Affin Hwang Capital Daily Insight (LV) - 25 May 2016 - KRI / GENT / HLBK / GENM / UMW / FGV / STAR / AAX / SCIC / APRO / AMRB

Top Calls

Results Note - Kossan (HOLD, downgrade) - ASP worries Kossan (KRI) 1QFY16 core net profit fell 7% qoq on lower ASP despite higher sales volume. Higher raw material costs, recent natural gas hike and stronger Ringgit also crimped margins. Pricing competition remains a concern, which could lead to a sector-wide margin compression. We reduced our target price (TP) to RM6.40, based on lower 17x PE, in line with past-3-year mean. Downgrade to HOLD.

Other Calls

Results Note � Genting (HOLD, maintain) - A decent start

Results Note � Hong Leong Bank (HOLD, maintain) - Qoq rebound, results within expectations

Results Note � Genting M�sia (BUY, maintain) - UK operations continue to improve

Results Note � UMW Holdings (SELL, downgrade) - Dragged down by both O&G and automotive

Results Note � Felda Global Ventures (SELL, maintain) - Core net loss in 1Q16, maintain SELL

Results Note � Star Media (SELL, maintain) - Weak results due to print segment

Results Note � Air Asia X (BUY, upgrade) - The return of China and Australia markets

Results Note � SCICOM (MSC) (BUY, maintain) - Earnings continue to rise

Results Note � Amcorp Properties (BUY, maintain) - Dividend suprise

Results Note � Alam Maritim (HOLD, maintain) - 1Q16 below expectations on weak revenue

Morning News & Market Summary

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