Wednesday, April 27, 2011

Osim International rises on strong Q1 result

Stock Name: OSIM
Company Name: OSIM INTERNATIONAL LTD
Research House: OCBC

Shares of Singapore massage chair maker Osim International (OSIL.SI) rose as much as 3% on Wednesday after the firm said its first quarter net profit surged 150% to $20 million from a year earlier.

At 9:40 a.m., Osim shares were up 2.4% at $1.70 on a volume of 4.4 million shares.

The firm said a better product mix and higher productivity resulted in its strong performance. Osim said it was eying growth from high-end tea brand TWG, in which it has a 35% stake, and its OSIM-TWG joint venture in which it has a 60% controlling stake.
OCBC Investment Research said in a report that it raised its target price to $2.34 from $1.96 and maintained its buy rating on the stock to account for OSIM’s stellar results.

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