SHOULD Mers (Middle East Respiratory Syndrome) spread further in Asean, airline, hotel and mass public transport stocks would be among the hardest hit, said Nomura in a report on Monday.
Other stocks that could see the most impact are those in retail trade and restaurants, hospitals and public entertainment.
"Still, we would expect the impact to be temporary as, based on information so far, we expect the spread of MERS to be brought under control fairly rapidly," said Nomura.
It stressed that historically, the impact of disease outbreaks on stocks tends to run ahead of actual economic costs or impact on human life.
Nomura added that as long as the outbreak is contained quickly and limited in scope, it is likely to have only a temporary and one-off effect - and thus presents a buying opportunity.