- Published on Wednesday, 10 December 2014 21:25
KUALA LUMPUR: Research houses have maintained “buy” calls on SapuraKencana Petroleum Bhd following its solid net profit of RM1.1 billion for the nine months of financial year ending Jan 31, 2015.
Affin Hwang Capital, which set a target price (TP) of RM3.60, said the results achieved by the group were within consensus and its expectations.
“The strong earnings growth was driven by the acquisitions of tender rigs and energy businesses, as well as higher contributions from the offshore construction segment,” it said in a note today.
AllianceDBS Research said armed with its latest outstanding orderbook of RM26.5 billion, the oil and gas company's offshore services like offshore construction, drilling, fabrication and hook-up and commissioning should remain resilient over the financial year 2016 (FY16).
“Most of the group’s assets are tied up for the long term and contributions from the Petrobras contracts will pick up in FY16 to make up seven per cent of the group earnings,” it said.
AllianceDBS has set a target price of RM3.25.
At 2pm, SapuraKencana shares was flat at RM2.45 with 20.27 million shares traded between RM2.38 and RM2.46.