After weak 1HFY2021 results and the departure of key executives, Nanofilm Technologies has seen better days, with investor confidence now dented, writes DBS Group Research analyst Ling Lee Keng.

Ling is downgrading the company to “hold” while cutting the target price to $4.18 from $6.22 previously. The new target price represents a 2% downside. 

“Nanofilm’s 1HFY2021 results were affected by operational issues and also supply chain disruption, which has affected its key customers. This also resulted in a lower-margin product mix. Coupled with the uncertainties surrounding the recent resignation of two key executives, which has dented investor confidence, we downgrade the stock to 'hold',” writes Ling in an Aug 17 note. 

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