Jiutian Chemical Group - A High-Octane Performance
- Jiutian Chemical (SGX:C8R) posted a record core net profit of RMB430m (+148% y-o-y) in FY21, above our expectations on stronger-than-expected DMF (dimethylformamide) and MA (methylamine) ASPs.
- DMF prices have continued their uptrend year-to-date to reach RMB16k/ton in Feb 2022; we expect prices to remain elevated in 1H22F.
- We expect S$0.011 dividend for FY22F (13% yield), front-loaded with May’s 1Q22 results announcement. Jiutian Chemical (SGX:C8R)'s FY21 net cash of RMB694m forms ~90% of its current market cap.
- Reiterate ADD and target price of S$0.15, still pegged to 5.7x CY23F P/E (a 20% discount to SGX-listed peer China Sunsine (SGX:QES)).
Above is the excerpt from research report by CGS-CIMB.
Clients of CGS-CIMB may access the full report in PDF @ https://www.itradecimb.com.sg/.
Kenneth TAN CGS-CIMB Research | ONG Khang Chuen CFA CGS-CIMB Research | https://www.cgs-cimb.com 2022-02-28 2022-02-28
Previous report by CGS-CIMB:
2022-01-19 Jiutian Chemical - 4Q21F Likely A Blowout Quarter
Check out the most recent target prices at Jiutian Chemical Target Prices. Listing of analyst research reports at Jiutian Chemical Analyst Report.
Jiutian Chemical Share Price History,
Jiutian Chemical Announcements,
Jiutian Chemical Dividends & Corp Actions,
Jiutian Chemical News Articles