KUALA LUMPUR: KAF Equities Research is keeping its buy call on Daibochi Bhd with a target price of RM2.90 premised on capacity expansion activities and its integrated operations with Scientex Bhd in providing flexible plastic packaging (FPP) solutions to domestic and overseas clients.
As such, the research house has forecast the group’s top-line growth to grow at a three-year earnings compounded annual growth rate (CAGR) of 16% for financial year 2021 (FY21) and FY23 forecasts bolstered by increasing production capacity.