Hap Seng Plantations Holdings Berhad
Wed, 28-Feb-2024 08:34 am
by Steven Chong • Apex Research

Counter

HSPLANT (5138)

Target Price (RM)

1.93

Recommendation

Buy

• FY23 core net profit of RM99.4m was slightly below our expectations at 93%, but surpassed consensus estimates by 120%.

• We anticipate potential recovery of CPO prices in the near-term as CPO production remains stagnant, while palm oil stocks are projected to shrink.

• Maintained our HOLD recommendation on Hap Seng Plantation, with a higher target price of RM1.93 (previously RM1.80) based on 13.4x PER FY24F at +1 std from its 3-year average forward PE.

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Opinions, estimates and projections in this report constitute the current judgment of the author. They do not necessarily reflect the opinion of Apex Securities Berhad and are subject to change without notice. Apex Securities Berhad has no obligation to update, modify or amend this report or to otherwise notify a reader thereof in the event that any matter stated herein, or any opinion, projection, forecast or estimate set forth herein, changes or subsequently becomes inaccurate.

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