[%RhpK%] 
Research by CGSCIMB
Add – Target Price RM0.75

“Wiping the worst away with margin recovery”

•	We upgrade NTPM to Add from Hold, with a higher TP of RM0.75. NTPM’s mid-term recovery has not been priced in at current valuations, in our view. 
•	We see stabilising pulp prices and higher utilisation rates for its tissue paper products capacity driving an FY24-26F EPS CAGR of 63%. 
•	Our GGM-based (prev P/BV-based) TP valuation of RM0.75 implies a 13x FY4/26F P/E, similar to its pre-2018 mean.

Analyst:
Prem JEARAJASINGAM 
[%AOjE%]

$KLSE-NTPM 
Research by CGSCIMB
Add – Target Price RM0.75

“Wiping the worst away with margin recovery”

•	We upgrade NTPM to Add from Hold, with a higher TP of RM0.75. NTPM’s mid-term recovery has not been priced in at current valuations, in our view. 
•	We see stabilising pulp prices and higher utilisation rates for its tissue paper products capacity driving an FY24-26F EPS CAGR of 63%. 
•	Our GGM-based (prev P/BV-based) TP valuation of RM0.75 implies a 13x FY4/26F P/E, similar to its pre-2018 mean.

Analyst:
Prem JEARAJASINGAM 
prem.jearajasingam@cgs-cimb.com