[%sNMT%]
Research by RHB
Sell – TP RM1.20

“Losses At Plantation Unit In 1Q24; D/G To SELL"

D/GtoSELLfromNeutral,newMYR1.20TPfromMYR1.58,11%downside. 1Q24 disappointed, as FGV Holding’s plantation unit reversed into losses. Although we expect earnings to pick up, given the improving FFB output and a profitable sugar division buoyed by government incentives, valuations are lofty – the stock is trading at a steep 50x FY24F P/E vs peer range of 20-25x.

Analyst:
Hoe Lee Leng 
[%NIFZ%]

$KLSE-FGV
Research by RHB
Sell – TP RM1.20

“Losses At Plantation Unit In 1Q24; D/G To SELL"

D/GtoSELLfromNeutral,newMYR1.20TPfromMYR1.58,11%downside. 1Q24 disappointed, as FGV Holding’s plantation unit reversed into losses. Although we expect earnings to pick up, given the improving FFB output and a profitable sugar division buoyed by government incentives, valuations are lofty – the stock is trading at a steep 50x FY24F P/E vs peer range of 20-25x.

Analyst:
Hoe Lee Leng 
hoe.lee.leng@rhbgroup.com