KUALA LUMPUR: AmInvestment Research is maintaining its buy recommendation on MISC with an unchanged sum-of-parts based fair value of RM7.75 a share. In its research note on Wednesday, it said RM7.75 reflects a premium of 3% from its ESG rating of four stars. During a briefing by MISC president/CEO Yee Yang Chien, the management expects FY21F petroleum tanker rates to average around the same levels YoY given the continuing low Opec output. MISC plans to avoid over-crowded or commoditized markets that offer unexciting margins, which is in line with its 2011 decision to exit the container business. “While the vessel specifications may change going forward, MISC still expects to remain in the petroleum tanker segment by 2050 given the continuing need for the crude transportation.

Source: The Star June 02, 2021 02:37 UTC