• Technical BUY on breakout with +23.9% potential return
• Last price: RM0.85
• Target price: RM0.995, RM1.09
• Support: RM0.80
• Stop-loss: RM0.795

BUY on breakout with a target price of RM1.09 and stop-loss at RM0.795. Based our last BUY call on 6 Apr 17, SNT initially hit our targets at RM0.925 and RM0.995 before making a pullback to the current level. On yesterday’s movement, the share price managed to close above the BBI line to maintain the bullish momentum towards the breakout level of RM0.88. This is supported by the MACD’s bullish crossover and is consistent with the uptick in the DMI, which suggests stronger buying momentum ahead. We peg our new targets at RM0.995 and RM1.09 respectively in the short to medium term.

Expected Timeframe: 2 weeks to 2 months.

Source: UOB Kay Hian Research - 2 Jun 2017