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Hot Stock: SPH falls 3.7% on heavy trading

AHEAD of full-year results due in October, shares in media and property group Singapore Press Holdings (SPH) were hotly traded on Monday, falling 10 Singapore cents to S$2.64, or 3.7 per cent, as at 1pm.

More than 9.5 million shares were traded, making it the top stock by value traded.

According to a report by UOB Kay Hian on Aug 31, where the broker did a page count, advertisements at flagship paper The Straits Times continued to decline year on year in the group's fourth quarter, which ended on Aug 31.

Total advertisements were flat quarter on quarter. Yet, it is too early to call a bottom, the broker said.

"Underlying structural issues persist, as noted by the widening divergence in print revenue and GDP (gross domestic product), where a strong correlation used to exist."

It had maintained a "hold" call and a target price of S$2.85 and an entry price of S$2.60, noting that SPH's share price is not expected to decline sharply unless advertising sees a larger-than-expected decline.