Wilmar: CLSA Upgrade Wilmar from straight Sell to OutPerform, with TP at $5.80. Cite of positive implications from the expected peaking of Chinese inflation and massive insider buying, absence of any red flags at the recently concluded lianghui and Palm Oil Conference suggest that near-term macro risks are receding…..
Add that volatility from large trading operations appears priced in, given FY11/12 P/E of 14.5x (1 Std Dev below 2yr mean). House adjust consumer and palm & laurics margins reflecting a more positive outlook, and reduce conglomerate discount from 15% to 10% given greater focus on agri-businesses.
No comments:
Post a Comment