Friday 29 Mar 2024
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KUALA LUMPUR (Feb 18): CIMB Research has downgraded Perisai Petroleum Teknologi Bhd to Reduce (from Add) at 69 sen with an unchanged target price of 63 sen on the back of a strong share price outperformance year-to-date.

In a note Feb 17, the research house said it does not anticipate any exciting catalysts, at least until mid-year, as management scouts for contracts for three assets – Rubicone, E3 and PP102.

“We continue to value the stock at 10.5x CY16 P/E, still at a 30% discount to the oil & gas big caps.

“A potential de-rating catalyst is a prolonged contract search for the three assets.

“We recommend a switch to our top oil & gas small-cap pick Perdana Petroleum Bhd,” it said.

 

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