Goodpack

Goodpack: OCBC ugrade to Buy and lifts TP to $2.17 from $1.87. The house met up with Goodpack’s management and better understood their growth drivers in 2014. While the impact of economic recoveries in the US and Europe on Goodpack’s growth is likely to be limited, expect new SR accounts to be the key driver for growth over FY14/15 as Goodpack continues to engage auto parts manufacturers. In addition, believe that, given the cost savings of up to 20% and Goodpack’s proactive role as an on-the-ground partner, scaling up and adoption will feature more prominently in Goodpack’s earnings profile from 2QFY15 onwards. Upgrade to BUY with new fair value estimate of $2.17 from $1.87 due to change in analyst and updated assumptions.