Cairo - Mubasher: Pharos Research has maintained its current fair value (FV) of Egypt Kuwait Holding (EKHO) at $0.70, with an “Overweight” recommendation on the stock.
The research firm is currently updating the valuation to reflect recent operational changes, according to a recent report issued on Wednesday.
EKHO was driven by AlexFert's continued turnaround, recording revenue levels last seen in the first quarter of 2014, prior to the natural gas shortage crisis. Alexfert’s Q4-16 revenue increased significantly on a quarterly and yearly basis, driven by high utilisation rates, a rally in urea prices, and a large increase in volumes exported to benefit from the high price difference between local and international urea prices.
