SD Guthrie's Uptrend Remains Intact on Buoyant CPO Price

SD Guthrie Bhd's uptrend is expected to remain intact, supported by firm crude palm oil (CPO) prices and broader sector tailwinds driven by elevated crude oil prices amid ongoing supply constraints. Bernama pic

SD Guthrie Bhd's uptrend is expected to remain intact, supported by firm crude palm oil (CPO) prices and broader sector tailwinds driven by elevated crude oil prices amid ongoing supply constraints.

Hong Leong Investment Bank Bhd (HLIB) said the counter is well-positioned to benefit from strengthening CPO price momentum, which is likely to underpin a sustained upward trajectory in the near term.

Key upside levels are identified at RM6.45, representing its 52-week high, followed by RM6.60 based on a 21.5 times forward price-earnings (PE) multiple, and RM6.91 at 22.5 times forward PE.

On the downside, support levels are seen at RM6.15, corresponding to the 23.6 per cent Fibonacci retracement level, RM5.97 (38.2 per cent retracement), and RM5.81, in line with its 50-day moving average.

HLIB recommends a stop-loss at RM5.90 to manage downside risks, particularly if market sentiment weakens or geopolitical tensions ease.

Source: www.nst.com.my