UOB Kay Hian Research Articles

QL Resources: A Longer-term Catch

UOBKayHian
Publish date: Tue, 16 May 2017, 10:08 AM
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An official blog in I3investor to publish research reports provided by UOB Kay Hian research team.

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(QLG MK/HOLD/RM4.94/Target: RM4.60)

We expect QLG’s key MPM segment to contribute significantly from FY19 on capacity expansion, but a strong recovery from the ILF segment will depend on supply-demand dynamics. We believe upside will be capped in the near term, given stretched valuations. A long-term key catalyst will be the ramp-up of its convenience store business. Maintain HOLD and raise target price to RM4.60. Entry price: RM4.30.

Source: UOB Kay Hian Research - 16 May 2017

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