The brokerage has also increased its FY2021-FY2022 earnings forecasts for the company on the back of higher CPO price forecasts of US$721-US$670 per metric tonne and improved downstream margins.
As Golden Agri-Resources’ results for FY2020 ended Dec 31 were unexpectedly lifted by strong crude palm oil (CPO) prices and a new Indonesian export levy structure, most analysts are now turning positive on the palm oil player.
CGS-CIMB Research has upgraded its rating for the stock to “hold” from “reduce” and raised its target price to 19.9 cents from 11.7 cents previously.
