Affin Hwang Capital Daily Insight (LV) - 20 May 2016 - KPJ / AEON CO / MSM / TROPICANA / TAANN / ECONOMY - ASEAN OUTLOOK / ECONOMY - OPR

Top Calls

Results Note � KPJ Healthcare (BUY, maintain) - �Green shoots� has finally appeared KPJ booked a RM34.1m net profit in 1Q16, making up 23% of our forecasts. We deem this in-line as 1Q is typically weaker due to seasonality. Revenue grew 5% yoy helped by both higher patient volume and revenue intensity. Patient volume has finally staged a comeback, growing by 1% yoy after three consecutive quarters of decline, suggesting that the GST-driven impact has finally worn off. Maintain BUY with RM4.87 TP, based on SOTP valuation.

Other Calls

Results Note � AEON Co. (M) (HOLD, maintain) - Dragged down by retail sales

Results Note � MSM (HOLD, maintain) - Hurt by margin compression

Results Note � Tropicana (BUY, maintain) - Achieved RM204m property sales (+16% yoy)

Results Note � TA Ann (BUY, maintain) - Disappointing start to the year

Economy � ASEAN Outlook � Weekly Wrap - Healthy 1Q16 GDP growth seen in most Asean countries

Economy � OPR - BNM maintains its overnight policy rate at 3.25%

Morning News & Market Summary

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