RHB Group Research analyst Jarick Seet has kept his “buy” call for Food Empire Holdings with an unchanged target price of $1.27 as he sees stronger quarters ahead for the company.

“We believe that the worst is over for Food Empire in 2020, with 1Q2021 likely to be the weakest quarter for FY2021,” he says in a July 7 research note.

Seet’s sanguine outlook for Food Empire’s FY2021 ending December is underpinned by the "strong sequential improvement" the company has shown from 2Q2020 on the back of stable demand for instant coffee products. “We expect demand to remain resilient, and increase in FY2021, especially in 2Q-3Q2021,” Seet says.

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