Buy call on SKPetrol?
SKPetrol : Back to 3.14 closing as in the morning surge above 3.25 ... O&G is bearish due to the oil-prices. Being a contrarian .. I like them now.
What You Should Do : We advise investors to accumulate the stock following the share price correction, as SapuraKencana offers solid order book and earnings visibility, supported by its exploration and production (E&P) venture, the two long-term contracts in Brazil, as well as various multiple-year offshore construction and drilling contracts.
This is taken from recent report by CIMB.
We should not blame the analyst for writing a report. It is their job to write a report based on their research and back with data. Now, no one is to predict crude-oil price going below USD80 or ... to know what external factors to affect the price of the stocks. If we do not like or believe his/her recommendation (a BUY call here), we can just skip ... we should do our own judgment and decision before we buy/sell.
Do take responsibilities of our own BUY/SELL as it is not a job of analysts. In fact, they are paid to do the job .. a well-paid job, indeed. Broker reports are widely read by retailers ... and yes, perhaps some parties may have personal interests in the particular stocks.
I am not going to mention more on the BUY call on SKPetrol or any O&G counters. But, personally ... being a contrarian ... I do like the sector now.
Time to rest ...zzz
Note : DOW hitting new high again tonight 17 519
My Trading Adventure
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