Near-term headwinds persist for Sapura Energy despite job wins

UOB Kay Hian Research kept a

PETALING JAYA: The recent RM1.47bil worth of contracts secured by Sapura Energy Bhd’s units may have sparked some optimism for the oil and gas firm since the exit of second-largest shareholder Tan Sri Mokhzani Mahathir, but this is not reflected in several research reports, as near-term headwinds still persist.

UOB Kay Hian Research kept a “sell” call on Sapura Energy with a target price of RM1.32 despite the job wins, stating that it formed part of the house’s orderbook replenishment assumption.