KUALA LUMPUR (Nov 2): Shares of UMW HOLDINGS BHD [] slipped marginally on Wednesday, weighed down by the weak overall market, after winning a US$72 million contract from Petronas Carigali Sdn Bhd.
At 10.01am, UMW was down one sen to RM6.59. There were 77,200 shares done at prices ranging from RM6.57 to RM6.60.
The company announced on Tuesday its 85%-owned UMW JDC Drilling Rig Sdn Bhd, announced on Bursa it would provide a semi-submersible drilling rig, Hakuryu–5 for Petronas Carigali’s drilling programme.
However, OSK Research said it was maintaining its Sell call on UMW. It trimmed UMW’s oil and gas earnings from the non drilling side, from an aggressive earnings growth of 15% to a contraction of 15% considering the weaker macro outlook for the global economy, which will dent oil demand.
“After incorporating earnings from the Hakuryu–5, we are trimming our FY12 and FY13 earnings by 1.75% and 2.25% respectively. This lowers our sum of parts valuation for UMW to RM6.18,” it said.
At 10.01am, UMW was down one sen to RM6.59. There were 77,200 shares done at prices ranging from RM6.57 to RM6.60.
The company announced on Tuesday its 85%-owned UMW JDC Drilling Rig Sdn Bhd, announced on Bursa it would provide a semi-submersible drilling rig, Hakuryu–5 for Petronas Carigali’s drilling programme.
However, OSK Research said it was maintaining its Sell call on UMW. It trimmed UMW’s oil and gas earnings from the non drilling side, from an aggressive earnings growth of 15% to a contraction of 15% considering the weaker macro outlook for the global economy, which will dent oil demand.
“After incorporating earnings from the Hakuryu–5, we are trimming our FY12 and FY13 earnings by 1.75% and 2.25% respectively. This lowers our sum of parts valuation for UMW to RM6.18,” it said.
