SINGAPORE (Oct 4): NRA Capital is maintaining “overweight” on Jubilee Industries Holdings, the producer of precision plastic injection molds, at a fair value of 7 cents.
In a Wednesday report, analyst Liu Jinshu highlights Jubilee as a high-return, high average risk prospect based on its improving earnings outlook, increasing merger and acquisition (M&A) momentum, and its potential to spin off one off its business units in the longer term.
In his view, the company’s recent developments, such as its improving financial performance on the back of its profitable Electronic Business, point to a turnaround in the business. This is further signalled by its parent company, Accrelist, more than doubling its stake in Jubilee to 64.73% from 29.1% previously in June this year.
