Singapore Hot Stocks-SGX, Venture drop on broker sell calls

SINGAPORE, Nov 24 (Reuters) - Singapore Exchange (SGXL.SI)
and contract electronics firm Venture Corp (VENM.SI) slid on
Monday after BNP Paribas rated the two firms as its "top sells"
in Singapore.

BNP Paribas said in a report on Monday there was
significant earnings downside risk for SGX and declining
securities market turnover, and reduced its target price to
S$5.00.

SGX reported third quarter profits fell 35 percent as
investors fled sliding stock markets.

For Venture, BNP Paribas said recession posed a risk to
demand for electronics goods and it saw declining revenues and
inventory build-up.

It added concerns over collateralized debt obligations and
subsidiary computer data network builder DMX Technologies
(DMXT.SI) will continue to depress Venture's share price. It
gave a price target of S$3.20 for the firm.

"You have BNP Paribas giving a sell rating so it's probably
genuine sellers or short sellers, or both," said a dealer from
a Singapore brokerage firm.

By 0813 GMT, shares in Singapore Exchange fell 4.95 percent
to S$4.43. Venture was down by 5.45 percent at S$3.99 while DMX
dropped by 9.52 percent to S$0.095.

The benchmark Straits Times Index .FTSTI was down 2.38
percent.

COMFORTDELGRO

Shares of Singapore transport operator ComfortDelGro
(CMDG.SI) rose as much as 5.5 percent on Monday after Merrill
Lynch reiterated a buy call on the stock following a sharp
decline in oil prices.

ComfortDelGro's earnings have bottomed and could increase
35 percent as fuel and electricity costs fall, Merrill
estimated.

"ComfortDelGro is a major beneficiary when fuel prices
fall. Energy cost makes up about one-fifth of total operating
expenses," said Han Lim Chong in a Merrill Lynch report on
Friday, adding it also had a good dividend yield of 6.6
percent.

ComfortDelGro reported an 18 percent decline in third
quarter profits this year due to a strong Singapore dollar and
high fuel costs.

Oil prices CLc1 edged above $50 on Monday but slid to a
three and a half year low on Friday, down from near $150
earlier this year as financial institutions sold and slowing
economies mean weaker demand.

By 0728 GMT, ComfortDelGro was up 5.5 percent at S$1.35.

The benchmark Straits Times Index .FTSTI was down 1.83
percent.

CAPITACOMMERCIAL TRUST

Shares of CapitaCommercial Trust (CACT.SI) fell as much as
10.7 percent on Monday after the property firm said it was
pursing its refinancing needs with several financial
institutions. [ID:nSNBL31630]

CapitaCommercial was responding to a report from Reuters on
Friday that it verbally mandated four banks to handle a S$580
million (S$379 million) three-year bullet refinancing.

"If the loans are not confirmed then the market will be a
bit jittery and there could be some concern since it's not
finalised yet," said a dealer from a Singapore brokerage firm.

By 0608 GMT, shares of CapitaCommercial were down 7.55
percent at S$0.735. Property firms were also weaker, with
CapitaLand down 2.3 percent and City Developments (CTDM.SI)
down 3 percent.

The benchmark Straits Times Index .FTSTI was down by 1.81
percent.
(Reporting by Matthew Webster and Laurence Tan; Editing by
Neil Chatterjee)