Company Name: MBM RESOURCES BHD
|Research House: KENANGA||Price Call: BUY||Target Price: 6.57|
Kenanga Research raised its target price on MBM Resources Bhd to RM6.57 per share from RM5.38 previously, citing stronger earnings outlook ahead for the Malaysian auto parts maker on the back of its expansion plans.
"We believe in the potential for MBM to grow into a significant auto parts player that would complement its existing manufacturing division," the broker said in a research note on today.
Maintaining an 'outperform' call on couter, Kenanga said MBM offered operational cost efficiency that benefits the entire group in cost savings.
As of 010.11 am, MBM shares rose 1.77 per cent against the Malaysian benchmark stock index that inched up 0.35 per cent. - Reuters