KencanaAgri - Kencana Agri cuts to Fully Valued by DBS Vickers

Stock Name: KencanaAgri
Company Name: KENCANA AGRI LIMITED
Research House: DBS Vickers

DBS Vickers downgrades Kencana Agri (F9M.SG) to Fully-Valued from Hold as stock has breached $0.35 target price, according to Dow Jones.



DBS Vickers says investors have more than priced-in plantation group’s 3-year volume CAGR of 25%, potential spike in next year’s earnings.



Notes stock trades at all-time high P/E of 19.6x 2011 earnings, driven by bigger peer Wilmar’s (F34.SG) recent move to take 20% stake in company for $80 million.



Shares down 2.4% at $0.405.