Downgrade to Hold. 4Q11 net profit of RM24m (+1% QoQ, -19% YoY) brought
full-year 2011 net profit to RM91m (-23% YoY), within our and the
market's expectations. Kossan's share price has risen by 27% in six
months and is only 7% away from our TP of RM3.50 (9.5x 2013 PER). We
think the stock lacks re-rating catalysts for now, with latex cost on a
seasonal upward trajectory again. We downgrade the stock to Hold.
Maybank Research 27 Feb 2012
Click here for full report
No comments:
Post a Comment