FJ Benjamin: UOBK upgrades to Buy, says it expects a "new and exciting growth phase," driven by the regional introduction of new mass-market fashion labels, continued store expansion in key growth markets in Indonesia and the ramp up of Raoul sales under a wholesale business model. Notes same-store-sales (SSS) growth remains resilient across most key operating locations. Says FJB is looking to add new brands to its portfolio this year. Expects FJB to increase its store network 10%-15% every year, focusing on Indonesia's high-growth markets, offering a proxy to Indonesian retail spending growth. Raises TP to $0.43 from $0.38 on rolling over to FY13 forecasts and after increasing FY12-13 earnings forecasts by 4.7% and 0.5% respectively. The house's technical analysis says the stock has been on a long-term downtrend since Sep '10 , with the price appearing to rebound, while the stochastic indicator is approaching the oversold region. Tips support at $0.325.
The stock climbs 3.0% to $0.34.
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