- Maintain BUY with a higher Yangzijiang's target price of S$3.40 as a result of upgrades in earnings forecasts for 2024-26 of 17-25%.
- Given its remarkable US$8.5b of new orders in 1H24, we have upgraded our order win expectation to US$10b (previously US$7b).
Stellar performance with shipbuilding margins the highlight.
- - Read this at SGinvestors.io -
- Importantly, Yangzijiang reported stronger-than-expected shipbuilding margins of 25.9% (2023: 21.9%) with management guiding that current margin levels are sustainable.
Surpassing prior high for new order wins.
- - Read this at SGinvestors.io -
- As at end-1H24, Yangzijiang had a US$20.2b orderbook for 224 vessels of which 70% are green vessels.
- While management was unmoved in guiding for a higher new-order win number for end-24, we have upgraded our estimate to US$10b from US$7b previously.
Looking at new order wins for 2Q24.
- Read more at SGinvestors.io.
Above is the excerpt from report by UOB Kay Hian Research.
Clients of UOB Kay Hian may be the first to access the full report in PDF @ https://www.utrade.com.sg/.
Adrian LOH UOB Kay Hian Research | Singapore Research Team UOB Kay Hian | https://research.uobkayhian.com/ 2024-08-14
Previous report by UOB:
2024-06-10 Yangzijiang Shipbuilding - The Not-So-Little S-Chip That Could.
Price targets by other brokers at Yangzijiang Target Prices.
Listing of research reports at Yangzijiang Analyst Reports.
Relevant links:
Yangzijiang Share Price History,
Yangzijiang Announcements,
Yangzijiang Dividends & Corporate Actions,
Yangzijiang News Articles
