Sembcorp’s utilities division is its saving grace

SINGAPORE (Oct 31): Despite a poor showing by its marine division, Sembcorp Industries remains attractive with RHB, DBS and OCBC maintaining a “buy” call with target prices of $3.40, $2.90 and $3.07 respectively.

All three research houses note the good performance of the utilities segment, with overseas operations in China, India and the Middle East expected to continue driving earnings.

The performance of Thermal Powertech Corporation India (TPCIL) has been encouraging, notes DBS analyst Ho Pei Hwa, turning a profit of $7 million in 3Q.

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