Riyadh-Mubasher: NBK Capital raised Petrochem’s fair value to SAR 23.6 from SAR 21.6, upgrading its recommendation to ‘Buy’.
This upward revision to the fair value is primarily driven by the company’s improved operating outlook (long-term plant operating rate assumption upped by 1%), as underscored by the company’s stronger-than-expected recent operating performance, the research firm said.
It expected Petrochem’s net earnings to reach SAR 910 million in 2015, compared with average analyst forecast of SAR 838 million.
However, the bottom line will likely decline to SAR 884 million in 2016, compared with average analyst forecast of SAR 871 million.
