PETALING JAYA: RHB Research sees the basic materials sector as a “reflation trade play” heading into 2021.
The research unit expects the aggregate earnings of the sector to leap by 200% year-on-year, broadly led by Press Metal Bhd
, Cahya Mata Sarawak Bhd (CMS), Malayan Cement Bhd and Luxchem Corp Bhd, which are under its stocks coverage.
“Valuations remain appealing, in light of the sector’s pro-cyclical nature, especially for cement stocks that still offer sizable upside, ” said the research unit in its latest report.
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