- With its positive profit alert, we continue to believe we were too conservative with Dyna-Mac (SGX:NO4)’s margins and expect 50% capacity expansion, high operating leverage and doubling of its order book to S$896m to fatten net margins.
Positive profit alert
- - Read this at SGinvestors.io -
- With its orderbook doubling to S$896m within the past year as well as its new land expansion of 50%, we expect Dyna-Mac to execute its orderbook at a faster pace.
- - Read this at SGinvestors.io -
New substantial shareholder – an interesting angle
- Hanwha Aerospace & Ocean bought Keppel (SGX:BN4)’s 24.1% stake in Dyna-Mac in May 2024 on top of 2.95% purchased previously. We believe Hanwha Ocean may be on a global expansion drive, as it looks to grow its footprint in marine energy solutions and shipbuilding. It also launched a bid for Australian shipbuilder Austal back in Apr 2024 for US$662m.
- We believe Hanwha Aerospace & Ocean should be a positive addition for Dyna-Mac.
Maintain BUY with a higher target price of S$0.62
- Read more at SGinvestors.io.
Above is the excerpt from report by Maybank Research.
Clients of Maybank Securities may be the first to access the full report in PDF @ https://www.maybanktrade.com.sg/.
Jarick Seet Maybank Research | https://www.maybank-ke.com.sg/ 2024-07-19
Read also Maybank's most recent report:
2024-09-12 Dyna-Mac - Offer Of S$0.60 Per Share ~ Better To Wait & See.
Price targets by 2 other brokers at Dyna-Mac Target Prices.
Listing of research reports at Dyna-Mac Analyst Reports.
Relevant links:
Dyna-Mac Share Price History,
Dyna-Mac Announcements,
Dyna-Mac Dividends & Corporate Actions,
Dyna-Mac News Articles
