Olam

Olam: - 2.7% at $1.62, it’s lowest since Apr09, tracking declines in most regional commodity plays as the usual victims of risk-off market sentiment. But the stock's de-rating, with shares down around 24% year-to-date, may be overdone, HSBC note that Olam is not immune from global macro headwinds but it's building a portfolio that will be less impacted by volatility while increasing earnings visibility; this will keep the medium term earnings delivery story intact, in view. House cuts TP to $2.84 from $3.12 to reflect near-term earnings pressure, but keeps an Overweight call. The stock may find near-term psychological support around $1.50