Singapore Stock Market News

Noble Group - Fresh chapter of growth

StockFanatic
Publish date: Fri, 02 Nov 2012, 11:38 AM
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Noble is about to enter a fresh chapter of growth. New sugar assets in Brazil should bump up agriculture earnings, while industry dynamics appears to have improved with its peers not only reporting stronger earnings but also expressing increased optimism.

With sugar harvesting peaking in 3Q, Noble could be on its way to near-record profits in 3Q12. We keep our EPS pending its results on 8 Nov, but raise our target price as we roll it forward to 10.1x CY14 P/E (0.5 SD below 5-year mean). Maintain Outperform, with re-rating catalysts expected from earnings surprises.
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