Ezra - Ezra target cut to $2.20 by DMG, But keeps Buy

Stock Name: Ezra
Company Name: EZRA HOLDINGS LIMITED
Research House: DMG

DMG cuts Ezra Holdings (5DN.SG) target price to $2.20 from $2.54 after lowering FY11 earnings estimate by 13% to reflect delay in delivery of company’s multi-function support vessel, or MFSV, expected lower utilisation rate for vessel in first year of operation, says Dow Jones.



DMG says supplier of offshore support vessel’s first MFSV won’t be ready next month vs management’s previous guidance for August delivery: “There is little clarity on when the vessel will be delivered.”



Still, research house is keeping its Buy call: “The company is one of the leading integrated oil and gas services providers in the region and the deepwater subsea market will be the next area of growth for the company.” Shares flat at $1.74.