Keppel Ltd

“Keppel is mid-transformation from a cyclical conglomerate into an APAC-focused alternatives asset manager, with a credible secular tailwind in data centres and infrastructure but insufficient financial returns (8.9% ROE, ~5-6% ROIC) to justify the current 1.89x book multiple; genuine permanent-impairment risk from unresolved China real estate exposure and a still-unproven AUM scaling story leave no margin of safety, making this a watch-and-wait situation rather than a conviction buy despite the directionally correct strategic pivot.”