OCBC's Woon also likes luxury-watch retailer Hour Glass as a regional play. Up to a fifth of sales are overseas. But he notes the growing competition from other watch sellers. The firm has under-used its main store's Scotts Road location, he says. He also predicts a turnaround at Isetan, which has lowered inventories and should benefit from a new rental agreement at its flagship Orchard Road store.
Foreign sales make up a third of the total.
He also praises Robinson's sales service, product mix and inventory management. But there is little upside in the counter, he says. He also warns against home furniture store Courts. The firm offers a credit financing scheme and benefits from a steady stream of new low-cost government housing. So there's limited growth.