KUALA LUMPUR (Dec 3): CGS-CIMB Research has upgraded Bonia Corp Bhd to “Add” at 25 sen with a higher target price (TP) of 30 sen (from 28 sen) and said Bonia’s 1QFY6/20 core net profit of RM4.6 million was within house expectations.

In a note Dec 2, the research house said despite a decline in revenues, better cost controls led to a year-on-year increase in net profit.

“CY2020 could be a watershed year for Bonia as it strives to improve sales from prudent marketing efforts. Visit Malaysia 2020 is a potential tailwind.

“At 0.5x FY21F P/BV, the risk-reward for this stock looks appealing. Upgrade to Add with a higher TP of RM0.30 (unchanged 0.6x CY21F P/BV),” it said.