Although Sembcorp Industries continues to be rated an “add” by CGS-CIMB Research, the brokerage has lowered its target price for the company to $1.95 from $2.27 previously.

This is based on the CGS-CIMB’s CY21 forecast of one time book value, in line with the expected improvement in return on equity (ROE).

The brokerage also revised its FY20-22 core earnings per share forecasts by -2 to 9%, mainly to reflect the demerger of Sembcorp Marine (Sembmarine), which has ceased to be a subsidiary.

To continue reading,

Sign in to access this Premium article.

Subscription entitlements:

Less than $9 per month
3 Simultaneous logins across all devices
Unlimited access to latest and premium articles
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)

Stay updated with Singapore corporate news stories for FREE

Follow our Telegram | Facebook