Midas

Midas near term, could benefit from reduced raw material costs as aluminum prices have been trending lower, on the back of new supply coming on stream this year, potentially resulting in an aluminum surplus this year and next. Aluminum spot prices in China have dropped ~10% over the past 3 mths. Longer term however (~4-5 yrs), aluminum prices are expected trend back up on structural pick-up in demand. OCBC has a Buy call with $1.58 target.