| | 
| | | |
| | |
| | | | | | | | | | | | | | | | Share Price: | MYR1.06 | Target Price: | MYR1.32 | Recommendation: | Buy | | |
|
|
| | | Earnings on track | | UEMS' 9M17 net profit of MYR242m (+>100% YoY) was in line but property sales fell short at MYR671m (just 56% of its 2017 sales target of MYR1.2b [-14% YoY]) due to the lack of new launches. Management remains confident on its 2017 sales target given the good bookings received at new launches. We maintain our earnings forecasts, MYR1.32 RNAV-TP (on an unchanged 0.45x P/RNAV) and BUY rating. | | |
|
| | FYE Dec (MYR m) | FY15A | FY16A | FY17E | FY18E | Revenue | 1,749.9 | 1,841.5 | 1,933.6 | 1,578.6 | EBITDA | 299.6 | 224.4 | 509.5 | 382.5 | Core net profit | 257.2 | 147.3 | 270.8 | 155.4 | Core FDEPS (sen) | 5.2 | 2.9 | 5.2 | 3.0 | Core FDEPS growth(%) | (51.1) | (44.8) | 83.9 | (42.6) | Net DPS (sen) | 1.6 | 0.0 | 0.0 | 0.0 | Core FD P/E (x) | 20.5 | 37.1 | 20.2 | 35.2 | P/BV (x) | 0.7 | 0.7 | 0.7 | 0.7 | Net dividend yield (%) | 1.5 | 0.0 | 0.0 | 0.0 | ROAE (%) | na | na | na | na | ROAA (%) | 2.2 | 1.2 | 2.0 | 1.1 | EV/EBITDA (x) | 24.0 | 35.9 | 16.2 | 24.2 | Net debt/equity (%) | 24.3 | 40.7 | 41.3 | 53.7 |
| |
| | | |
| | | | | | | | | | | | | | Share Price: | MYR2.40 | Target Price: | MYR2.63 | Recommendation: | Buy | | |
|
|
| | | 3Q17: Within expectations | | SCG's 9M17 net profit of MYR106m was in line with ours but below consensus forecast. Growth in the construction segment from higher work progress helped offset the weaker-than-expected precast earnings. We make no change to our earnings forecasts. SCG remains a BUY with an unchanged TP of MYR2.63 pegged to 16x FY18E earnings. | | |
|
| | FYE Dec (MYR m) | FY15A | FY16A | FY17E | FY18E | Revenue | 1,916.9 | 1,788.8 | 2,347.4 | 2,814.4 | EBITDA | 178.2 | 188.3 | 211.2 | 293.3 | Core net profit | 127.2 | 123.5 | 146.2 | 212.6 | Core EPS (sen) | 9.8 | 9.6 | 11.3 | 16.4 | Core EPS growth (%) | 11.4 | (2.9) | 18.4 | 45.4 | Net DPS (sen) | 4.0 | 5.0 | 4.0 | 5.8 | Core P/E (x) | 24.4 | 25.1 | 21.2 | 14.6 | P/BV (x) | 6.9 | 6.3 | 5.3 | 4.3 | Net dividend yield (%) | 1.7 | 2.1 | 1.6 | 2.4 | ROAE (%) | 32.4 | 26.2 | 27.0 | 32.4 | ROAA (%) | 9.5 | 8.2 | 8.0 | 9.4 | EV/EBITDA (x) | 8.7 | 9.9 | 11.9 | 8.0 | Net debt/equity (%) | net cash | net cash | net cash | net cash |
| |
| | | |
| | | | | | | | | | | | | | Share Price: | MYR1.37 | Target Price: | MYR1.47 | Recommendation: | Hold | | |
|
|
| | | 3Q17: In-line, U/G to HOLD | | 3Q17 and 9M17 core net profits were in-line. Print segment continues to be subdued given ongoing weak consumer sentiment. That said, with the exception of events, all segments performed better QoQ. We maintain our earnings forecasts for now pending an analyst briefing on 30 Nov. Given that STAR's downside risk in share price has narrowed against our MYR1.47 SOP-TP, we now upgrade STAR to HOLD (from SELL). | | |
|
| | FYE Dec (MYR m) | FY15A | FY16A | FY17E | FY18E | Revenue | 1,019.0 | 932.1 | 800.2 | 743.7 | EBITDA | 206.2 | 162.1 | 94.4 | 110.6 | Core net profit | 131.9 | 69.9 | 32.9 | 48.0 | Core EPS (sen) | 17.9 | 9.5 | 4.5 | 6.5 | Core EPS growth (%) | (12.9) | (47.0) | (53.0) | 45.7 | Net DPS (sen) | 18.0 | 18.0 | 45.0 | 15.0 | Core P/E (x) | 7.7 | 14.5 | 30.7 | 21.1 | P/BV (x) | 0.9 | 0.9 | 1.0 | 1.1 | Net dividend yield (%) | 13.1 | 13.1 | 32.8 | 10.9 | ROAE (%) | 11.6 | 9.7 | 21.1 | 4.8 | ROAA (%) | 7.8 | 4.1 | 2.1 | 3.4 | EV/EBITDA (x) | 6.9 | 9.0 | 7.9 | 7.3 | Net debt/equity (%) | net cash | net cash | net cash | net cash |
| |
| | | |
| | | | | | MACRO RESEARCH | | | | | | | FBMKLCI: Ripe For A Technical Rebound
by Nik Ihsan Raja Abdullah |
|
|
|
| | | | | | Despite the better-than-expected 3Q17 GDP growth, FBMKLCI failed to hold onto its early gain. At day's end, the benchmark index fell 3.30pts to 1,718.36, led by decline in RHBBANK, WPRT and GENT. Broader market remained negative with losers outpacing gainers by 663 to 256. A total of 1.97b shares worth MYR2.14b changed hands. Locally, news flow will likely driven by corporate earnings over the next few days, which may prompt investors to switch to risk-off mode. | |
| |
| | | | |
| |
| | NEWS | | | Outside Malaysia:
North America: Nafta talks bogged down as U.S. partners resist hard-line demands. Canada and Mexico are holding firm in their resistance to addressing America's most contentious proposed changes to Nafta in the latest talks, with the parties making some slow progress on areas of greater consensus. The U.S. is frustrated with what it perceives to be the reluctance of Canada and Mexico to present counter-proposals to U.S. positions on key issues such as regional content requirements and dispute settlement, said a person close to the negotiations. American officials are especially discouraged by Canada for publicly stating that the U.S. proposals are unacceptable, without presenting alternatives at the negotiating table, said the person, who spoke on condition of anonymity. (Source: Bloomberg)
E.U: Draghi confident higher pay will one day fan Euro-Area inflation. Mario Draghi said falling unemployment will eventually spur inflation in the euro region, even if there's little sign of that just yet. The European Central Bank president has been frustrated by how little workers have managed to increase their pay, perhaps because they're basing demands on the low inflation of the past few years or because they are more concerned about job security. Draghi argued many of the factors holding workers back are "transitory," but that subdued inflation pressures highlight a need for further monetary support. (Source: Bloomberg)
Germany: Economy seen coasting even as coalition talks crumble. Germany's economy is probably strong enough to shrug off the country's dive into political uncertainty for now. The collapse of coalition talks has cast a shadow over Chancellor Angela Merkel's ability to provide stable leadership for Europe's most-powerful nation, just as the region seeks stronger integration. Yet the turmoil in the capital of Berlin is doing little to worry economists watching the country as a whole benefit from record-low joblessness and booming output. (Source: Bloomberg)
Crude Oil: U.S. crude stockpiles seen resuming drop. Inventories probably fell by 2.25 million barrels last week, the first decline in three weeks, a Bloomberg survey shows before data from the Energy Information Administration. OPEC needs to extend output cuts to help drain the remaining glut, according to the United Arab Emirates. Brent for January settlement was USD 62.22/bbl. (Source: Bloomberg) | |
| | | | | Other News:
Tanco: To get MYR12.8m govt grant to build Port Dickson theme park. Tanco has secured a MYR12.8m government grant to fund a theme park and hotel development in Port Dickson, Negeri Sembilan. Tanco said its indirect wholly-owned subsidiary Palm Spring Development S/B has executed a facilitation fund agreement with the Public Private Partnership Unit under the Prime Minister's Department and Bank Pembangunan Malaysia Bhd. Tanco said the government will make available the grant from the date of fulfilment of certain conditions precedent up to March 31, 2021. (Source: The Edge Financial Daily)
Kelington: Secures Petronas contract to purify waste gas, share price hits record high. Kelington, whose share price hit a record high of 84.5 sen today, announced that its 94%-owned subsidiary Ace Gases S/B has signed a 15-year supply agreement to purify and liquefy carbon dioxide (CO2) waste gas for Petroliam Nasional Bhd (Petronas). Under the scope of the agreement, Kelington said Petronas' Gas Processing Plant in Kerteh, Terengganu, will supply CO2 waste gas in excess of 50,000 tonnes per year to a new neighbouring gas plant which will be established by Kelington. Kelington will purify and liquefy the waste gas to produce liquid CO2 to be sold to end users. (Source: The Edge Financial Daily)
Zecon: To sell 49% stake in hospital concession for MYR155m. Zecon , which has requested for a suspension of trading in its shares pending a material announcement, disclosed on Monday its plan to dispose of a 49% stake in wholly-owned Zecon Medicare S/B for MYR155m in cash. However, "due to unforeseen circumstances, the planned signing of the agreement relating to (this) material transaction and its subsequent announcement during the suspension period has been delayed to a date to be determined later," the construction and property development group told Bursa Malaysia. (Source: The Star) | |
| |
| | | | | Disclaimer | | | This email and its attachment(s) are confidential and are intended solely for the use of the individual to whom it is addressed. Any views or opinions expressed are solely those of the author and do not necessarily represent those of Maybank Kim Eng or any of its affiliates. Intended recipients of this email are prohibited from disseminating, forwarding, printing and/or copying its contents. If you are not the intended recipient of this email, you are strictly prohibited to take any action based upon them, which also includes dissemination, forwarding, printing and copying of its contents. Maybank Kim Eng Research sent this e-mail to you because your Notification Preferences indicate that you want to receive information about our daily research reports. If you wish to read Disclaimer in details, please click HERE. | | | To unsubscribe or change preference settings, please click here to contact your representative. | | | | |
|
|
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.