March 16, 2010

TGOFFS - Price Target News

Stock Name: TGOFFS
Company Name: TANJUNG OFFSHORE BHD
Research House: OSK

KUALA LUMPUR: OSK Research is maintaining its Sell call on Tanjung Offshore unchanged for now pending the 1QFY10 results. "Our target price for Tanjung Offshore remains unchanged at 88 sen based on a PER of 7.0 times FY10 EPS," it said in a research note issued on Tuesday, March 16. The report was issued after Tanjung Offshore secured long-term contracts from Petronas Carigali Sdn Bhd to provide two vessels for four and five years and the the contracts are valued at RM114.6 million Earlier, OSK Research was concerned about losses from its UK subsidiary, Citech Energy Recovery Systems UK Ltd, which manufactures CITECH waste heat recovery units. However, Tanjung Offshore as the group managed to break even in its 4QFY09 result with a net profit of RM2.4 million. "We await a better performance in the coming quarters before we upgrade our existing call and target price," it said.

No comments:

Post a Comment