Stock Upgraded: Advanced Holding target price raised from 0.46 to 0.54 by Westcomb

Westcomb Securities said it has upgraded its rating for Advanced Holdings Ltd to "buy" from "hold" and increased its 12-month target price to 0.54 sgd from 0.46 following the firm's first clean fuel contract. Advanced Holdings has said it secured a 3.5-mln-usd contract to supply clean fuel process equipment to a new grassroot refinery China, and expects to secure another 2.5 mln usd worth of contracts from the same firm in the next few months. "Given its exclusive agreements with DuPont and MECS [Monsanto Enviro-Chem Systems Inc] for the marketing of alkylation process equipment and technologies, and with Axens for the distribution of a range of hydrogenation processes and technologies, Advanced is in an advantageous position to secure more contracts for clean fuel process equipment in China," Westcomb said. It also increased its earnings estimates for the firm, and now expects Advanced to record a net profit of 60.2 mln sgd next year instead of 53.6 mln. At 2.05 pm, Advanced Holdings was up 0.005 sgd or 1.52 pct at 0.335 with 2.67 mln shares traded.