NOL

NOL: Barclays upgrade to O/w from neutral, as the house now see value emerging after the 20% decline in share price since the announcement on 21 August of the potential sale of its profitable logistics unit (vs CSCL and the STI both flat over the same period). NOL is trading at 0.8x 2015E P/B, a three-year trough despite our expectation for a sequential earnings recovery in 4Q14 and 2015 on the back of lower oil prices. The house lower its 12-month price target by 8% to $0.95 (from S$1.03) and roll forward our unchanged 1.0x target P/B multiple to its revised 2015E BVPS estimate of S$0.95. Lower estimate for 2014 to a loss of $0.08/share (from EPS of S$0.03) and lower our 2015-16 EPS estimates by 47- 73% to reflect lower freight rates than it had expected.