Home THE DAILY EDGE Business Osim +1.5%; Thin newsflow may cap upside near-term
Osim +1.5%; Thin newsflow may cap upside near-term

Tags: Osim International

Written by The Edge   
Monday, 27 September 2010 16:12
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Osim (O32.SG) +1.5% at $1.01 but struggling to hold above $1.00, according to Dow Jones.

While stock has recouped bulk of its 15.7% fall over first 3 weeks of last month, when it dropped to $0.91 on August 18 from 52-week high of $1.08 set August 2, rebound has been choppy despite several bullish analyst reports on massage-chair maker.

Investors generally preferring to wait for more news flow, which has been thin since release of 2Q10 results in July.

As 3Q10 results due only on October 19, shares may continue choppy performance till then, with last month’s $1.08 peak capping upside.

OCBC, which has Buy call, $1.29 target, latest broking house to highlight Osim’s prospects.

Citing respective 17.9%, 18.4% on-year increase in July, August retail sales for China, Osim’s key growth market, OCBC says 3Q10 results likely to be positive. 2Q10 earnings more than doubled to $12.1 million from $5.0 million year earlier.

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Last Updated on Monday, 27 September 2010 16:13