Singapore Stock Market News

Neratel - Lower Growth Expectations

StockFanatic
Publish date: Mon, 24 Feb 2014, 01:01 PM
StockFanatic
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NeraTel's 4Q13 SGD3.8m PATMI (-0.6% y-o-y) and SGD44.5m revenue (- 2.0% y-o-y) were below expectations. This was largely to disappointments in its telecom segment. Going forward, we lower our growth expectations as it will focus more on earnings quality and high dividend payouts.

Downgrade to NEUTRAL with a lower SGD0.72 TP (from SDG0.80) based on 12.4x FY14F P/E (+1 SD to its 5-year average).
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