Petronas Chemicals falls 5.45pct after J.P. Morgan downgrade

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KUALA LUMPUR (Jan 9): Petronas Chemicals Group Bhd. shares fell as much as 5.45 percent, while Malaysia's benchmark index advanced. Petronas Chemicals cut to underweight at JPMorgan price target RM7.50.

Market Metrics

* Shares declined to RM8.50 from RM8.99 in the previous session.

* Trading volume was almost 30 times the 20-day average.

* The FTSE Bursa Malaysia KLCI Index - Kuala Lumpur Composite Index gained 0.3 percent, and the MSCI AC Asia Pacific Index rose 0.6 percent.

Market Insights

* In the past year, the stock had a similar or greater loss three times at the close; it advanced in the next trading session twice (0.7 percent, on average) and declined once (1.1 percent).

* Shares are at a 8.7 percent discount to the analysts' consensus target price. The stock traded at an average 3 percent discount over the past year.

* J.P. Morgan analyst Ajay Mirchandani downgraded the recommendation on Petronas Chemicals to underweight and assigned a target price of RM7.50 yesterday.

* Stock advanced 10 percent in the past 52 weeks as the FTSE Bursa Malaysia KLCI Index - Kuala Lumpur Composite Index lost 8.7 percent.