Singapore Stock Market News

Lian Beng Group - Brick by brick

StockFanatic
Publish date: Wed, 24 Sep 2014, 03:04 PM
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We expect Lian Beng to sustain its stellar FY14 results. The group's robust construction book of $1.2b, vertically integrated business model, incoming revenue from Spottiswoode and Midtown projects, rising dormitory and concrete contributions, and recurring income from new asphalt and granite businesses would serve as key growth catalysts.

Valuations are compelling at 5.6x FY16E P/E. Putting a 20% discount to our SOTP valuation, our fair value of $0.96 still implies 37% upside.
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