[Maybank Kim Eng] Today's Research - Malaysia

09 Oct 2015, Friday

g Company Research - NCB Holdings: Looking forward to a strong 3Q15 | Yen Ling Lee g Macro Research - Regional: Technicals - Index may re-test 1,700 very soon | Lee Cheng Hooi - Malaysia: Other News - | Malaysia Research Team

MY: NCB Holdings (NCB MK) Share Price: MYR4.32 Target Price: MYR5.30 Recommendation: Buy Yen Ling Lee (603) 2297 8691 lee.yl@maybank-ib.com Company Update: Looking forward to a strong 3Q15 FYE Dec (MYR m) FY13A FY14A FY15E FY16E Revenue 919.4 831.0 834.1 868.9 EBITDA 199.2 125.1 179.0 204.3 Core net profit 51.7 27.9 40.3 64.1 Core EPS (sen) 11.0 5.9 8.6 13.6 Core EPS growth (%) (58.9) (46.1) 44.7 58.9 Net DPS (sen) 8.0 7.0 7.0 8.0 Core P/E (x) 39.3 72.9 50.4 31.7 P/BV (x) 1.4 1.4 1.4 1.4 Net dividend yield (%) 1.9 1.6 1.6 1.9 ROAE (%) 3.7 2.0 2.9 4.5 ROAA (%) 2.8 1.3 1.8 2.8 EV/EBITDA (x) 8.6 9.6 11.4 10.4 Net debt/equity (%) 3.7 8.8 0.9 5.8 §  Expect strong 3Q15 results on the jump in container volume. §  However, we lower our FY15-17 EPS by 2%/23%/11% and TP to MYR5.30 (-4%) on the slower tariff hike implementation. §  NCB remains a BUY as a potential privatisation candidate. RN: Technicals Lee Cheng Hooi (603) 2297 8694 chenghooi.lee@maybank-ib.com Technical Research: Index may re-test 1,700 very soon §  IOIPG - On a strong upward Wave 3 and 5 move. §  FBMKLCI – Index may re-test 1,700 very soon. §  Supports of 1,662 and 1,692 will be areas to buy. §  Resistances of 1,701 and 1,744 may cap rebounds. §    MY: Other News Malaysia Research Team Economics Research: Outside Malaysia —   U.S: Jobless claims falls to lowest level since mid-July —   Thailand: Consumer confidence falls to 16-month low on exports, GDP Malaysia —   Automotive: Mercedes-Benz to reduce car prices —   YTL Power: IPP to supply to main grid from March —   Astro: Latest offering —   CLIQ Energy: To raise MYR210m for asset purchase —   Daya Materials: Unit wins MYR88m naval job