COMPANY UPDATE
|
Engtex Group: Not Rated
|
Still
undervalued
|
- Pipe
demand will accelerate on Selangor's renewed NRW reduction
drive.
- Earnings
and valuations yet to fully reflect potentials from Langat 2 and
Selangor�s long
term NRW reduction drive.
- Undemanding
valuations still at just 6.6/6.1x FY14/15 PERs; fair value is
MYR2.55, pegging to 8x FY15 PER.
|
|
Technicals
|
Inching
up slowly but surely
The FBMKLCI advanced 4.24 points to close at 1,852.00 yesterday,
while the FBMEMAS and FBM100 also closed higher by 43.50 points and
37.68 points, respectively. We recommend a �Buy on Dips� stance for
the index.
Trading idea is a Short-Term Buy on ORNA with upside target areas at
MYR1.27 & MYR1.50. Stop loss is at MYR1.02.
Click here for full report »
|
Other Local News
|
Oil
& Gas: Petronas to decide on Rapid�s status
today. MYR60b
Refinery and Petrochemicals Integrated Development (Rapid) in
Pengerang will be decided today at Board Meeting. Project viability,
profit generation for the government and several matters will be
discussed. Petronas will decide whether to go ahead, postpone it, or
look at it some other time. There will be a detailed presentation to
the board for the first time. (Source: Business Times)
Automotive: Perodua plans MYR2b capex for busy H2. Bulk of
capex will be spent on expanding its factory, with the rest towards
setting up a new test track, mosque and childcare centre at the site.
Perodua is looking at the launch of a brand new EEV (energy-efficient
vehicle) model, the new test track and a new world-class production
facility. (Source: Business Times)
Plantation: Pontian to boost FGV�s earnings. Felda Global
Ventures expect Pontian to contribute 20% to group profit this year,
whose 15,600ha planted area is less than 5% of FGV�s planted
landbank. Pontian is seen to have much better fresh fruit bunch
yields compared to FGV. (Source: The Edge Financial Daily)
AirAsia: To appeal to Najib to intervene. AirAsia Bhd has
appealed to Prime Minister Datuk Seri Najib Razak to help resolve
matters concerning its relocation to klia2. The appeal comes from its
decision to remain in LCCT beyond May 9, despite an announcement by
Ministry of Transport that LCCT will be closed that date, one week
after the opening of klia2 (Source: The Edge Financial Daily)
Maxis: Secures MYR2.5b financing facility. This financing
facility is from RHB Islamic Bank Bhd for working purposes. Maxis
said that MYR1b would be used to refinance borrowings. The balance
would be utilized for capital expenditure and general capital
requirements. (Source: The Edge Financial Daily)
Perisai Petroleum Teknologi: Fixed the price of 108.42m placement
share price at MYR1.53. This would raise some MYR165.88m. New
shares represent up to 10% of the company�s existing
issued and paid-up capital. (Source: The Star)
|
Outside Malaysia
|
U.K:
Construction growth maintained its momentum last month and hiring
accelerated as builders' confidence improved. A gauge of homebuilding
rose to 64.4 from 62.1 and sentiment among executives increased to
the highest in more than seven years. (Source: Bloomberg)
U.K: House prices rose for a 15th month in March as values in
London climbed to more than double the national average, according to
Nationwide Building Society. The average price of a home gained 0.4%
MoM from February to GBP 180,264 (USD 300,000), about 3% below its
2007 peak, the Swindon, England-based lender said. Values in the
capital in the first quarter were 20% above their previous record at
an average of GBP 362,699 compared with GBP 178,124 for the U.K. as a
whole. (Source: Bloomberg)
Brazil: Lifts rate to 11% as food shock worsens price outlook.
Brazil's central bank extended the world's longest interest rate
tightening cycle, after a food price shock increased chances that
inflation will accelerate beyond the target range for a second
straight year. The bank's board, led by its President Alexandre
Tombini voted unanimously to raise the Selic rate to 11% from 10.75%.
Policy makers have raised borrowing costs by 375 basis points, or
3.75 percentage points, in less than a year. (Source: Bloomberg)
China: Outlines measures to support growth with Li's goal at risk.
China outlined a package of measures including railway spending and
tax relief to support the economy and create jobs after a slowdown
endangered Premier Li Keqiang's target of 7.5% growth this year. The
government will sell CNY 150b (USD 24b) of bonds this year to help
build railways mainly in the less-developed central and western
regions, the State Council said in a statement after a meeting led by
Li. Authorities will also create a development fund of CNY 200b to
CNY 300b a year to increase sources of rail financing. (Source:
Bloomberg)
Japan: Inflation seen at stable 1.7%.Japanese Prime Minister
Shinzo Abe's bid to rid the economy of 15 years of deflation got a
boost, as companies forecast sustained price gains. The inflation
rate will be 1.5% in a year's time and
1.7% in three years and in five years, according to average forecasts
in a Bank of Japan survey. (Source: Bloomberg)
H.K: Syndicated loan market enjoyed a record first quarter as
Chinese companies shunned local financing in favor of cheaper
offshore funds. Lending in the city surged 41% YoY to USD 20.8b in
the first three months, the busiest start since Bloomberg starting
tracking the data in 1999. Volumes in China shrank 45% YoY to USD
5.8b, the worst first quarter in four years. Onshore borrowing costs
for the nation's top-rated companies jumped 30 basis points to 5.89%
in March, the biggest monthly rise since November, ChinaBond data
show. (Source: Bloomberg)
|
|
|
|
Key Indices
|
Value
|
YTD
(%)
|
Daily
(%)
|
KLCI
|
1,852.0
|
(0.8)
|
0.2
|
JCI
|
4,870.2
|
13.9
|
(0.1)
|
STI
|
3,192.8
|
0.8
|
(0.2)
|
SET
|
1,396.6
|
7.5
|
0.7
|
HSI
|
22,523.9
|
(3.4)
|
0.3
|
KOSPI
|
1,997.3
|
(0.7)
|
0.3
|
TWSE
|
8,905.5
|
3.4
|
0.4
|
|
|
|
|
DJIA
|
16,573.0
|
(0.0)
|
0.2
|
S&P
|
1,890.9
|
2.3
|
0.3
|
FTSE
|
6,659.0
|
(1.3)
|
0.1
|
|
|
|
|
MYR/USD
|
3.3
|
(0.1)
|
0.2
|
CPO (1mth)
|
2,713.0
|
3.2
|
0.9
|
Crude Oil (1mth)
|
99.6
|
1.2
|
(0.1)
|
Gold
|
1,283.7
|
6.8
|
(0.1)
|
|
|
|
|
|
|
|
|
|
|
|
|
TOP STOCK PICKS
|
|
|
|
Buy rated large caps
|
|
Price
|
Target
|
Tenaga
|
|
11.74
|
14.00
|
Genting Msia
|
|
4.22
|
4.74
|
HLBK
|
|
14.18
|
16.40
|
AMMB Holdings
|
|
7.18
|
8.50
|
Bumi Armada
|
|
4.01
|
5.00
|
IJM Corp
|
|
6.15
|
6.75
|
Time dotCom
|
|
3.89
|
4.40
|
MPHB Capital
|
|
1.86
|
2.42
|
Cahya Mata Swak
|
|
10.78
|
10.50
|
|
|
|
|
|
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.