Osim

Osim: Maybank KE maintains BUY and raises TP to $2.45. The house believes that OSIM should trade at a 15% premium to its historical PER average of 15.5x. House notes that company will benefit from the improving consumer sentiment in Asia. With 2 new successor products to its flagship range rolling out in 2013, the house thinks that these launches will likely have a material impact on the company's revenue in 2013. The continued open market share-buybacks by the company in 2012, together with its healthy cash dividends in 2012, is a testament to the healthy net cash inancial position of the company. Separately, OCBC also raises its TP to $2.14, noting that the company would be a key beneficiary of a recovery in China. Improving margins increased visibility through advertising and improving productivity will give Osim room for further re-rating given the improved market risk appetite and its attractive valuations vs its peers.