Brokers' take

ComfortDelGro | Buy

Target price: S$3.40

June 29 close: S$2.69

OCBC Investment Research, June 29

After British voters voted for the United Kingdom to leave the European Union, GBP depreciated 9.3 per cent against the SGD. Based on ComfortDelGro's (CDG) FY15/1Q16 exposure to UK/Ireland, a 10 per cent depreciation in GBP against SGD is estimated to result in a 1.7-2.1 per cent decline in its total operating profit, which in our view has limited impact on CDG's overall earnings. Another area of concern is the threat of private hire car services to CDG's taxi business. While waiting queue for taxi rental fell from an average of two weeks to none as at …