Friday, March 27, 2015

First Resources

First Resources: CLSA has a Buy report with TP of $2.36 for the counter yesterday, citing that First Resources is poised for growth, after new plantings in recent years put the group in a solid position, with 50% of its trees are either immature or young.

In addition, the end of its capex phase should translate into stronger free-cashflow generation, and the house estimates that First Resources will turn into net cash position by 2017.

Current forward P/E of 11.1x is slightly below Indo peers of 11.8x.

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