KUALA LUMPUR (Feb 25): CGS-CIMB Research has advised investors to stay defensive and go for export-oriented sectors like the gloves sector. The research house said its current KLCI target of 1,636 points — based on 1 standard deviation (s.d.) “Our preliminary estimates suggest that the KLCI target (post-recent earnings revision) could drop to 1,508 points if we lower the target P/E to 3 s.d. “We advise investors to stay defensive (healthcare and consumer) and go for export-oriented sectors (like gloves), which will be less affected by local policy uncertainty,” it said. “Our top three picks, Yinson Holdings Bhd, Tenaga Nasional Bhd and Pentamaster Corp Bhd, are intact,” it said.

Source: The Edge Markets February 25, 2020 02:15 UTC