Seet had downgraded Frencken to “neutral” previously with a lowered P/E of 10x from 14x as Frencken’s NPAT growth would have been hampered due to higher costs along with the devaluation of tech stocks globally.
RHB Group Research analyst Jarick Seet has upgraded Frencken to “buy” with an unchanged target price of $1.24 on attractive valuations.
“Over the past month, Frencken has corrected [around] 20% and is now trading at just 8.5x FY2022 P/E, an attractive valuation, which we consider represents a good entry for a long-term investment,” writes Seet in his June 21 report.
