Stock Name: BSTEAD
Company Name: BOUSTEAD HOLDINGS BHD
Research House: ECMLIBRA



ECM Libra Investment Research believes Boustead Holdings Bhd is not short of catalysts.

In a research note today, ECMLibra said the only thing about the company is that its timing of corporate activities and contracts can be quite vague.

"We are banking on a few items to really drive earnings going
forward.

"They are, the sale of loss-making Sumatran estates, the award of another tranche of vessels for the Royal Malaysian Navy worth probably in excess of RM5 billion and new land in Greater KL arising from Lembaga Tabung Angkatan Tentera's (LTAT)involvement in the government land privatisation programme to drive property division.

"With Tan Sri Lodin Wok Kamaruddin, deputy chairman and group managing director of Boustead Holdings mentioning a private placement several times already this year, in efforts to boost liquidity, we feel this exercise may see execution soon.

"We see no need to make changes to our estimates for now," the research firm added.

To capture the recently improved sentiment on Boustead, ECMLibra is raising the target price of the stock to RM6.70 compared to RM4.48 previously.

The research firm also upgraded Boustead to a "buy" from a "hold". -- Bernama