- We initiate a BUY recommendation on Marco Polo Marine (SGX:5LY) with a target price of S$0.083, based on 11.0x FY24F P/E.
- Marco Polo Marine is currently firing on both engines, as its ship chartering segment is buoyed by high rates and its shipbuilding segment is backed by a substantial order book pipeline.
Continued Growth in Ship Chartering.
- - Read this at SGinvestors.io -
- Marco Polo Marine’s strategy of opting for relatively shorter renewal rates positions them advantageously to recalibrate pricing more frequently, thereby enabling them to capitalize on the ongoing upswing. This strategic maneuver is bolstered by Taiwan’s sustained commitment to the wind farm market, further enhancing Marco Polo Marine’s market positioning and profitability.
Shipbuilding.
- - Read this at SGinvestors.io -
- Moreover, there has been a notable uptick in ship repair utilization, with utilization rates trending upwards and expected to remain consistently high, hovering around the 90% mark.
- To address the growing and sustained demand, Marco Polo Marine is proactively expanding its infrastructure by constructing a fourth dock, slated to become operational by 1H25 - This will augment Marco Polo Marine’s repair capacities by another impressive 25%
Net Cash Position.
- Read more at SGinvestors.io.
Nicholas Yon Lim & Tan Securities Research | https://www.limtan.com.sg/ 2024-04-05
Price targets by 3 other brokers at Marco Polo Marine Target Prices.
Listing of research reports at Marco Polo Marine Analyst Reports.
Relevant links:
Marco Polo Marine Share Price History,
Marco Polo Marine Announcements,
Marco Polo Marine Dividends & Corporate Actions,
Marco Polo Marine News Articles
