DMG & Partners said Singapore-listed Malaysian offshorevessel builder Nam Cheong Ltd's net profit this yearis likely to exceed what it made in 2011, helped by strong orderwins.
By 0137 GMT, Nam Cheong shares were up 2.2 percent atS$0.235. They have surged about 80 percent this year, comparedwith the Thomson Reuters Asia Pacific + Russia Industrial GoodsIndex's 5 percent drop.
Nam Cheong said on Wednesday it won contracts of $52.1million to build two platform supply vessels from customersbased in West Africa.
DMG said the two vessels are expected to contribute at least20 million ringgit to Nam Cheong's profits, meaning it couldpost 105-100 million ringgit in profits, exceeding last year'snet profit of 93.2 million ringgit.
"Nam Cheong has run up a good 23 percent since ourinitiation, but we still see deep value in this company," saidDMG in a report, maintaining its 'buy' rating and a target priceof S$0.29 on the firm.
0941 (0141 GMT) (Reporting by Charmian Kok in Singapore;email@example.com; Editing by Prateek Chatterjee)
Keywords: MARKETS SINGAPORE STOCKSNEWS/NAMCHEONG