Stock Name: UE E&C
Company Name: UE E&C LTD.
Company Name: UE E&C LTD.
| Research House: OCBC | Price Call: BUY | Target Price: 0.64 |
OCBC Investment Research upgraded Singapore-listed construction and engineering firm UE E&C Ltd (UECL.SI) to buy from hold and raised its target price to $0.65 from $0.41.
OCBC said it has raised its 2012 estimates for UE E&C’s revenues and earnings by 15-20% to account for two recent contract wins worth about $254 million in total.
UE E&C should be able to finance both projects without difficulty as it has a strong net cash of $108 million and low expenditure requirements.
The brokerage also said that it increased its valuation peg of the stock to four times its 2012 earnings per share from three times due to improved visibility of its income.
At 9:10 a.m., UE E&C shares were untraded. The share last transacted at $0.38 on Oct 28.
No comments:
Post a Comment