PERISAI (0047) : HLIB Research downgrades Perisai to Hold, cuts target price to RM1.07
KUALA LUMPUR (Nov 6): Hong Leong IB Research has downgraded Perisai Petroleum Teknologi Bhd to a Hold with a reduced target price of RM1.07 (from RM1.31) and said the company’s 9MFY14 result remained in the black but fell short of expectations.
In a note Thursday, the research house said this was mainly due to i) lower PBT margin for rig business at about 15% and ii) higher interest cost.
“To be more conservative, we now assume only about 60% utilisation or 5 month idles time for mobile offshore production unit (MOPU) in FY15.
“Note that every one month delay will translate to RM5.5 million lost to the bottomline.
“Given that extended uncertainties about E3 and MOPU, we downgrade our rating on the stock to Hold with target price reduced from RM1.31 to RM1.07 post earnings downgrade,” it said.
http://www.theedgemarkets.com
KUALA LUMPUR (Nov 6): Hong Leong IB Research has downgraded Perisai Petroleum Teknologi Bhd to a Hold with a reduced target price of RM1.07 (from RM1.31) and said the company’s 9MFY14 result remained in the black but fell short of expectations.
In a note Thursday, the research house said this was mainly due to i) lower PBT margin for rig business at about 15% and ii) higher interest cost.
“To be more conservative, we now assume only about 60% utilisation or 5 month idles time for mobile offshore production unit (MOPU) in FY15.
“Note that every one month delay will translate to RM5.5 million lost to the bottomline.
“Given that extended uncertainties about E3 and MOPU, we downgrade our rating on the stock to Hold with target price reduced from RM1.31 to RM1.07 post earnings downgrade,” it said.
http://www.theedgemarkets.com
