“Moreover, in our view, steady CPO price outlook means [Indofood Agri] has limited room to improve its downstream division's profitability performance,” he adds.
SINGAPORE (May 2): DBS Group Research is maintaining its “hold” call on Indofood Agri Resources with an unchanged target price of 36 cents on the back of limited profitability expansion in sight.
“Our view is that there is likely to be insignificant margin expansion ahead (which is a critical factor for [Indofood Agri’s] share price),” says lead analyst William Simadiputra in a flash note on Monday.
