Wilmar

Wilmar: added to HSBC’s Asia Super Ten recommendation (replaces Telstra).
House tips Wilmar to be at an inflection point.
Says margin risks now on the upside, as its soy crushing business improves following the Chinese govt release of discounted soybeans to Wilmar...

Notes also that falling feedstock costs will underpin earnings momentum in the downstream businesses, especially palm oil and cooking oil. This corroborates with Indonesia’s trade minister’s view of softening CPO prices in the coming months, as well as better weather conditions.
Adds, lifting of Chinese price caps a positive catalyst.
HSBC rates at Overweight with TP $6.44.
Wilmar currently trades at 21.2X P/E and other recent recommendations are largely positive with TP $5.68 - $6.25