Singapore Stock Market News

Ezion Holdings - Sharpening the edge

StockFanatic
Publish date: Tue, 01 Oct 2013, 12:45 AM
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The restructuring of Ezion's marine supply base business via a special purpose vehicle will enable the company to focus its resources on expansion of its service rig business while allowing it to continue reaping benefits from other business opportunities.

We keep our FY13-15 EPS forecasts as there is marginal impact from the restructuring. Also intact are our Outperform rating and target price, which remains based on a blend of P/E (7.7x CY14) and P/BV (2.3x CY13) valuations. Ezion is our top pick among small-to mid-cap O&M stocks. We see orders as the key catalyst.
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