CIMB Research raised its target price for Midas Holdings
, which supplies components for train projects, to
S$0.59 from S$0.53 and kept its 'outperform' rating, as its
recent contract win reflects strong orders for the railway
industry going forward.
At 0214 GMT, Midas shares were up 1 percent at S$0.525, and
have gained 25 percent since the start of the year, compared to
a 1.8 percent rise in the FTSE ST All Share Index.
Midas's 32.5 percent-owned associate Nanjing SR Puzhen Rail
Transport Co. Ltd (NPRT) won a tram contract worth 338 million
yuan ($54.37 million), adding to NPRT's order book of 9 billion
yuan, CIMB said.
"This lends credence to our expectations of positive order
flow momentum and could signify back-to-back contract win
announcements and further re-rating potential," said CIMB,
adding that major clients have restarted negotiations with key
1016 (0216 GMT)