KUALA LUMPUR (Aug 24): Public Invest Research has maintained its “outperform” rating on Prestariang Bhd with a lower target price of RM2.30 (from RM2.76) and said it was cutting its earnings forecasts for FY15–17 by 12%–32%, however, after factoring in i) about RM6 million losses for the education arm and ii) lower earnings expectations from the Microsoft contracts.
“Nevertheless, we continue to rate Prestariang with an 'outperform' call, but with a lower TP of RM2.30 (from RM2.76) based on an unchanged 20x FY16 P/E,” it said in a note today.