Midas Holdings - This stock still has legs

Date: 
2012-10-04
Firm: 
CIMB
Stock: 
Midas
Price Target: 
0.63
Price Call: 
BUY
Last Price: 
0.192
Upside/Downside: 
+0.438 (228.12%)
Target S$0.63 (Long Term: Out Perform)

Midas has re-rated recently but we still see price catalysts from high speed contract wins. CSR, China's state owned locomotive manufacturer, expects high-speed orders by 4Q12 or 1Q13. Midas will be one of the key beneficiaries on such announcements. Maintain Outperform. We roll forward to CY14 EPS, with our target now based on 15.5x (10% discount to its 5-year forward average; previously -0.5SD). Our target price increases accordingly. We change our valuation to account for potential ROE and growth normalisation. Stock catalysts are expected from order flows, while operational risks are contained.

Discussions
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ccteh

Ready to explode and move upwards with more rail projects in china.

2012-10-04 15:58

ccteh

zzzz price today.

2012-10-05 22:03

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