Singapore Stock Market News

Ezra Holdings - Buy ahead of recovery

StockFanatic
Publish date: Fri, 13 Jun 2014, 09:43 AM
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Ezra's share price has underperformed the FSSTI by 20% YTD, making it one of the three worst-performing O&M stocks in Singapore. Given the more stringent offshore maintenance programme under the new management and its vessels' gradual return to work, we think that Ezra's offshore division's earnings troughed in 2Q14. Subsea, on the other hand, turned in positive net profit for three consecutive quarters with no major hiccups due to consistent orders secured. We think that Ezra's share price is at an inflection point and see limited downside.
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