Stock Name: SIA Engg
Company Name: SIA ENGINEERING CO LTD
Company Name: SIA ENGINEERING CO LTD
| Research House: CIMB | Price Call: BUY | Target Price: 3.90 |
CIMB Research upgraded SIA Engineering Co (SIAE.SI), a unit of Singapore Airlines (SIAL.SI), to outperform from neutral, but kept its target price at $3.90.
By 9:34 A.M., SIA Engineering shares were up 0.3% at $3.48, and have gained about 1.5% so far this year.
By 9:34 A.M., SIA Engineering shares were up 0.3% at $3.48, and have gained about 1.5% so far this year.
On Tuesday, SIA Engineering reported a 5.3% rise in its third quarter net profit to $63.5 million, which came in below CIMB’s expectations.
The brokerage cut its fiscal 2012-2014 earnings per share estimates for SIA Engineering by 7-10%, but upgraded the stock as it said valuations were attractive.
SIA Engineering will also benefit from steady demand for its maintenance, repair and overhaul business, as there are no signs of large cuts in capacity spending by airlines so far, CIMB said in a report.
“We expect earnings growth despite a rocky global economy. Beaten-down valuations offer opportunities to accumulate,” CIMB said.
No comments:
Post a Comment