[ET Net News Agency, 13 August 2019] Nomura lowered its target price for China
Molybdenum (CMOC)(03993) to HK$2.8 from HK$2.9 but upgraded its rating from "neutral" to
"buy" after recent share price dip.
The research house believes that most of the downsides have been priced in with its
share price dropping by 30%, underperforming the index by 15%, over the past six months.
Nomura kept its 2019 earnings forecast unchanged but raised 2020 number by 4% as it
revised up the cobalt price forecast by 6% due to Glencore's potential production cuts in
2020. It believes that an alleviating cobalt oversupply situation could boost the
sentiment for CMOC. (KL)