GLP - Global Logistic up on brokers' buy calls

Stock Name: GLP
Company Name: GLOBAL LOGISTIC PROP LIMITED
Research House: Nomura

Shares of Singapore’s Global Logistic Properties (GLPL.SI), which owns logistics facilities in China and Japan, rose as much as 3.2% in morning trade on Monday after UBS and Nomura initiated “buy” ratings on the stock.



At 0240 GMT, GLP shares were up 1.8% at $2.26 on a volume of 9.3 million shares.

“Recently a few foreign brokers had started covering the stock favourably and the market reacted to it,” a local trader said.

Nomura initiated coverage with a “buy” rating and a target price of $2.58, noting that GLP’s scalable business model, leveraging off its first-mover advantage in China, may help to reinforce its market-leading position in the logistics market.

UBS said it expects GLP to benefit from growth in logistics demand amid rising consumerism, greater outsourcing of distribution to third-party logistics companies and continued expansion of its market share.

The broker initiated a “buy” call and a target price of $2.65 on GLP stock.

GLP made its debut last month, opening at $2.16 against an issueprice of $1.96.