Alam Maritim to do well in 2013, RHB Research

RHB Research, in its report this morning, maintained its BUY call on Alam Maritim Resources Bhd (Alam), with a target price of RM1.25.

The report, which is based on its recent meeting with Alam management, highlighted that Alam should fare well in 2013.

The research said that it expect Alam to win two more rounds of OSV (offshore support vessel).

"Our channel checks suggest that Alam may see two more rounds of OSV contracts to be awarded this year from hook-up and commissioning (HUC) contracts and 34 vessels from Petronas’ drilling department," said RHB Research in the report.

It also expects to win RM150 million to RM200 million package involving only inspection, repair and maintenance (IRM) jobs this year.

RHB Research said that Alam is still a BUY and winning the contracts year to date (YTD) across all divisions, with an unchanged fair value (FV) of RM1.25.