Stock Name: FGV
Company Name: FELDA GLOBAL VENTURES HLDG BHD
Affin Investment Bank cut its average selling price forecast on Malaysian crude palm oil this year to RM2,600 per tonne from RM2,800, citing a sluggish price outlook amid high inventory levels and an uncertain global economy.
"While exports may pick up again ahead of Ramadan, challenges remain - including uneven global growth, high palm oil stocks, the outbreak of the H7N9 virus in China, and likely delay in the implementation of B10 biodiesel policy," Affin said in a note on Friday.
The research house also slashed its price forecasts for 2014-2015 to RM2,700 from RM2,800.
Palm oil futures on the Bursa Malaysia Derivatives Exchange have lost 7.3 per cent so far this year.
Affin added that Malaysian planters now face new challenges including the revised criteria for producing certified sustainable palm oil and new regulations that cap plantation land ownership in Indonesia.
It also cut its rating on oil palm planter Felda Global Ventures Holdings Bhd's to 'reduce' from 'add' and lowered its target price to RM4.07 per share from RM4.64.
Affin upgraded Sarawak Plantation Bhd to 'buy' from 'add', and raised its target prices on IOI Corporation Bhd , Sime Darby Bhd, Genting Plantations Bhd, IJM Plantations Bhd by between four and 18 per cent.
Shares in Felda Global slipped 0.44 per cent against the Malaysian benchmark stock index's 0.36 per cent loss.-- Reuters
Company Name: FELDA GLOBAL VENTURES HLDG BHD
| Research House: AFFIN | Price Call: SELL | Target Price: 4.07 |
Affin Investment Bank cut its average selling price forecast on Malaysian crude palm oil this year to RM2,600 per tonne from RM2,800, citing a sluggish price outlook amid high inventory levels and an uncertain global economy.
"While exports may pick up again ahead of Ramadan, challenges remain - including uneven global growth, high palm oil stocks, the outbreak of the H7N9 virus in China, and likely delay in the implementation of B10 biodiesel policy," Affin said in a note on Friday.
The research house also slashed its price forecasts for 2014-2015 to RM2,700 from RM2,800.
Palm oil futures on the Bursa Malaysia Derivatives Exchange have lost 7.3 per cent so far this year.
Affin added that Malaysian planters now face new challenges including the revised criteria for producing certified sustainable palm oil and new regulations that cap plantation land ownership in Indonesia.
It also cut its rating on oil palm planter Felda Global Ventures Holdings Bhd's to 'reduce' from 'add' and lowered its target price to RM4.07 per share from RM4.64.
Affin upgraded Sarawak Plantation Bhd to 'buy' from 'add', and raised its target prices on IOI Corporation Bhd , Sime Darby Bhd, Genting Plantations Bhd, IJM Plantations Bhd by between four and 18 per cent.
Shares in Felda Global slipped 0.44 per cent against the Malaysian benchmark stock index's 0.36 per cent loss.-- Reuters
No comments:
Post a Comment