lloydlimCypark have stronger earnings growth prospects than Petronas Gas, Malakoff and Gas Malaysia. Companies in the former camp, in our opinion, operate in an environment where there is an abundance of horizontal expansion opportunities. We believe cheap utility stocks could react more strongly to positive news than to negative news as positive news gives the market a reason to buy the stocks, while the impact of negative news is buffered by their already-cheap valuations.
necroWTE KEPONG result will coming next month(September) or October...the run up is due to this... Target RM3.5X
iman6767Something is brewing in the company that may involve epf...
LuckyGinvolve epf ...... not cypark ordinary business ..... take over ? hahaha buy 30% of cypark from open market ? hehehehe
LuckyGshare price 52weeks high and volume growing .... sure got something behind one .
cherry88"We believe that the market has failed to fully appreciate the potential of Cypark’s WTE project due to the lack of understanding of its earnings prospects. Management has shared scant details about the LTM project to safeguard its competitive edge in the tender exercises of future WTE projects.
The latest WTE project tender is located in Kepong. The completion of this tender exercise could cause Cypark’s share price to re-rate, as the press has reported that many corporates are interested in the project. Newsflow about the involvement of these companies in the project would signal that WTE projects are lucrative. This could spark investor interest in Cypark as it is the only active WTE concession owner in Malaysia"
Source : CIMB Investment Bank
This could be the reason behind the price increase. CIMB target at RM2.30 !!
LuckyGwah ppl selling like no tomorrow . nothing to do with me ...... i going to hold for long term . strongly demand warrant or bonus issues !!!
LuckyGwao wao wao something we dont know the company didnt annouce ????
Rica7894--------Look beyond 2018, an exciting year.--------
-The decline in 3Q16 and 4Q16 earnings should not be a concern as it could simply be a result of seasonality.
-In 3Q16, the Board of Directors is of the opinion that the business and performance of the Group is expected to be robust and strong for the current and coming years. -------------------------------------------------------------------------------------------------------
Potential of robust earnings growth in FY18, driven by the full scope of RE revenue from its Ladang Tanah Merah (LTM) project.
-To recap, SMART WTE project in Ladang Tanah Merah, Negri Sembilan ( a 25-year concessionaire period project), has completed phase 1 of its sanitary landfill development, and currently contributes income in the form of tipping fees of the landfill.
-Currently, the renewable energy sector generates RM40 million revenue for the company. (3Q16, Rm35.6million).
-SMART WTE project will have a total generation of RM100 million a year upon completion.
-By the end of 2017, Cypark expects to generate annual revenue of up to RM140 million to RM 150 million from its renewable energy sector (RE), supplemented by its SMART waste-to-energy (WTE) project and other contracts.
-Cypark has set a target for the sector (RE) to contribute more than 60% to its revenue by the end of 2017.
-For its dividend policy, possibly seeing an increased payout of 30% to 40%, from the current 25% due to the stronger cash flow from projects.
-In the longer term, Cypark’s earnings will benefit from its participation in more WTE projects in Malaysia. Cypark has an advantage in future waste-to-energy (WTE ) project bids as it is the only WTE concession owner in Malaysia. It is building a WTE plant in Negeri Sembilan, which is expected to be completed in late 2017.
Cypark Resouorces Berhad - Waste-To-Energy (WTE) Project On Track Author: PublicInvest | Publish date: Thu, 27 Oct 2016, 09:35 AM
We visited Cypark?s integrated waste management facility at Ladang Tanah Merah (LTM), Negeri Sembilan, along with some analysts and fund managers, to gain better insight into the waste management operation and updates on the progress of the waste-to-energy (WTE) project. There is a potential for robust earnings growth in FY18, driven by the full scope of renewable energy (RE) revenue from this project. We maintained our Outperform call on Cypark with an unchanged SOTP-target price of RM2.56.