Midas: : (Key Feature in The Edge)Midas maintains expansion stance despite fallout from China train crash. Probe pertains only to the bullet-train service and not metro lines.
Sept will offer clarity as that is when findings of govt investigations are likely to be known. Midas was not a supplier to CSR Corp, the builder of the 2 trains involved in the accident. In any case, Midas stands to gain on increased focus on rail safety.
Most analysts however still advise caution on share, preferring to stay on the side of caution until more clarity emerges on future order flow on China’s railway investment policy. CIMB and Kim Eng has Neutral Call with $0.46 and $0.44 TP, while DBS maintains Buy with $0.72 TP.