| | 
| | | |
| | | |
| | |
| | | | | | | | | | | | | | | | Share Price: | MYR18.88 | Target Price: | MYR23.00 | Recommendation: | Buy | | |
|
|
| | | Awaiting affirmation | | Management confirmed in the results call that there have not been any material developments pertaining to TPA negotiations. The change in top management has no bearing on PTG's aim for minimal disruption from TPA. Our earnings forecasts and MYR23.00 TP are unchanged. Risk-reward remains favourable in our view, reiterate BUY. | | |
|
| | FYE Dec (MYR m) | FY15A | FY16A | FY17E | FY18E | Revenue | 4,456.0 | 4,561.3 | 4,540.4 | 5,146.0 | EBITDA | 2,967.2 | 2,968.1 | 3,038.7 | 3,403.5 | Core net profit | 1,749.6 | 1,747.2 | 1,681.7 | 1,951.1 | Core EPS (sen) | 88.4 | 88.3 | 85.0 | 98.6 | Core EPS growth (%) | (2.0) | (0.1) | (3.8) | 16.0 | Net DPS (sen) | 60.0 | 62.0 | 59.5 | 69.0 | Core P/E (x) | 21.4 | 21.4 | 22.2 | 19.1 | P/BV (x) | 3.3 | 3.1 | 3.0 | 2.9 | Net dividend yield (%) | 3.2 | 3.3 | 3.2 | 3.7 | ROAE (%) | 18.1 | 14.9 | 13.8 | 15.3 | ROAA (%) | 12.7 | 11.3 | 10.0 | 11.2 | EV/EBITDA (x) | 15.1 | 14.4 | 12.5 | 11.0 | Net debt/equity (%) | net cash | 4.0 | 4.0 | net cash |
| |
| | | |
| | | | | | | | | | | | | | Share Price: | MYR1.93 | Target Price: | MYR2.26 | Recommendation: | Buy | | |
|
|
| | | FY17: Outperformed our expectation | | FY6/17 core earnings and DPS came in above our forecasts, prompting an upgrade to FY18-19 earnings forecasts by 1% p.a. and DPS by 10% p.a.. Consequently, we also marginally raised our TP by 1% as we roll over our valuation base year to FY18. We reiterate our penchant on Dialog, for its strong, long-term growth story with steady cashflows and dividends. Our new TP offers a 17% upside. Maintain BUY. | | |
|
| | FYE Jun (MYR m) | FY16A | FY17A | FY18E | FY19E | Revenue | 2,534.5 | 3,392.9 | 3,440.0 | 3,540.0 | EBITDA | 385.4 | 475.0 | 408.5 | 418.7 | Core net profit | 261.0 | 328.2 | 342.1 | 427.0 | Core EPS (sen) | 5.0 | 6.1 | 6.4 | 7.9 | Core EPS growth (%) | (0.9) | 20.8 | 4.2 | 24.8 | Net DPS (sen) | 2.2 | 2.6 | 2.7 | 3.4 | Core P/E (x) | 38.2 | 31.7 | 30.4 | 24.3 | P/BV (x) | 4.1 | 3.3 | 3.1 | 2.9 | Net dividend yield (%) | 1.1 | 1.4 | 1.4 | 1.8 | ROAE (%) | 13.4 | 13.4 | 10.7 | 12.4 | ROAA (%) | 6.7 | 6.6 | 6.1 | 7.6 | EV/EBITDA (x) | 20.7 | 21.9 | 27.2 | 26.5 | Net debt/equity (%) | net cash | net cash | 18.7 | 16.5 |
| |
| | | |
| | | | | | | | | | | | | | Share Price: | MYR7.89 | Target Price: | MYR8.10 | Recommendation: | Hold | | |
|
|
| | | Core segments are stable | | We remain positive on KLCCP's long-term outlook post its 2Q17 analyst briefing yesterday. Despite the near-term challenges for the hotel segment, we estimate that earnings could still be largely supported by its prime office assets. We maintain our earnings forecasts and DDM-TP of MYR8.10 (cost of equity: 7.2%). | | |
|
| | FYE Dec (MYR m) | FY15A | FY16A | FY17E | FY18E | Revenue | 1,340.2 | 1,343.5 | 1,449.2 | 1,522.6 | Net property income | 1,004.2 | 1,018.6 | 1,114.6 | 1,150.5 | Distributable income | 641.3 | 674.6 | 677.0 | 695.0 | DPU (sen) | 32.5 | 33.4 | 34.2 | 35.1 | DPU growth (%) | 2.6 | 2.7 | 2.4 | 2.7 | Price/DPU(x) | 24.3 | 23.6 | 23.1 | 22.5 | P/BV (x) | 1.1 | 1.1 | 1.1 | 1.0 | DPU yield (%) | 4.1 | 4.2 | 4.3 | 4.4 | ROAE (%) | 9.2 | 7.0 | 5.7 | 5.6 | ROAA (%) | 4.2 | 4.1 | 4.2 | 4.2 | Debt/Assets (x) | 0.1 | 0.1 | 0.1 | 0.1 |
| |
| | | |
| | | | | | | | | | | | Sunway (SWB MK)
by Wei Sum Wong |
| |
| | | | | Share Price: | MYR4.15 | Target Price: | MYR4.04 | Recommendation: | Hold | | |
|
|
| | | On buying spree | | We are positive on Sunway's latest land purchase in Wangsamaju for its strategic location. The land should start contributing to the bottom line from 2019 onwards. Management has no plan to raise fund from the equity market to fund its aggressive landbanking activities for now, we were told. We maintain our earnings forecasts, MYR4.03 RNAV-TP and HOLD rating. | | |
|
| | FYE Dec (MYR m) | FY15A | FY16A | FY17E | FY18E | Revenue | 4,448.4 | 4,725.9 | 5,579.1 | 6,630.5 | EBITDA | 427.2 | 531.1 | 811.0 | 1,023.3 | Core net profit | 590.7 | 547.4 | 538.8 | 614.3 | Core EPS (sen) | 33.7 | 29.5 | 26.1 | 29.8 | Core EPS growth (%) | (1.6) | (12.5) | (11.4) | 14.0 | Net DPS (sen) | 37.0 | 12.1 | 7.8 | 8.9 | Core P/E (x) | 12.3 | 14.1 | 15.9 | 13.9 | P/BV (x) | 1.1 | 1.1 | 1.1 | 1.0 | Net dividend yield (%) | 8.9 | 2.9 | 1.9 | 2.2 | ROAE (%) | na | na | na | na | ROAA (%) | 4.1 | 3.1 | 2.9 | 3.2 | EV/EBITDA (x) | 21.7 | 18.3 | 16.7 | 14.2 | Net debt/equity (%) | 45.2 | 40.9 | 48.6 | 57.2 |
| |
| | | |
| | | | | SECTOR RESEARCH | | | | | | | Not so great expectations
by Samuel Yin Shao Yang |
|
|
|
| | | | | | We expect 2Q17 results season to be uninspiring. Examining the gross adex of individual media companies, all (ex-ASTRO) may miss our estimates. For STAR, we cut net profit estimates by up to 40% and TP to MYR1.80 (from MYR2.20). For MCIL, we trim net profit estimates by up to 8% with a lower TP of MYR0.66 (from MYR0.72). We keep our HOLD calls on MPR and ASTRO but downgrade STAR to SELL (from HOLD). We keep our BUY call on MCIL due to low valuations supported by potential special dividend. | |
| |
| | | | |
| |
| | | | MACRO RESEARCH | | | | | | | KLPRP Index: In a rebound mode
by Nik Ihsan Raja Abdullah |
|
|
|
| | | | | | FBMKLCI gained 1.36pts to close at 1,773.75 as geopolitical tensions between the US and North Korea receded. Sentiment was bullish with gainers outpacing losers by 529 to 295. A total of 1.72b shares worth MYR1.80b changed hands. While underlying sentiment looks positive, market could be perturbed by the lackluster US markets on concerns that President Donald Trump's embattled policy agenda may face greater hurdles. Locally, investors will focus their attention on corporate earnings. | |
| |
| | | | |
| |
| | NEWS | | | Outside Malaysia:
E.U: Euro-Area economic growth picks up pace as recovery spreads. The euro-area economy gathered pace in the second quarter as more nations joined the recovery. The 0.6% expansion matched an Aug. 1 estimate and was supported by continued growth in Germany, the region's largest economy, and the strongest Spanish performance in almost two years. But after years of unprecedented stimulus, the upswing is finally starting to spread across the 19-nation region. Exports and investment have led France to its strongest continuous expansion since 2011 and the Netherlands posted the fastest growth since the end of 2007. Italy, which has lagged the pickup of its peers, is starting to shake off its reputation as the sick man of Europe with an increase in gross domestic product that may top 1% this year for the first time since 2010. (Source: Bloomberg)
U.K: Wage growth beats forecasts but still lags inflation. The squeeze on U.K. consumers continued in the second quarter, when the fastest inflation in four years ate into workers' income. Basic wages rose an annual 2.1% in the three months. That left real incomes down 0.5%. There were 125,000 jobs created in the three months and the unemployment rate fell to 4.4%. In a further sign of labour-market tightness, which should be putting upward pressure on wage inflation, the number of unemployed people per vacancy was at a record low of 1.9. The feeble wage figures are weighing on consumer confidence and damping demand in British stores. (Source: Bloomberg)
Japan: Reports second monthly trade surplus as exports rise again. Japan posted a trade surplus for a second consecutive month in July as exports continued to grow. Imports also increased, adding to signs that domestic demand is increasing. Exports rose 13.4% YoY while imports increased 16.3% YoY leaving a trade surplus of JPY418.8b (USD3.81b). (Source: Bloomberg)
Japan: BOJ cuts bond purchases as 10-year yield falls to 10-week low. The Bank of Japan cut purchases of bonds maturing in 5 to 10 years by JPY30b (USD271m) at its regular debt-buying operations. The central bank offered to buy JPY440b of the securities, down from JPY470b at the previous operation on Aug. 9. This is the first reduction for the 5-to-10-year maturity zone since July 24, when the BOJ cut the amount from JPY500b. The benchmark 10-year bond yield dropped 1/2 basis point to 0.040%, the lowest since June 7. The BOJ maintained purchase volume unchanged for other sectors from its previous operations. It offered to buy JPY200b of 10-to-25 year bonds, and JPY100b of securities due in more than 25 years. (Source: Bloomberg)
Thailand: Keeps key rate unchanged as it warns of baht risk. Thailand's central bank kept its benchmark interest rate unchanged near a record low, while warning that a strong currency may hurt businesses in the export-reliant economy. The baht's 7.6% appreciation against the dollar is helping to keep price pressures at bay, but also posing a risk to economic growth just as exports start to take off. The central bank attributed the baht's recent strength to a weak dollar and the nation's strong external position. The central bank has boosted reserves to a record of USD191b as it tries to tackle currency volatility. (Source: Bloomberg) | |
| | | | | Other News:
Energy: MYR200m fund launched to boost energy-efficient projects. The government yesterday launched a MYR200m fund to help energy service companies (ESCOs) implement energy-efficient projects in the building sector. The Energy Performance Contracting (EPC) Fund is provided by Malaysian Debt Ventures, a corporation under the Minister of Finance Inc. It will be supported by a credit guarantee fund of MYR15.8m from the energy, green technology and water ministry, along with a MYR2m contribution from the JKR Building Sector Energy Efficiency Project, funded by the United Nations Development Programme-Global Environment Facility. (Source: The Edge Financial Daily)
Seacera: Unit wins MYR250m PR1MA contract. Seacera Group's 80%-owned subsidiary has bagged a MYR250m 1Malaysia People's Housing Scheme (PR1MA) project in Rembau, Negri Sembilan. It had accepted a letter of intent from Wearegold S/B for the construction and completion of 1,572 houses. The completion period for the contract is 30 months. (Source: The Sun Daily)
Boustead Heavy Industries Corp: In new JV with defence firm Rheinmetall AG. Boustead Heavy Industries Corp (BHIC) and German defence firm Rheinmetall AG plan to set up a new JV engaged in project management, contract administration and related services for the Malaysian defence industry. Its wholly owned sub-subsidiary BHIC Defence Technologies S/B (BHICDT) would hold a 60% stake in the JV company while Rheinmetall Air Defence AG's unit RD Investment AG (RDI) will own the rest. (Source: The Star) | |
| |
| |
|
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.