OI Corporation; Hold (Downgraded from BUY); RM4.36
Price Target: RM4.10 (Prev RM6.15); IOI MK
Post-demerger revaluation
We adjusted forecasts and valuation to account for spin off of IOI Property Group (IOIPG). FY14F earnings to dip 37% y-o-y; as we account for half-year contribution from IOIPG, lower CPO ASP. Valuation methodology changed to DCF, estimated at RM4.10 (WACC 8.6%, TG 3%). Counter is fairly valued. Rating cut to HOLD.
Source: HwangDBS Research - 9 Jan 2014
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Created by kltrader | Jan 03, 2023
Created by kltrader | Sep 30, 2022