KUALA LUMPUR (Jan 31): Hong Leong IB Research has maintained its “Hold” rating on Westports Holdings Bhd at RM3.70 with a higher target price of RM3.66 (from RM3.49) and said Westport’s FY18 core earnings of RM526.9 million were above house expectations but within consensus.

In a note today, the research house said the higher than expected results was mainly due to higher than expected container throughput volumes.

“The feasibility study on the port expansion is expected to complete by 1QFY19.

“We increase our FY19 and FY20 earnings forecast by 3.3% and 3.2%, respectively as we take into account of a higher throughput volume growth assumption.

“Maintain Hold, with a higher target price of RM3.66 based on DCFE (CoE: 8.0%),” it said.