Defence, healthcare, bank stocks expected to gain from Singapore Budget 2019

Singapore

DEFENCE, healthcare and grocery stocks are the possible winners from the latest Singapore Budget announced on Monday, according to a number of research analysts.

The emphasis on defence and building a smart nation in Singapore Finance Minister Heng Swee Keat's budget speech sent defence contractor ST Engineering to the top of the winners' list for many analysts, with DBS, RHB and CGS-CIMB highlighting the stock.

"Singapore plans to continue to innovate and build new capacities to meet its security needs," wrote RHB, which has a "buy" call on ST Engineering. In addition to the existing five pillars of military, civil, economic, social and psychological defence, Singapore has recognised the importance of guarding against cyber threats, as a sixth pillar of digital defence. "We view the Government's increased focus on defence spending as positive for ST Engineering, which remains a key innovator and supplier of defence equipment to the country," R…