In his report dated Aug 17, Chua says that Sembcorp’s 1HFY2022 results were lifted by its energy segments with macroeconomic conditions causing rising energy prices, which he expects to moderate “slightly” in the next half of the financial year before “normalising” in FY2023.
PhillipCapital analyst Terence Chua has maintained his “neutral” call on Sembcorp Industries, despite the company posting profits for 1HFY2022 ended June that were “ahead” of expectations, while raising his target price (TP) to $3.27 from $2.96 previously.
Chua has raised his Sembcorp estimates for FY2022 and FY2023 Patmi by 86% and 61% respectively after accounting for higher profits from its conventional energy and renewable energy segments. His higher TP is still based on 1.2x FY2022 P/Bv, the average of its peers.
