compute burn.

$Mapletree Log Tr(M44U.SG)

Mapletree Logistics Trust: Is the Turnaround Taking Shape?

Mapletree Logistics Trust (MLT) had a softer FY2026, but the underlying business remains fairly steady. Revenue slipped 2.6% to S$708.3m, NPI fell 2.4% to S$610.2m, while DPU declined 3.4% to 7.262 cents, excluding divestment gains. Occupancy remains strong at 96.9%, rental reversions are positive and gearing at 40.6% remains manageable.

Valuation is becoming more interesting. At around S$1.15–1.18, MLT trades at roughly 0.9x NAV of S$1.26 per unit, with an estimated 6.3–6.5% distribution yield.

Technically, the picture remains mixed. The unit price is below its 50-day and 200-day moving averages, while an RSI around 52 suggests the counter is neither overbought nor oversold.

The Australian divestment at A$28m, 3.7% above valuation, is a constructive development. Recycling weaker or non-core assets could strengthen the balance sheet and free up capital for higher-quality logistics opportunities.

The key question now is whether asset recycling can translate into stronger DPU growth and renewed investor confidence. Divestments may help, but the longer-term catalyst remains sustainable earnings and distribution growth.

Not financial advice.

$STI ETF(ES3.SG)

Singapore banks are keeping the STI afloat as rate-hike expectations support sentiment. But REITs are feeling the squeeze: higher bond yields mean costlier refinancing and less attractive yields. Can bank momentum offset property weakness?

$United Hampshire Reit USD(ODBU.SG)

United Hampshire US REIT: Flight or Fight?

Another 25bps hike to 3.75–4.00% is hardly good news for REITs. Higher-for-longer rates mean refinancing stays expensive and investors can demand more yield.

UHREIT, however, isn’t starting from a weak position. 1H FY2026 revenue rose 5.8% to US$37.8m, NPI grew 6.4% to US$25.5m and distributable income rose 5.8% to US$13.7m. DPU reached 2.16 US cents, while occupancy remained strong at 97.6%. Net leverage was 39.7%.

At around S$0.48, the REIT trades at roughly 0.66x NAV and offers close to a 9% annualised yield. The problem is the chart: the price has slipped from around S$0.54 to its 52-week low, showing that sentiment remains fragile.

So, flight or fight? Neither blindly. UHREIT’s defensive grocery exposure and cash yield provide a cushion, but rates can stay painful for longer.

For income investors, staying invested while averaging in makes more sense than chasing the yield. But keeping some powder dry—and looking beyond REITs—is equally important.

Not financial advice.