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GAS [OUTPERFORM +18.4%] - New Wild Orchid gas field has double impact on GAS earnings - Update

Company Research

12 Dec 2017

We raise our target price for GAS by 70% mainly due to: 1) contribution of Phong Lan Dai gas field which helps the gas supply outlook as well as margins, 2) a 15.3% higher fuel oil price assumption, 3) a surge in peer P/E from 15.8x to 22.0x and 4) a 80 bps decline in WACC due to lower risk-free rate and market risk premium.
Tags: GAS

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