Still will go lower because the IB may trying force u all to panic sell then they can collect , then gv high TP , ....I think saudi prefer CO=60-70 and BCO at 80....they cant tahan ady...
small pullback in oil price, doesn't affect much... the downtrend already end. it is just a matter of time to move. but also, we might not be able to see the current price...
We recently met with the management of BARAKAH and came away with a clearer picture of the industry dynamic and the company’s prospects. We believe that the company may secure slightly more pipeline servicing/replacement contracts (versus our previous less optimistic assumptions). In view of the more optimistic assumptions, we have adjusted our FY15E and FY16E earnings forecasts by 20% and 7% to RM81.0m and RM90.1m (as opposed to RM67.2m and RM84.0m previously) on the back of higher pipeline operations performed (100% for both FY15 & FY16 recognition versus 45% & 80% previously). Post our net profit upgrades and rolling forward valuation to CY16 EPS of 10.4 sen with target PER maintained at 10x, the new TP is RM1.04 (from RM0.78 previously). The higher target price prompts a rating upgrade to MARKET PERFORM (from UNDERPERFORM).
As a new babe, which analysts are more reliable and which are less? The Kenanga report didn't help price obviously. I am holding Barakah and it looks like O&G will be pretty gloomy for most of the year. Should lower average if it goes below 0.8x.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
alexchua
287 posts
Posted by alexchua > 2015-03-05 11:09 | Report Abuse
JN, i though WTI crude oil ady back to above 50 and brent crude oil to 60 ?