Singapore Stock Market News

Silverlake Axis Ltd - No bugs found

StockFanatic
Publish date: Sat, 18 May 2013, 12:32 PM
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Silverlake Axis's 9M13 results were in line, at 72% of consensus and our FY13 forecasts. Growth in high-margin segments continued to drive its profitability. Contributions from recent acquisitions and new orders on the horizon are expected to provide catalysts.

We raise our FY13-15 earnings by 1-8% to incorporate its recent Merimen acquisition. Maintain Outperform with a higher DCF target price following our earnings upgrade and the adoption of a lower WACC of 7.6% (from 8.5%, to align with house risk free rates).
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