Olam: CS maintains O/p, with TP $3.85. Note that valuation at current levels is still 1 SD below historical average multiples. Near-term catalysts include financial closure and award of turnkey contract for its US$1.3b Gabon fertiliser project, and announcement of more
earnings-accretive deals.
Olam remains a sound way to play the structural agri-commodity theme, while current valuation at 13x P/E on 21% EPS CAGR is an attractive entry point.
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