Keppel

$Keppel(BN4.SG)

Context: From a technical basis, Keppel continues to look good, with the 14-day RSI at 54. I want to see whether RSI can sustain its bounce back above 50, signalling that buying pressure is building.

My trade: Holding my position and watching whether sustained momentum can push the stock towards another leg higher.

Takeaway: Technicals remain constructive, further bolstered by capital flows into Singapore equities. I’m watching for sustained buying pressure to take Keppel higher.

Iggy's Journal: Maybank Just Put a $13 Target on Keppel, Betting the Old Conglomerate Story Is Over

2 September 2026, AM

Analyst Rating

Maybank Research has initiated coverage on Keppel Ltd (BN4) at Buy with a S$13.00 target price. The case rests on Keppel's shift away from a traditional conglomerate model toward asset management and infrastructure operations, spanning power generation, data centres, cooling, and subsea connectivity. Maybank's thesis is that this produces more recurring, capital-light earnings than the old business mix, supported by ongoing asset recycling that frees up capital for growth.

The numbers behind the call: FY25 to FY28 earnings growth of 10% to S$1.37 billion, asset management fees rising 17%, recurring income growing at a 12% CAGR, and core ROE improving from 19% to 23%. Maybank's sum of the parts splits value 52% operating businesses, 40% asset management, the remainder non-core. Forecast dividends are 42, 45, and 49 cents for FY26E, FY27E, and FY28E. Maybank flags slower asset recycling, weaker power spreads, softer digital demand, and non renewal of concessions as the key risks. Worth repeating, these are broker forecasts, not Keppel's own guidance.

My Personal Take

The dividend forecast is the number that actually catches my eye here, not the target price. My own numbers currently have Keppel sitting in my most cautious tier purely on distribution, the trailing payout still falls well short of what I look for. Maybank's 42 cent forecast for next year would be a real step up from that. If it lands, it changes the picture. If it doesn't, the capital light story still has to prove itself in the dividend, not just in the earnings growth line.

Not financial advice. Iggy's Forensic Compliance Standards apply.

Cheers, Iggy 🦖

$Keppel(BN4.SG)

Context: Keppel surged to close at S$11.60 as Singapore equities continued to attract inflows due to the Fed’s hawkish signals. The strength in Singapore’s blue-chip names, particularly banks, helped lift the broader market and benefited stocks like Keppel.

My trade: Holding my position and letting the broader market momentum play out.

Takeaway: Blue-chip quality continues to provide some resilience when market sentiment shifts.