Guocoleisure kept at 'add' with $1.18 target price by CIMB

Stock Name: GuocoLeisure
Company Name: GUOCOLEISURE LIMITED

Research House: CIMB

Price Call: BUY

Target Price: 1.18

SINGAPORE (Feb 4): CIMB Research is maintaining its "add" recommendation on Guocoleisure with a target price of $1.18.

In a Feb 3 report, analysts Roy Chen and William Tng say the fundamentals of GLL's hotel
segment remain sound and that the market has overreacted to the forex and oil price hiccups.

To recap, Guocoleisure reported revenue of US$200.6 million ($270.1 million) in 1H15, down 6% from a year ago, due to lower revenue from its non-core businesses.

Reported net profit was US$31.4 million, up 4%, mainly due to earnings growth in the hotel segment.