Another washout quarter

Based on Thursday’s index close at just under 1,375 points, the market has an approximately 142 points or 10.4% upside to the consensus year-end target of 1,517 points.

WHILE the market could have been “forgiving” when the fourth quarter of last year’s (4Q22) earnings report card was released in February supported by most broking firms’ view that the worse was behind, the 1Q23 earnings reporting season was a washout.

It turned out to be not only “same-old, same-old” but was probably the worst reporting quarter in recent times, which prompted almost every broking firm to cut earnings forecast as well as the FBM KLCI target level rather drastically.