ASSA Add TP 350
Back in the fast lane
weak earnings during FY14-15, ASSA is set to make a comeback.
â– Underpenetrated corporate rental industry, economic growth recovery and lower
interest rates should all provide growth opportunities for its rental business.
â– Base effect, higher prices of new cars as well as further expansion of its ancillary
businesses should drive earnings recovery ahead of its topline growth.
â– We believe the stock is undervalued at 0.8x FY18 P/BV. Our TP reflects both its
undervaluation and growth potential in a recovering growth environment.
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