Dividend yield may bolster SIA stock amid headwinds

IT'S likely to be a familiar theme as Singapore Airlines (SIA) unveils its first-quarter results this week, with core earnings receiving a boost from unwinding fuel hedges and cheap jet fuel even as yields feel the impact of a competitive environment.

And yields are expected to continue to come under pressure on the back of softer demand for premium travel owing to a lacklustre macro-environment as well as intense competition from the Gulf and North Asian carriers.

Other factors could also affect yields going forward, some analysts have highlighted.