Stock Name: MISC
Company Name: MISC BHD
Research House: HWANGDBS
Company Name: MISC BHD
Research House: HWANGDBS
HwangDBS Vickers Research has maintained its "hold" call on MISC Bhd, with a target price of RM8.30 as the company declared a lower-than-expected fourth quarter financial year 2011 core earnings, which eased 93 per cent quarter-on-quarter.
In a research note today, HwangDBS said the quarter-on-quarter drop was partly attributed to lower revenue from heavy engineering due to the novation agreement for the Turkmenistan project and completion of some jobs.
"Apart from exceptional items, the quarter-on-quarter drop is also mainly due to larger losses in the petroleum shipping segment and improved container rates," it said.
Meanwhile, it is also anticipated that MISC's petroleum tanker rates are likely to be weaker in the financial year 2012, as stronger tonnage supply growth is expected to outstrip demand.
"However, stable contributions from liquefied natural gas, the offshore and heavy engineering divisions should continue to support earnings," it added. --Bernama
In a research note today, HwangDBS said the quarter-on-quarter drop was partly attributed to lower revenue from heavy engineering due to the novation agreement for the Turkmenistan project and completion of some jobs.
"Apart from exceptional items, the quarter-on-quarter drop is also mainly due to larger losses in the petroleum shipping segment and improved container rates," it said.
Meanwhile, it is also anticipated that MISC's petroleum tanker rates are likely to be weaker in the financial year 2012, as stronger tonnage supply growth is expected to outstrip demand.
"However, stable contributions from liquefied natural gas, the offshore and heavy engineering divisions should continue to support earnings," it added. --Bernama
No comments:
Post a Comment