#3 Fortress Minerals Ltd
Phillip Capital has
maintained its Buy rating on the company with a target price of $0.81.
The positive sentiment is because of the increase in volume of iron ore traded and the improvement in margins." Iron-ore concentrates sold increased 61.6% YoY in 1QFY22. This lifted revenue by 143.8%. QoQ, volume sold and revenue were down 19.2% and 0.3% respectively, mainly due to seasonality
Gross profits almost tripled from US$5.0mn in 1QFY21 to US$13.9mn, with gross profit margins up from 71.1% to 80.5%.
This was achieved with higher realised ASPs for iron-ore concentrates, which went from US$94.97/DMT in 1QFY21 to US$143.00/DMT. Unit costs climbed from US$24.88/WMT to US$25.55/WMT, mainly due to RM strength against the US$."
>> Read more about the company here.
#4 Jiutian Chemical
KGI Securities has maintained its rating on the company with a
BUY rating on the stock with a target price of $0.12.
The conviction of the analysts comes from the fact that "China’s economy has benefited from supply disruptions in the rest of the world.
We see this trend continuing this year and may surprise on the upside given the unprecedented amount of fiscal and monetary stimulus around the world.
Jiutian is the second-largest Dimethylformamide (DMF) producer in China, with a total annual capacity of 150,000 tons of DMF and methylamine (MA). Both these chemicals are important ingredients in industries as diverse as consumer goods, petrochemicals, electronics, pharmaceuticals and fertilisers"
>> Read more about the company here.
#5 Singapore Exchange Limited
UOB Kay Hian has
maintained a rating of BUY and with its target price at $12.35.
The remarkable future of the company is due to the "opportunities for growth.
Separately, the group continues to outline its strategy to acquire, build and partner for growth. Revenue CAGR in the medium term is expected to be in the mid-high single digit. One area of growth is in forex, where the group’s forex volumes continue to show a steady growth.
SGX has highlighted the increasing usage of multi dealer platforms and electronic communication network (ECN) in the OTC markets. As such, the group is looking to set up an OTC electronic communication network anchored in Singapore, building an integrated forex offering which combines both forex futures and OTC forex offerings.
Currently, we have built in a 9% revenue CAGR from FY20-23F for the group’s forex volume traded."
>> Read more about the company here.
#6 HRnetGroup Limited
Phillip Capital has
initiated its BUY rating on the company with a target price of $1.00.
The main driver of the sentiment is mainly because its leadership position in the market.
"As a human-resource business, its operations do not require much PPE. Its 152% ex-cash ROE can be attributed to strong income generation built on scale and reputable brands, led by an experienced board and management team.
According to Frost & Sullivan, HRnet is the largest employment agency in Singapore with a 20.5%market share based on 2015 revenue. In a recent ACRA compilation, HRnet remained the largest and most profitable recruitment service player in Singapore."
>> Read more about the company here.
#7 Marco Polo Marine
UOB Kay Hian has
maintained its BUY rating on the company with a target price of $0.036.
The extremely positive sentiment is because of the "Rationalised vessel chartering industry. Since the oil crisis in 2014, Clarksons data suggests that vessel charter rates have rationalised, helped by minimal newbuilds and more vessels on lay ups. Furthermore, rising vessel utilisation from demand in the infrastructure and renewable energy sectors in Southeast Asia has benefitted the remaining players in the offshore support industry.
In 1HFY21, Marco Polo Marine (MPM) reported an 88% yoy jump in core EBITDA to S$4.0m. The positive set of financials came on the back of higher revenue of S$21.1m (+13.8% yoy) attributed to the commencement of two new construction projects under its ship building division and increased ship repair jobs, as well as gross margin expansion to 23.8% (1HFY20: 18.4%) from the absence of one-off reactivation costs."
>> Read more about the company here.
