Recall that on yesterday we upgraded our Target Price of PMETAL to RM3.20 after having earlier issued a Trading Buy call on the stock in 14 Jan 2015. However, due to the weak broader market sentiment, the share price touched our revised stop-loss level of RM2.92 before closing at RM2.93; Nevertheless, we view that the recent dip could be short-lived while we maintain our Trading Buy call on the stock underpinned by (i) its strong earnings result reported and (ii) bright prospect ahead with its smelting plants running at full capacity. We reiterate our Trading Buy call on PMETAL with a near-term TP of RM3.20, while any break out from its multi-month resistance will prompt us to revise our target price further. Meanwhile, immediate stop-loss is revise to RM2.85.

Source: Kenanga