Bursa Malaysia Stock Watch

Alam Maritim Resources: Maintain Hold - Walking While Peers Run

kltrader
Publish date: Tue, 14 Aug 2012, 09:35 AM
kltrader
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Walking While Peers Run
  • Results improve but concerns remain. 1H12 earnings are broadly in line at 43% of our full-year forecast as we expect 2H to be stronger when its outstanding OIC orders are completed.
  • However, while operationally stable, Alam's outlook remains muted in the absence of vessel renewals which it finds difficult to fund.
  • With flattish earnings expected over the next two years, we feel Alam risks being left out of any broad-based O&G rally. Our TP is pegged at 8x FY13 PER.
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Source: Maybank Research - 14 August 2012
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