QL Res, Padini are OSK's consumer top picks

OSK Research said consumer companies will fare better than on average,
despite the tepid economic scenario in 2012, which is expected to dampen
earnings.

In a research note today, OSK Research said this was
mainly due to firm demand for their products, and the fact that the
companies had taken appropriate measures while having learnt from the
last crisis in 2008/09.

The research company also expects
consumer spending to remain relatively stable as disposable income
increases, amid the country's low unemployment of three per cent.

"The financial performance of food and beverage (FandB) companies
depends mainly on fluctuations in food commodity prices and their
ability to maintain low manufacturing costs," it said.

OSK
Research is maintaining its overweight recommendation on the consumer
sector, with its top picks being QL Resources Berhad, for its
uninterrupted earnings growth, as well as Padini Holdings Bhd, for
attractive valuation and good dividend yield. -- Bernama