[%TagV%]
Research by Kenanga
Outperform – Target Price RM0.84

“A Soft Patch, Production Ramp-up Ahead”

NOVA’s 1QFY24 results missed our expectation, we believe, as consumers held back purchases after having overstocked right upon the economy reopening. However, we are still upbeat on its prospects driven by the gradual production ramp-up at its new plant. We cut our FY24-25F net profit by 13-12%, respectively, reduce our TP by 13% to RM0.84 (from RM0.96) but reiterate our OUTPERFORM call.

Analyst:
Raymond Choo Ping Khoon 
[%OxRY%]

$KLSE-NOVA
Research by Kenanga
Outperform – Target Price RM0.84

“A Soft Patch, Production Ramp-up Ahead”

NOVA’s 1QFY24 results missed our expectation, we believe, as consumers held back purchases after having overstocked right upon the economy reopening. However, we are still upbeat on its prospects driven by the gradual production ramp-up at its new plant. We cut our FY24-25F net profit by 13-12%, respectively, reduce our TP by 13% to RM0.84 (from RM0.96) but reiterate our OUTPERFORM call.

Analyst:
Raymond Choo Ping Khoon 
pkchoo@kenanga.com.my

$NOVA / 0201 (NOVA WELLNESS GROUP BERHAD)